Hello,
For the past 10 years I've been a part time IT consultant. I'm starting to turn it into a fulltime business and have some questions regarding my classification.
I signed up for Square last week and I believe I put "Service industry, and other" or something similar. I don't remember all of the options. I ran my first credit card over the weekend and everything went through without a hitch. Someone suggested that I lookup best practices to avoid getting a freeze or hold on the funds. Having the correct merchant code was #1 I believe.
Since I'm a "new business owner", we do not have a lot of reserves in case there's an issue in the future. What suggestions can you give to make sure everything goes through fine? I keyed in the first transactions and then found out afterwards that can cause issues so I ordered a card swiper. The Client whose card I ran over the weekend wants me to build him a new PC and order Network equipment. I'm ordering the parts with my credit card and plan to charge him for everything when I deliver the product on Friday. I've ran close to $1k in credit card sales between Friday and Saturday (2 transactions) but I have a feeling alarm bells will go off when I slide the card for $4200.00 on Friday.
Any suggestions or best practices would go a long way. The material alone is going to cost me $3700 and the remaining $500 is labor. A hold for 30, 90 and god forbid 180 days would hurt pretty bad. I'm a sole prop and do not have any corporation paperwork if that makes a difference? Should I let Square know in advance of running the card?
