How to Start Accepting Card Payments UK 2026: A Beginner's Guide

Why Accept Card Payments at All?

Let me start with the business case, because it is a strong one. Card payments now account for the majority of all UK retail transactions. According to UK Finance, debit cards alone overtook cash several years ago, and the gap widens every year. If you only accept cash, you are actively turning away customers who do not carry it.

Beyond just accepting more sales, card payments give you automatic record-keeping, eliminate cash-handling risks, and speed up your checkout process. For most businesses, the transaction fees you pay are more than offset by the additional revenue you capture from customers who would have walked away.

What You Need: The Essential Checklist

To accept card payments in the UK, you need three things:

The good news is that with modern providers, the merchant account is often bundled in with the card machine. When you sign up through CapExpand for a Dojo terminal, the merchant account is set up as part of the onboarding process. You do not need to apply for it separately.

How Card Payment Fees Work

Every time a customer pays by card, your provider takes a small percentage of the transaction as a fee. This is how the entire card payment ecosystem is funded. The fee typically ranges from 0.5% to 1.75% depending on your provider and your monthly card volume.

That fee is actually made up of several components stacked together: the interchange fee (paid to the customer's bank), the scheme fee (paid to Visa or Mastercard), and the acquirer margin (your provider's cut). Most providers bundle these into a single blended rate, so you just see one percentage on your statement.

To put this in real terms: if you sell a coffee for £3.50 and your transaction fee is 1.4%, you pay about 5p on that sale. On a £50 meal, you pay 70p. For most businesses, this is comfortably offset by the extra sales you make from accepting cards.

Types of Card Machines

There are three main types of card machine, and which one suits you depends on how and where you take payments.

What Is a Merchant Account?

A merchant account is a special type of account that sits between the card payment and your business bank account. When a customer pays by card, the money first goes into the merchant account, then gets settled (transferred) to your business bank account. This usually happens within one to three working days depending on your provider.

With Dojo through CapExpand, settlement is next-day as standard, meaning the money from today's card sales arrives in your bank account tomorrow. Some providers still take two to three working days, which can put pressure on your cash flow, so it is worth asking about settlement speed when comparing options.

Step-by-Step: Getting Set Up Through CapExpand

Here is what the process actually looks like if you go through us:

PCI Compliance: What You Need to Know

PCI DSS (Payment Card Industry Data Security Standard) is a set of security rules that every business accepting card payments must follow. It sounds intimidating, but for most small businesses it simply means completing a short annual questionnaire to confirm you are handling card data safely.

Modern card machines handle the heavy lifting for you. The card data is encrypted at the terminal and you never see or store actual card numbers. With Dojo, PCI compliance is straightforward and built into the service. Some legacy providers charge a monthly “PCI non-compliance fee” if you have not completed the questionnaire, which can add £30 to £50 per month to your costs for no good reason.

Common Mistakes First-Time Card Takers Make

I see the same mistakes come up regularly with businesses taking cards for the first time:

How Long Does It Take to Get Set Up?

With some providers it used to take weeks. Traditional merchant account applications involved paperwork, credit checks, and waiting. Modern providers have streamlined this considerably. Through CapExpand, most Dojo applications are approved within a few working days, and the terminal arrives shortly after.

If you are in a hurry, let us know. We can often prioritise urgent applications for businesses that need to start taking cards quickly, for example if you are opening a new premises or launching at a trade show.

What About Online Payments?

This guide focuses on in-person card payments using a physical terminal. If you also need to accept payments online (through a website or payment links), that is a separate setup involving a payment gateway. Many providers, including Dojo, offer both, so you can run in-person and online payments through the same merchant account.

Getting Started Is Easier Than You Think

The hardest part of accepting card payments is deciding to do it. The actual setup is straightforward, especially if you work with someone who handles the process for you. At CapExpand, we deal with the application, the merchant account setup, and the terminal configuration so you can focus on running your business.

Whether you are a salon opening next month, a tradesperson going mobile, or a shop that has always been cash-only, there is a solution that fits your business and your budget. The sooner you start accepting cards, the sooner you stop losing sales.