Note: For information on submitting new merchant details and enabling the multi-merchant feature, please see this article.
HOW IT WORKS
Unique to Boulevard, businesses may invite their individual staff and service providers to apply for their own merchant accounts.
Checkouts involving multiple merchants are automatically split into separate deposits. For example, service revenue from renting stylists can be routed directly to the stylists' bank account, while all other revenue (e.g., service sales from employees and retail products) will be deposited into the business bank account as usual.
Sales incorporating multiple merchants will be split into separate transactions during checkout. Clients will only need to swipe their card once. All merchant accounts (primary as well as independent contractors or additional bank accounts) will be assessed a 1% fee on their portion of the transaction for the use of this feature.
By default, gratuity is divided proportionally and distributed to applicable merchants unless otherwise specified during checkout.
Each merchant is responsible for remitting their own taxes. Boulevard issues annual 1099-K forms in January to merchants who processed at least $20,000 in the previous fiscal year.
DEPOSITS & REPORTING
Deposits arrive in the destination bank account, less credit card processing fees, approximately two business days following the date of transaction. Each merchant will have access to detailed monthly statements in their Boulevard account.
COMMISSION FOR EMPLOYEES WITH A MERCHANT ACCOUNT
Employees with their own merchant account are considered separate taxable business entities, and therefore 100% of net sales revenue that is due to them will be routed to their Merchant Account. This ignores any Commission settings in the Boulevard Dashboard.
You are still able to set Commission settings for these staff which will then show in Boulevard Reports; referencing these amounts, you are able to know how much Commission-related charges to invoice from this staff according to any agreed-upon arrangements you made with them.
Employees with their own merchant accounts will need to be paid out product sales, gift card redemptions, service deposits (stored as account credit) when redeemed, and cash sales. These funds, by default, will go to the main business merchant account. Cash sales to individual merchants should be paid out of the drawer (when applicable) by doing a “pay out” for the total of the funds so that your drawer will balance properly at the end of the day (more information on the register here).
CREDIT CARD FEES
Credit card processing fees are absorbed by each merchant and are withdrawn prior to deposit.
It is the responsibility of each merchant to respond, submit evidence, and burden the loss from any credit card disputes.
When issuing partial or full refunds, the funds are immediately debited from the respective merchant account(s). There are no fees to refund a charge, but the fees from the original charge are not returned.
Currently, all non-service revenue (e.g., retail product sales, gift cards, memberships, sessions) will be deposited into the salon bank account.
NON-CREDIT CARD TENDER
Cash, gift cards, coupons, packages, and other forms of tender will need to be allocated to specific sub-orders. The salon is responsible for reimbursing any applicable alternative forms of tender.
ACCESS & CONTROL
Salon management will not have access to debit or withhold revenue from unowned merchant accounts. Former merchants are entitled to request relevant transaction and their client data from Boulevard Support at any time.
Merchant accounts are not a guaranteed thing.
The application process requires underwriting and individuals with an unfavorable personal credit history or active tax liens may be turned down. Additionally, merchant accounts may be suspended or terminated if there are excessive chargebacks, fraud convictions, or bankruptcy.
While not a strict requirement, we highly recommend that stylists incorporate and set up a business checking account before applying for their own merchant account.
We'll provide the technology, but you'll need to bring your own lawyer. Before making any changes to your employment or compensation structure, please be sure to consult with an experienced labor attorney and tax advisor.