Accepting Electronic Payments

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How to Increase Sales of Fruits and Vegetables With Alternative Sources

of Payment

Accepting Electronic Payments

Farmers Market Boot Camp Workshops 2014 Amy Tavalin Farmers Market/CSA/Organics/Horticulture

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Intuit

Fees: 2.75% per swipe or $12.95/month. May take

several days to get money.

Square

2.75% per swipe, no additional fees.

You get your money the next day.

Both can be used on an iphone,

android or tablet

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1.Go to home screen and click in the upper left corner on the picture of a person 2.Click on sales history 3.Find the transaction you need to fix and select.

4.Click on issue refund

*If the above does not work, Square has a customer hotline and will help.

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EBT/SNAP

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 SNAP: Supplemental Nutrition

Assistance Program through the

federal government.

 Increase sales for farmers and

increase customer attendance at the market while helping expand access to nutritional, locally grown food.

 Customers swipe their EBT

(Electronic Benefits Transfer) card at the market information booth and receive wooden tokens to

Participants of SNAP:

•

45% children

•

9% elderly

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20% households w/disabled member

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1 in 4 non-elderly adults have a job

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“New Poor”

Is SNAP worth it?

Yes!

•2012- $2.11 billion

•May-Oct 2012- $1.07 billion •July 2012- $177 million

SNAP at Farmers Markets 2012

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SNAP W

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 “Ready to Eat” foods  Alcohol

 Tobacco

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SNAP W

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Food to be prepared or eaten at home including:

 Fruits  Vegetables  Meat  Dairy  Eggs  Bread

SNAP G

ARDENS



Farmers can sell seedlings to

SNAP customers



SNAP customers can use

their benefits to grow their

own food!

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SNAP

 Offer on a continuous basis foods from three of the

following groups: - meat, poultry or fish -bread or cereal

-vegetables or fruit -dairy products

Note: at least two groups must include perishable items. Example: jam, milk (perishable), fruit (perishable)

OR

Your retail sales for items in any of the above categories are at least 50% or greater of total sales.

For Example- at least 50% of a farmers total sales to consumers are fruits and vegetables.

The Application to Become a SNAP Retailer

File electronically:

http://www.fns.usda.gov/snap/retailers/application-process.htm

Or Call 1-877-4369 to get a paper application. Mail paper application to:

SNAP Retailer Service Center, USDA Food and Nutrition Service

PO Box 14500

Washington, DC 20044

Things you’ll need if a sole proprietor:

-Retail sales record or estimate (such as a tax return) -Copy of Driver’s License

FREE EBT P

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 Manual Vouchers

-Time Investment

-Requires phone access

-Best Option for EBT sales that are less than $100/month

 Retailer Hotline (call to process EBT transactions manually)

-1-888-225-4009 (automated service) -1-800-894-0050 (operator)

 Free EBT Machine

-Need electricity and phone line access

WIRELESS EBT OPTIONS

-Upfront cost of $400-$1200 plus fees -Accepts Debit/Credit also

-Many options for purchase or lease

-Various costs and fees- you need to research options

 Examples of some companies to purchase a

machine:

-Mobile Market + machine is $400 plus fees. It is iphone based -Total Merchant Services machine is free, plus fees

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 Get a Free Wireless

machine, set up costs and 6 months of

wireless fees paid.

 For Farmers Markets

or Individuals that do not currently accept SNAP benefits.

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SNAP P

 Set up EBT machine at a central location such as the market

information booth.

 Use signage to make the EBT machine location clear.

Promoting Your SNAP Program

•Include “SNAP Welcome” in all signage and advertising.

•Have SNAP/EBT accepted here in a central location at your market, such as the market information booth.

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EBT/SNAP

 Wooden Tokens: www.wooden-nickel.com No set up

fee for farmers markets. 100 tokens for $50

 Customer “purchases” tokens at EBT machine and

spends them with SNAP-eligible vendors.

 Vendors turn in wooden tokens at the end of each

market.

 Market Manager issues a check to the vendor for the

amount of wooden tokens they have received.

 If using debit/credit and EBT/SNAP at your market,

the wooden tokens have to be different. Ex: Purple ink on the EBT tokens, green ink on the credit/debit.

 It is helpful to add a transaction fee for credit/debit to

offset costs, but you cannot add a fee onto EBT/SNAP

 Change cannot be given for SNAP purchases. Most

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EBT/SNAP

 East Nashville Farmers Market-Monthly

Payments: The market manager collects the wooden tokens at the end of each market and

gives the vendor a receipt for the amount. At the end of the month the market manager issues a check for the month’s tokens.

 Donelson Farmers Market- Weekly Payments: At

the end of each market the manager gives the vendor a receipt for the amount of wooden

tokens. The market’s online banking system issues the vendor a check the next day.

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TAFFING THE

SNAP/EBT B

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 Market Volunteers are a great way to staff your

market information booth/EBT.

 Train your volunteers on the proper way to use

the equipment. (The government gives you free DVDs and training manuals when you sign up).

 Keep the following in mind to tell your

volunteers:

-Do not accept SNAP for non-qualifying items -Treat SNAP customers just like everyone else -Keep good records

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UESTIONS

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Amy Tavalin

TN Department of Agriculture

Farmers Market, Organic, Horticulture, CSA Marketing Specialist

[email protected]