Twitter creator launches Square mobile payment tool

By Kelly Herdrich

For many, the release of the iPhone has revolutionized the way they connect to the world at large. The next stage of the revolution is set to begin, thanks to the newest iPhone application, courtesy of the masterminds behind Twitter.

Twitter co-founder Jack Dorsey is introducing the world to Square, which will turn your iPhone or WiFi-connected iPod Touch into a portable credit card acceptance device. With manual imprinters already a thing of the past, and electric point of sale terminals being phased out by wireless terminals, Square has the potential to revolutionize the way small businesses work.

What is Square?
Square plugs into your iPhone, allowing users to swipe and charge a credit card without requiring a credit card machine or terminal like those you traditionally see in stores and restaurants today. Portable, compatible and easy to use, Square can appeal to mobile businesses, small business owners and those who do business infrequently but for whom the ability to accept credit cards on site would be a huge boon. In addition, the technology behind Square can be developed and adapted in order to enhance and improve current credit card systems.

How can Square help small and mobile businesses?
Small and mobile businesses are often at a disadvantage when competing against larger retailers. Square can help level the playing field. At flea markets, craft shows, fairs, carnivals or other mobile venues, Square can open up small businesses to an increasingly cash-free economy. In addition, Square promotes a paper-free environment, e-mailing receipts directly to customers and avoiding the hassle of keeping track of a paper receipt.

What can large companies learn from Square?
Small companies aren't the only ones who can benefit from the technology behind Square. In Europe, waiters and waitresses already bring a wireless terminal to your table. Similarly, bringing credit card transactions to the customer can come about thanks to the technology behind Square. Larger retailers, especially those who facilitate a large amount of returns in a given year, can benefit from the concept of e-mailing receipts to customers.

In an increasingly portable world, the development of Square has the potential to revolutionize credit card technology. It's the next logical step in the progression of merchant accounts. From smaller businesses looking to expand their market, to larger retailers who need to change to meet the times, Square opens doors and presents opportunities for growth and change to each.

Article by Kelly Herdrich

Published: December 3, 2009