An acquiring agreement is a contract between your business and an acquirer – also known as a payment provider – that allows you to accept card payments from your customers. The agreement forms the technical and financial foundation for your customers' payments via, for example, Visa or Mastercard to be approved, transferred and finally deposited in your business's bank account.

The acquiring agreement governs how and when transactions are transferred from the customer's bank to your merchant account, which fees you pay as a business, and which card types you accept. Without this agreement you cannot accept card payments in your POS system, however modern or well-functioning it may otherwise be.

An example from a restaurant:

Imagine a guest finishing dinner at your restaurant and wanting to pay by credit card. When the card is inserted into the terminal and the payment approved, the payment first goes through your payment solution provider. The acquirer then sends the money from the customer's bank to your business's account. This process can only happen because you have an acquiring agreement with an acquirer.

Why is the acquiring agreement important in POS systems?

POS systems bring together everything from orders and payments to reports and customer data. But for card payments to be processed and booked correctly, an active acquiring agreement must be connected to the system. Knowing the term and understanding how it works ensures you can choose the right provider, understand the fee model and secure stable incoming payments to your business.

How does Flexybox use acquiring agreements?

In Flexybox's POS system we handle the integration with payment providers, so restaurants and cafés can accept card payments easily and efficiently. We help set up and manage acquiring agreements directly with the relevant acquirers. In this way we make sure your transactions run smoothly and your payments end up quickly and correctly in the right account. With our system everything is in one place, giving you a better overview and fewer problems.

Read more about topics related to acquiring agreements:

Read about redemption

Read about card acquiring

Frequently asked questions

A payment solution is the technology (such as the card terminal) that makes it possible to accept payment. An acquiring agreement is the agreement that legally and financially gives you the right to receive the money from the customer's card. Both are needed to accept card payments.

It depends on the solution. Wallets such as Apple Pay and Google Pay run on the customer's card, so they go through your acquiring agreement like any other card payment. Local mobile payment apps – such as MobilePay in Denmark or Swish in Sweden – have their own agreements. It is always a good idea to check with the provider.

Acquiring agreements are offered by banks and by specialist payment companies, and which providers are available differs from country to country. It is important to compare prices and terms before you choose.

Yes, as a rule one acquiring agreement can cover several locations if you state them when setting it up. Some providers do, however, require a separate setup per unit, so check the details of the agreement.