I received notice today of yet another fee increase by Moneris; the company I have a contract with for online payment processing and the wireless terminal I use during marketplace events. The Royal Bank has also raised banking fees for all business and personal accounts. In fact, booth fees, fabric costs, electricity rates, and gas prices (just to name a few) have been skyrocketing for the past several years! Needless to say, the majority of workers in Canada have not received a pay increase during the economic downturn. Some of the price increases seem justified but several of the fee increases feel like a price gouge on the part of the big corporations. Bank profits over the past several years have reached all time highs. It’s the same story for Moneris. So why do they feel it’s necessary to keep raising prices? Do they honestly think people will keep paying more and more for their services without putting up a fight? I was delighted to see a Facebook post by another small business entrepreneur related to the Moneris issue. She wondered if there was anything collectively we could do to fight back because as individual business owners we feel powerless. For example, if a significant group of small businesses threatened to cut their contracts with Moneris and move their business to another service provider, would Moneris realize they couldn’t take advantage of us anymore? About a year ago, I watched a great movie, “The Company Men”. It’s about a large company that despite large profits lay off employees including management positions. Essentially the CEO is only interested in lining his own pockets and pleasing his shareholders. Meanwhile, the company loses its competitive advantage in the field. Although the message is somewhat depressing, it rings true in today’s economy. How much profit is enough? We will wipe out small businesses if large corporations continue to squeeze every penny they can from us. I know I’m not alone in my concern over this matter and would love to hear your thoughts on the above.
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- Tags: Business, Entrepreneur, fees, General, Inflation, Moneris, price gouging, Royal Bank, Small Businesses