Card machine for small business: types, fees and how to choose

Types of card machine for small business owners

There's no single right card machine for small business use. The choice depends on where you take payments, how many you take and whether you need a printed receipt. These are the four main options.

Many small firms mix these, rather than relying on one card machine for small business payments. A hairdresser might use a portable reader in the salon and payment links for booking deposits. A caterer might use Tap to Pay at events and a link for the balance. When you look at a card machine for small business needs, think about every place you get paid, not just the counter.

How fees on a card machine for small business payments are structured

Providers price a card machine for small business customers in different ways, which makes them hard to compare. Most combine some of these:

Percentage per transaction

A share of each payment, for example a percentage of every £10 coffee. This is the most common charge.

Fixed fee per transaction

A few pence added to each payment. It matters more if you take many small payments.

Monthly subscription

Some plans charge a monthly fee in exchange for a lower rate on each payment.

Hardware

You may buy the reader outright, rent it monthly, or need nothing at all with Tap to Pay.

Different card types

Some providers charge more for business cards, cards issued abroad or payments where the card isn't present.

Contract length and exit fees

Pay-as-you-go plans can usually be stopped at any time. Longer contracts may have cancellation charges.

Chargebacks and refunds

Check whether a fee applies when a customer disputes a payment, and whether you get the original fee back on a refund.

Read the full fee page for any card machine for small business use you're considering, not just the headline. Fees can change. When we checked Tide's Tap to Pay page, for example, it said its transaction and subscription fees would increase on 1 December 2026.

Working out what a card machine for small business use would cost you

To compare one card machine for small business payments with another fairly, use your own figures. Here's a simple method, with made-up numbers purely to show the sums:

1. 1

   Estimate a typical month

   Say you expect 400 card payments a month, averaging £15, so £6,000 in total.

2. 2

   Work out the percentage cost

   At an illustrative 1.5%, that's £90. At an illustrative 1%, it's £60.

3. 3

   Add fixed fees

   An illustrative 10p on each of 400 payments adds £40. That's why fixed fees matter for low-value sales.

4. 4

   Add monthly and hardware costs

   Include any subscription, and spread the price of a reader over the time you expect to use it.

Do the same sum for a quiet month and a busy one before you commit to a card machine for small business use. A plan that looks cheaper in December may cost more in February. These figures aren't any provider's actual prices; check each provider's current fee page.

Settlement: how card takings reach your bank account

Settlement is how long it takes for payments from your card machine for small business sales to land in your account. It varies by provider and plan, from the next working day to a few working days. Tide's card reader page, for example, says payments clear in your Tide account within 1 to 3 working days. If you pay suppliers or wages weekly, the gap matters.

Some readers only pay into the provider's own account, which is worth knowing before you order a card machine for small business use. Tide says its card reader is only compatible with Tide business bank accounts. Other providers pay into any UK business account. If you want to keep all your income in one place, a card machine for small business takings that pays into the account you already use can make bookkeeping simpler.

A few points to check on the account side:

• Do card takings arrive as one daily total or as separate payments?
• Are the provider's fees taken before payout, or charged separately?
• Can your accounting software match the payouts automatically?
• Will the account accept the volume of payments you expect?

Several app-based business accounts include ways to take payments. In our research, Tide, Monzo Business and Wise Business all mention payment links, and Tide and Monzo also offer Tap to Pay. You can compare business bank accounts to see which features each includes.

Tide is our featured partner. We may earn commission from referrals. Disclosure

Can you add a surcharge for card payments?

Whatever card machine for small business use you pick, the answer is usually no for everyday customers. Government guidance on payment surcharges explains that, since 13 January 2018, businesses can't surcharge for payments with most consumer debit and credit cards. Surcharges on commercial cards are still allowed but must not be more than your actual cost of accepting the payment.

In practice, most small firms build the cost of their card machine for small business payments into their prices instead. If you're thinking about surcharging, read the guidance or ask your local Trading Standards service first.

Which card machine for small business setups suit which trades?

Four examples show how the right card machine for small business owners changes with the way you work.

Tradespeople have particular needs from a card machine for small business work on site; our guide to a business bank account for tradespeople covers that in more detail. If you take card payments at home or across the counter as a sole trader, our Tide for sole traders guide covers the Tide side.

Card machine for small business checklist

• I know where I take payments: counter, on the move, online or all three
• I've estimated my monthly card takings and number of payments
• I've checked the percentage fee, any fixed fee and any monthly charge
• I know whether I buy, rent or don't need hardware
• I know the contract length and any exit fee
• I know how quickly payouts reach my account, and which account
• I've checked whether my phone works with Tap to Pay
• I've priced in card costs rather than surcharging customers

Card machine for small business FAQs

Sources

• Tide: card reader
• Tide: Tap to Pay
• GOV.UK: payment surcharges guidance (PDF)
• Monzo Business and Wise Business: our research of their own pages
• All sources checked 25 October 2026.