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Zero % Processing for Restaurants: How It Can Boost Your Bottom Line

As a restaurant owner, you always seek ways to minimize costs and maximize profits. One cost that can quickly add up is credit card processing fees. With traditional processors charging fees of up to 3%, it's easy to see how these charges can affect your profits. However, there is a solution that can help you save money and increase revenue: zero % processing for restaurants.

In this blog from ModPay Solutions, we'll discuss zero % credit card processing, how it works, and how this innovative solution can help boost your bottom line.

Zero % Processing for Restaurants: How It Can Boost Your Bottom Line

Table of Contents:

  1. Understanding Zero % Credit Card Processing

  2. How Does It Work?

  3. How Can Zero Percent Processing Help Restaurants?

  4. Zero % Processing: Is It Too Good to Be True?

  5. When Is It A Good Fit?

  6. Consideration When Choosing a Zero Percent Processing Partner

  7. How to Get Started

  8. Conclusion

People Also Ask:

How does zero fees processing work?

The term "zero-fee processing" or "no cost processing" refers to a payment method where the credit card processing fees are charged to your customers instead of your business. Your customers will be responsible for paying the processing fees rather than your business.

Is it legal to pass processing fees to customers?

When you use a credit card to pay at checkout, some merchants may add optional fees called credit card surcharges. These fees are allowed by law unless prohibited by state regulations. However, businesses that charge surcharges must follow specific rules to ensure they are transparent about the additional cost.

Understanding Zero % Credit Card Processing

Zero %, or no cost credit card processing, is a payment processing solution that eliminates the traditional credit card processing fees that restaurants like yours usually pay. Instead of charging you, the merchant, a fee, the zero percent processing option charges your customers a small cost when they use their credit card. This fee is typically 4% or less and is added to the customer's credit card bill.

How Does It Work?

To make the most use of zero % processing, you should partner with a payment processor that offers this service, like ModPay Solutions! Our experts can provide the necessary software and equipment to process payments and manage customer transactions.

When a customer makes a payment using their credit card, some payment processors will charge your customers a small fee. This fee is a surcharge and will be added to the customers' transaction amount, which will be reflected on their credit card statements.

As the merchant, you'll receive the total payment amount, and your payment processor will collect the customer's fee on your behalf.

How Can Zero Percent Processing Help Restaurants?

For restaurants, offering customers the convenience of credit card payments is essential. However, processing fees can quickly eat into your restaurant's profits. By opting for zero % credit card processing, you can save money on transaction fees, equating to significant dollars saved. This additional revenue can be put towards other expenses, such as employee wages or marketing efforts.

Other benefits include:

Cost savings - The most significant advantage of zero percent processing is cost savings. By eliminating percentage-based fees, you can put potentially thousands more dollars back into your pocket. With profit margins often being tight for restaurants, every penny counts.

Competitive advantage - By having a zero cost processing solution set up for your restaurant, you can offer a competitive advantage that attracts customers to your restaurant. Consumers want convenience, and providing them more ways to pay can result in more business, giving you a competitive advantage.

Increased transparency - No cost processing allows restaurants to be more transparent in pricing. Thanks to this processing solution, restaurants can advertise their prices as the actual price customers will pay instead of needing to build in extra expenses to cover fees.

Enhanced customer experience - By offering zero % processing, restaurants can demonstrate that they are customer-focused and make it easier for customers to pay with credit cards, especially since many prefer to avoid payment fees. This can lead to an enhanced customer experience and potentially increased customer loyalty.

Zero % Processing: Is It Too Good to Be True?

Zero percent processing may sound too good to be true, but it's a legitimate option for businesses like restaurants. While some fees or additional costs may be involved, most processors offering this solution are transparent about their pricing and provide clear guidelines and support for their clients.

It's essential to do your research and choose a reputable zero % credit card processing provider that aligns with your business needs and priorities.

When Is It A Good Fit?

Zero % credit card processing is ideal for many businesses, including restaurants. Restaurants face unique challenges in payment processing, including high ticket sizes and a higher chance for chargebacks.

By partnering with a provider that offers zero percent processing, you can reduce the costs associated with these challenges and save your business money. Additionally, with the rise of contactless payment methods, such as Apple Pay and Google Wallet, offering more ways to pay can help your restaurant stay ahead of the curve and provide customers with a seamless, convenient payment experience.

Consideration When Choosing a Zero Percent Processing Partner

When choosing a processor that offers zero percent processing solutions, several factors must be considered. Firstly, look at any flat transaction fees or monthly subscription costs to ensure they align with your budget.

Secondly, research the provider's reputation and customer reviews to ensure they offer reliable service and support. Finally, look at any additional features or benefits the provider offers, such as fraud protection or chargeback prevention, to see if they align with your business priorities.

How to Get Started

If you want to sign up for zero % credit card processing, research and compare different providers. Once you've chosen a provider, you'll typically need to set up a merchant account and link it to your restaurant's POS or payment system.

From there, you can start accepting credit card payments and saving money on transaction fees.


In conclusion, zero % processing for restaurants is an alternative solution for business owners looking to save money on credit card fees. Give zero percent processing a try and see how much it can boost your bottom line! With the right processor and a little bit of research, you can start seeing savings in no time.

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