The first step towards getting a payment processing solution or a Credit Card processing account for your business is to send an application to a payment service provider. You will have to submit a detailed merchant account application that includes all the information about your business activities. You will be sending this merchant account application to the Credit Card processing company or the merchant account acquiring bank. Along with the application form, you also have to send KYC documents. KYC documents for cosmetic merchant will generally include the
1. Business license
2. Void check
3. Utility bills
4. Business plan
5. Previous processing statements.
Apart from these KYC documents, payment service providers would also ask for the vendor agreement or supplier agreement. The reason you have to provide these documents is because you are selling tangible products. When you sell physical products, then it is essential for the payment service provider to know where you are sourcing the products from.
To improve the chances of you getting a merchant account for cosmetics or skin care products, we recommend you to send the composition of each product to the processor. If your products are certified by any agency, then you should also submit the certification of the product. If your product complies to an industry standard then you should send the compliance certificate as well. The more transparent you are, the more possibility you will get to be approved for a merchant account.
Remember for any payment service provider supporting a skin care merchant account or a Cosmetic merchant account is very challenging. We do not say, they can not do it, but if they have to do it, then they have to scrutinize your application to an intense level. This will include the credit check, and this may also include validating the claims made on your website. To be on the safer side, you should not claim anything on your site that is not possible by a product. Many applications get rejected because the websites claim something which the customer will eventually not get.