What is Square? It is a new iPhone (also available for iPad, and iPod Touch) free application that allows the users to accept credit cards on their gadgets. Every user that signs up for Square will receive a free card reader, that easily plugs into the audio jack.
This app is designed for everyone, both individuals and businesses, works with all major credit cards, and requires no merchant account. There is also no contract, or monthly fees. Square only charge a 2.75% fee per transaction, for swiped cards. This rate goes up if the credit card is not present and you need to enter numbers manually, in which case you’ll pay a 3.5% + $0.15 per transaction.
Each time you use this application, payment is taken from your Square account, which is previously linked to your credit card, and then a receipt will be sent on your phone or your e-mail. People using the Square service can locate businesses (stores, restaurant etc.) that use the same app.
This service comes as an innovation for retailers as well, as they can accept payments through this new system using an iPad. Merchants can keep track of sales, inventory, and also publish menus with pictures. Square, Inc. sees its app as something that could easily replace the cash registers in the near future.
So far, Square has been a hit, and everyone seems to love it. The numbers are here to prove this statement, as Square has done more than $1 billion in transactions.