High-Risk Industry Solutions

1. https://avpsolutions.com/ High-Risk Industry Solutions by American Verification Processing Solutions (AVPS) The firm is classified as a high-risk firm due to two factors: it works in a high-risk industry and there is a chance of financial collapse. Either or all of these circumstances may apply. The first criterion covers safety and health problems, while the second criterion addresses the viability of your organization (continued profitability). However, each of these scenarios may have an impact on your company's capacity to obtain finance, insurance, and merchant accounts. Factors of High-Risk According to High-Risk Expert, banks and merchant account providers consider a firm to be high risk because of a high level of chargebacks when a merchant obtains credit card payments but clients cancel purchases; refunds and returns; and credit card fraud. Furthermore, banks consider firms with poor credit records (late payments on invoices) or no collateral for loans to be high risk. Secondly, organizations in industries with a high frequency of fatal or nonfatal accidents are at high risk. Requirements for Compliance If your firm is classified as a high-risk firm based on its industry, you must verify that it is in compliance with local, state, and federal laws, as well as high-risk regulations, such as fulfilling Occupational Safety and Health Administration (OSHA) requirements. According to OSHA, if your organization handles hazardous waste, a site management program, such as hazardous waste clean-up operations, must involve the use of a buddy system, which is a minimum of two people working together. The Implications When asking for a high-risk loan, a high-risk firm with a terrible credit history will always pay a high loan rate and make a large down payment. A high-risk firm must spend money on compliance-related resources such as additional people and safety gear in order to fulfill local, state, and federal compliance standards. 1

2. https://avpsolutions.com/ High-Risk Industry Solutions 1.Merchant Cash Advance • Business financing to maintain and develop your high-risk sector ➢What is Merchant Cash Advance? i. The term is currently used to describe a variety of options for financing small companies, typically under 24 months, as opposed to the larger monthly payments and long payment terms associated with traditional bank loans. This applies generally to small, regular payments (usually each day of business). The term "trading advance payment" can be used to refer to future purchases of credit card debt or short-term corporate loans. ii. Merchant cash advance providers lend money to businesses in return for a portion of their daily credit card revenues, which they get directly from the processor that clears and pays the credit card payment. Remittances are deducted from consumers' debit and credit card transactions on a daily basis until the obligation is satisfied. Most providers arrange arrangements with payment processors and then take a set or variable percentage of future credit card purchases from merchants. iii. These merchant cash advances are not loans, but rather a sale of a percentage of future credit and/or debit card purchases. As a result, merchant cash advance transactions are exempt from state usury regulations, which prohibit lenders from charging exorbitant interest rates. 2.ACH Processing • Enhance e-control sales. Enhance your client base by taking online checks ➢What is ACH Processing? i. ACH payments are electronic payments processed by the Automated Clearing House (ACH) Network. Funds are transferred from one bank account to another using a centralized system that directs funds to their final destination. These automated payments have the potential to help both retailers and consumers: Payments are affordable, may be automated, and electronic payments frequently make recordkeeping easier. 2

3. https://avpsolutions.com/ ii. When firms pay employees via direct deposit or consumers pay bills electronically from bank accounts, the ACH network is frequently in charge of the payments. 3.Chargeback Protection • The Chargeback Program safeguards your income and reduces trade rates ➢What are Chargebacks? How to be protected from them? i. Chargebacks are just disputed transactions. Customers challenge these charges on their credit cards for various transactions. When a dispute is filed, the merchant cancels the transaction and the customer receives his money. ii. Chargebacks are intended to protect customers from fraudulent purchases. Customers can easily begin a chargeback transfer rather than waste time disputing with providers about the legality of a transaction. iii. Protect your company against the threat of chargebacks. a)Stick with a DBA (Doing Business As) name that your consumers will remember. b)Have your phone number printed on the billing statements of your consumers. c)Credit Card Security - The most prevalent reason for a chargeback is fraud. It is your responsibility to ensure that the credit cards used to purchase your products or services were not stolen. The bank that issued the credit card should verify the address, client data, and phone number. d)Purchased goods or services were subpar or did not match the customer's expectations. Make certain that you deliver value to your consumers and that you clearly state what they may expect when they make a purchase. Have a refund policy page on your website that outlines when consumers can dispute charges for items or services you supply. e)Accepting an expired credit card is not acceptable, and you must acquire authorization (an invoice signed with the credit card hold signature) for the full amount on sale. 4.Cyber Security • Protect and reduce your data using commercial security ➢How is Cybersecurity concerning for businesses? i. Data in the business world is more fragile than ever before. Cybersecurity is essential for the smooth operation of your organization, but it is also crucial for the protection of your customers' information. Following IT best practices entails more than just using cutting-edge technology; it also 3

4. https://avpsolutions.com/ entails staying ahead of dangers and calamities that may bring your business to a standstill. It is beneficial to employ a layered security paradigm while developing cybersecurity processes. ii. At AVPS, we believe that • High risk is not the same as high costs • Success and Development • Chargeback Protection and Prevention – Fraud Reduction. Chargebacks Contest and Reduction. Recovers lost revenues. • Approved with better terms. Some of the industries we work with are – 1.Collection Industry 2.Tobacco 3.Travel Industry 4.Vitamin and Supplements 5.Antiques and Collectibles 6.Event Tickets 7.Astrology and Horoscope 8.Wines and Brewery 9.Real Estate 10.Fantasy Sports 11.And many more. 4