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That's not a terrible conclusion. Square loses money on lots of transactions (small ones--under ~$8 and they're losing money). Credit card processing involves a
by jonknee 13y ago
That's not a terrible conclusion. Square loses money on lots of transactions (small ones--under ~$8 and they're losing money). Credit card processing involves a per-transaction fee which really adds up for small purchases and Square's pricing doesn't have a minimum or a per transaction fee.
Then there are things like Square Cash that make no business sense (there's no revenue, only expenses and risk). Great for consumers while it lasts though.
- biturd 13y agoCC merchants are not supposed to ask a minimum CC charge. Call the merchant and complain, they have to take a one cent sale or a million dollar sale.
- jonknee 13y agoThat's not true anymore for under $10 transactions (see Dodd Frank), but the point was that since Square has no minimum fee they actually lose money on small transactions. Square is used a ton for these sort of small transactions which goes a ways to explain why they have never made a profit (but have billions in revenue).