To: Kimberly Johnson

From: Neil McDonough

Subject: Credit Card Readers
Date 10/9/16
Purpose
The purpose of this memo is to convince Spuds Fish and Chips management to
accept credit cards at their Puyallup fair booth.
Summary
Many booths at the Puyallup Fair accept credit cards but the Spuds Fish and Chips
does not. When I worked at the booth many customers turned away because they
did not have enough cash or would rather use a card elsewhere. If the Spuds Fish
and Chips accepted credit cards, they could boost sales and business. The study I
conducted was I asked friends and people at the Puyallup fair if they would rather
purchase food at a booth that accepted credit cards and all of them said yes. I also
provide the most effective terminal to accept credit cards based on my research.
Introduction
The problem faced is that spuds fish and chips does not accept credit cards at their
booth at the Puyallup Fair. This has caused customers to be turned away instead of
making a purchase and inconveniences other customers that would rather use a
card instead of cash. To take full advantage of the potential customers the booth
mush accept credit cards. This will allow the business to become more successful by
increasing sales and profits.
Research Methods
To find out if accepting credit cards would be a good investment I decided to ask the
main cliental of the booth. When I was at the Puyallup fair I asked people if they
would like to have the option of using a credit card at the food booths at the fair
instead of just cash. All of the people I asked agreed that it would be a good idea to
accept credit cards and would be more convenient for them.

Results
After talking to friends and people at the fair, the majority of them told me that they
would much prefer a fair booth that would accept credit cards since many people
dont carry a lot of cash anymore and credit cards are more convenient than cash.
Research has also shown that on top of boosting sales, it increases the average size
of each sale and can increase impulse sales.

One of the major barriers to small businesss getting credit cards is the cost. I
researched many different options and found a way to obtain credit card readers for
free as long as you put more than $500 on the terminal in the first three months
using the Groovv Terminal. This makes the entry cost to accepting credit cards
almost nothing and they are simple to set up and have running in no time. The
Groovv terminal has good reviews, a rebate for the full price when you process $500
or more in the first three months, a $15 monthly fee and there is a 1.69% + $.15
fee per swiped card and 2.89% + $.25 for rewards, business and AmEx credit cards.
The rebate should not be hard to achieve as sales will be well above $500 on the
terminal and since the fair is a less than a month long the monthly fee will one be
once a year as there is no contract you can cancel the fee for the rest of the year
you are not using it. The transaction fees are competitive compared to other
terminals. To set up the terminal all you need to do is create and account and plug
in the terminal.
Conclusion
My research has shown that accepting credit cards at the fair would be very
beneficial. It can increase sales and make customers happy. My research has also
allowed me to be able to recommend a easy setup and cost effective way to start
accepting credit cards at the fair booth using the Groovv Terminal.
Recommendation
Based on my results I recommend getting at least one Groovv Terminal for each
side of the booth to allow each side of the booth to accept cards while the other
lines can accept just cash.