Many small businesses can benefit from the free payment processing that Veem payment services offers, which takes the complication and the costs out of paying vendors and invoicing customers. However, free comes with drawbacks, such as online-only transactions limited to ACH payments with no ability to accept credit card payments.
We’ve compiled a comprehensive guide to all the ins and outs of the solutions that the Veem payments can offer your business.
What is Veem?
Veem is a secure payment network that has revolutionized wire payments — for good and for the better. Unlike traditional bank wires, Veem payments will streamline the wiring process to not only speed it up, but to also cost you less — way less.
What Veem offers
Traditional bank wires will involve lots of hands on deck — costing you lots of money in handling fees and lots of time in the delays involved. Veem cuts out the multiple middlemen that bank wires involve — saving you some serious cash in avoided fees and some serious time in avoided turnover delays.
The technology that makes Veem run
The technology that allows Veem payments to run efficiently is blockchain. This allows Veem to process payments safely and securely through a digital ledger of transactions, effectively taking all of the intermediary banks — and their corresponding fees — out of the process.
How does Veem pricing work?
Veem is a free payment processing platform, with only one, avoidable potential fee: Your business will have to pay a $20 fee if a receiver opts to receive an international wire outside of the U.S. in USD.
Does Veem serve the countries you need it to?
Because Veem works in more than 60 countries, the answer to this question is likely yes. That said, certain countries are only able to receive Veem payments, whereas others will be able to both send and receive Veem payments.
Be sure to check out the complete list of countries that Veem serves so that you can make sure they will be able to meet your needs.
Automatically syncing Veem payments
If your business keeps its books with Xero or QuickBooks Online accounting software, then you’ll be able to integrate your business’ books with your Veem account. After you integrate these two accounts, your Veem payments and invoices will automatically load into your business’ online books.
Veem customer reviews
Veem reviews are, by and large, very positive. Here are the three main points that come up in Veem reviews:
Veem reviews are filled with customers excited that Veem payments are completely fee-free.
Veem reviews also consist of many users that are happy with how intuitive the product is.
Slow to process
The main negative feedback in customer reviews is users reporting that they’ve experienced delays with Veem payments. Some say that larger payments were delayed for up to a week through the platform.
Which businesses benefit from Veem?
Most businesses will benefit from the free payment processing that Veem offers, especially businesses that work with multiple international customers and/or vendors. You’ll be able to avoid bank inefficiencies while also avoiding unnecessary fees for both you and your international customers.
Plus, tacking Veem payments onto your pre-existing payment processes is incredibly low stakes — and with such a high reward potential of avoiding wiring fees, it makes sense for a business to give it a shot for invoicing and payments needs.
Advantages of Veem payments
What do all of these logistics mean for your business? Let’s start on the positives and take a look at the most noteworthy advantages to using Veem for your business’s payment processing needs:
Completely free payments service
It bears repeating that Veem payments are almost entirely free. This fact is only augmented by how costly many of Veem’s alternatives are.
Just remember to avoid the $20 charge that Veem will apply to your payment, should your abroad receiver decide to claim a payment in USD.
Competitive foreign exchange rates
Veem offers stellar foreign exchange rates. If you’re invoicing an international customer or paying an international vendor, Veem will be able to convert your currency at some of the fairest rates you’ll be able to find.
Plus, this will add extra incentive for you to encourage international receivers to access your Veem payments in their local currency in order to avoid that $20 fee.
No additional hardware necessary
Finally, Veem is unique in that it won’t require your business to invest in any additional hardware in order to process payments. Other payment processing services will require your business to buy smart devices, card readers and countertop displays.
Your business will simply need Internet access to send and receive Veem payments.
Disadvantages of Veem payments
No payment processing service — not even Veem — comes without its fair share of downsides. There are a few key pain points to keep in mind:
Fee for international payments received as USD
Veem payments will come with a charge of $20 if you send an international wire that the receiver chooses to accept in USD.
That said, you probably won’t be able to find international wires for a lower fee than this. In fact, many banks will charge you up to $50 for international wires that the receiver chooses to accept in USD.
As a blockchain technology, Veem payments, by nature, will be completely online. This will make Veem payments ideal for international transactions. But it will also make Veem payments less ideal for retail transaction needs.
With Veem, you won’t be able to perform traditional, in-person transactions like you might with a more hardware-based POS system. As such, Veem won’t necessarily be the end-all and be-all for your business’ transaction needs, especially if you’re working face-to-face with customers and vendors often.
No credit card payments
Finally, onto what might be the most notable of Veem’s downsides — it doesn’t process credit card payments. In fact, Veem will only process payments direct from bank accounts, or ACH payments.
As a result, you won’t be able to adhere to your customers’ or vendors’ payment preferences with Veem should they want to involve credit cards in the picture.
All in all, because Veem can’t process credit card payments through its technology, Veem payments might limit what you, your customers and your vendors can accomplish together.
POS systems that work well with Veem
Veem is far from a comprehensive payment solution — and that’s especially the case for businesses who rely heavily on credit card payments, both for paying and getting paid.
What are some point-of-sale systems that can make up for what Veem payments lacks?
Square offers a multitude of ways to convert your business’ smart devices into powerful, comprehensive POS systems.
Even with Square’s most affordable hardware and software options — their free magstripe reader and the free Square Point of Sale app — your business will be able to accept card payments, offer recommended tip options, capture signatures and send receipts. And you’ll be able to do it all from a smartphone, tablet or iPad.
Be sure to note that, unlike Veem payments processing, Square’s payments processing won’t be free — you’ll have to pay a Square fee for payment processing that starts at 2.6% plus $0.10 for non-manual card transactions.
Then, should your business need to send or receive wires, you can turn to Veem for free payments and invoicing.
To access a more traditional, hardware-based payment processing system, you can look to Clover.
Just like Square, Clover will allow your business to accept in-person card payments. Unlike Square, Clover won’t require your business to come to the table with a smart device in order to use its POS systems. As a result, Clover POS systems tend to be pricier than Square systems.
Clover also has processing fees, but should you need to run a large payment, you could opt to do it for free through Veem and avoid Clover’s fees.
Top Alternatives to Veem
If you learned through this review that Veem isn’t the right fit for you, there are options to consider — just know going in that you almost certainly won’t be able to beat Veem pricing.
If you need your online payment processing service to be able to process credit card transactions, then PayPal might be your best alternative to Veem.
PayPal allows you and your customers to pay in whatever way you prefer. PayPal charges you 2.9% of the transaction value, plus $0.30 per domestic transaction. And for international transactions, PayPal will charge you a whopping 4.4% of the transaction value, plus a fixed fee that will be based on the currency it’s received in.
Another option you’ll have for online payment processing is Authorize.Net. Unlike Veem, Authorize.Net allows your business to accept credit card payments online. This access to credit card payment processing will cost you.
In order to access the Authorize.Net payment gateway, your business will pay a $25 monthly fee. You’ll also pay $0.10 per transaction, plus a $0.10 daily batch fee.
A version of this article was first published on Fundera, a subsidiary of NerdWallet.