Surprisingly Simple Systems for Business Growth

For small businesses using payment apps to receive and make payments, the IRS is implementing major changes to payment app reporting requirements this year. Under the old system, platforms like PayPal, Venmo, and Cash App only reported earnings exceeding $20,000 with 200+ transactions. However, under the new rules, if you earned more than $5000 last year, you will get a 1099K form, dropping to $2,500 in 2025. While this is not a new tax – it may be a chance to properly evaluate your business structure.

Those consumer apps might have gotten you started, but if you’re serious about growing your business, it may be time to consider other options.  

Merchant Services Accounts are a solid starting point for many businesses. Service providers, online retailers with simple operations, or mobile businesses with basic payment requirements may not require more than a merchant account.

Consider a merchant account if your revenue is growing, you’re processing over $5,000 monthly through payment apps, or you’re looking to transition from less professional payment methods. Merchant accounts offer lower transaction fees and provide essential features like direct bank deposits, professional receipts, and simple transaction reporting.

If you have a physical retail store, a restaurant, or a business with high inventory, a Point Of Sale system will provide the functionality you require.

Point of Sale systems accurately track employee performance, implement customer loyalty programs, and generate detailed sales analytics. They are perfect for quickly growing businesses, planning multiple locations, or requiring comprehensive business management tools.

The initial investment for a Point of Sale system is slightly higher, but it offers a wealth of features that can streamline operations and enhance business efficiency.

While payment system decisions are for businesses processing under $5,000 monthly, the underlying principle applies whether you’re doing $5,000 or 5,000,000.

As your business grows, the systems you put in place aren’t simply about managing payments or satisfying tax requirements – they’re about creating a structure for freedom.

In the business community, you have the freedom to make choices. You’re not simply reacting to regulations, you’re building a foundation for growth that aligns with your vision of freedom and success. Whether it’s customer service or financial tracking, well-designed systems allow your business to maintain quality as you grow.  This is what allows you to shift from only daily operations to truly leading your business.

Systems are what separates a job from a business. With systems, you’re building an asset that can grow beyond your personal capacity.

Successful businesses all started somewhere. The systems you put in place today – whether they’re payment processing or customer relationships are the foundation your business is built on.