What Higher Standards does

Higher Standards, Inc. is a privately held, family-owned payment processing company founded in 2001 by Dick Carbone and headquartered in Lakeville, Minnesota. Operating as a registered Independent Sales Organization of Citizens Bank, N.A., the company processes nearly $2 billion in annual transaction volume for SMB merchants across multiple verticals including retail, ecommerce, restaurants, B2B, non-profits/churches, K-12 schools, and local/state government. Its leadership team is led by CEO/founder Dick Carbone (50% owner) and CMO John Wadsworth; the company employs 101–250 people and has operated continuously since founding without outside venture or private equity backing.

The product portfolio spans core card-present and card-not-present processing (credit, debit, contactless/NFC, EMV, ACH, electronic check), hardware resale of Clover POS systems (Station, Mini, Flex, Go, Kiosks) and Fiserv terminals (FD-150), virtual terminals and the ePNCart shopping cart, plus vertical-specific solutions including HSPayBridge middleware for government, Give Back Gateway for non-profits, and ePayments embedded in K-12 Student Information Systems. Ancillary monetization includes merchant cash advances and gift/loyalty programs, with the GIVE BACK initiative redirecting a portion of processing fees to merchant-designated charities.

The go-to-market model is a distributed channel partner motion through a network of independent 1099 Expert Advisors who earn residual commissions on merchant transaction volume, supplemented by direct sales to larger merchants and content/SEO-driven lead capture via the company blog. Revenue is generated primarily through transaction-based processing spreads, hardware sales and leasing, and residuals paid out to the advisor channel; pricing is quote-based and not publicly disclosed, with the company emphasizing no termination fees, no monthly minimums, and guaranteed rates as competitive levers in the commoditized SMB processing market.

Name

Higher Standards

Legal name

Higher Standards, Inc.

Website

https://higherstandards.net

Company type

Private

Founded year

2001

Operating status

Operating

Headcount range

101–250 employees

Short description

Higher Standards is a family-owned, Minnesota-based Independent Sales Organization of Citizens Bank, N.A. that provides credit card, ACH, and POS payment processing to SMB merchants across retail, restaurant, B2B, non-profit, K-12, and local government verticals through an independent Expert Advisor channel.

Ownership category

akta.pro rank

Headquarters

HQ city

Burnsville

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Marketing or Sales, Operations, Supply Chain, Technology or R&D, Infrastructure

Revenue model

1. Payment Processing Fees: Transaction-based fees charged to merchants for processing credit card, debit card, and ACH payments. Fees include interchange fees, assessment fees, processing fees, and potentially monthly statement fees, terminal fees, and gateway fees.
2. Equipment Sales and Leasing: Revenue from selling and leasing payment terminals, POS systems, kiosks, and related hardware from Clover and Fiserv.
3. Expert Advisor Residuals: Residual commissions paid to Expert Advisors based on transaction volume processed by merchants they sign up, creating recurring revenue for advisors.

Pricing tiers

Go-to-market motion2 records

Distribution channels4 records

Marketing channels3 records

Core offering

Higher Standards is a payment processing company that provides credit and debit card processing, ACH and electronic check payments, ecommerce gateways, and POS hardware (Clover and Fiserv terminals) to merchants across multiple verticals including retail, restaurants, B2B, K-12 schools, non-profits, and local government. Operating as an Independent Sales Organization of Citizens Bank, N.A., the company processes nearly $2 billion in annual transactions through both direct sales and a nationwide network of independent Expert Advisors.

Product overview

Higher Standards is a payment processing company founded in 2001, processing nearly $2 billion in annual transactions. The company operates as an Independent Sales Organization of Citizens Bank, N.A. and offers a comprehensive suite of payment solutions centered around credit/debit card processing, electronic check/ACH payments, and POS hardware. The product portfolio includes Clover POS systems (Station, Mini, Flex, Go), traditional terminals, virtual terminals, and specialized vertical solutions for K-12 schools, non-profits (Give Back Gateway), and local government (HSPayBridge). The company also provides ancillary services including merchant cash advances, gift/loyalty cards, and B2B payment processing with Level 3 interchange rates. The Expert Advisor program enables independent sales partners to earn recurring residual income.

Differentiator

Problem solved

Functional benefit

Brands

• GIVE BACK: A program where businesses can donate a portion of their transaction fees to the church or charity of their choice.
• HSPayBridge
• Give Back Gateway

Quantifiable outcome

• B2B companies can save up to one-third on processing costs with Level 3 interchange rates
• +2 more outcomes

Named customers4 records

Segments7 records

Ideal customer profiles6 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Three partnerships are on record, tiered core and minor.

• Clover Network, Inc. (First Data)coreTechnology or IntegrationClover name and logo are owned by Clover Network, Inc., a wholly owned subsidiary of First Data Corporation. Higher Standards resells and services Clover POS systems, terminals, and kiosks including Clover Station, Mini, Flex, and Go.
• FiservcoreTechnology or IntegrationFiserv provides payment processing infrastructure and terminal hardware including the FD-150 terminal. Higher Standards serves as a reseller and processor for Fiserv-powered merchant accounts.
• VMC GroupminorOthersVMC Group handles claims filing for the $5.54 billion Payment Card Settlement class action. Higher Standards refers merchants to VMC Group for filing claims for businesses that accepted Visa/Mastercard between 2004-2019.

Scale indicators4 records

Recent moves6 records

Expansion highlights5 records

Broad incumbents

• Square (Block, Inc.): Square is a large, software-led acquirer offering card processing, POS hardware (Square Stand, Reader), and vertical software for SMBs. It competes with Higher Standards in retail, restaurants, and ecommerce processing, but at vastly greater scale and with proprietary technology.
• Stripe: Stripe is a leading global payments and financial infrastructure platform serving online and in-person commerce. It competes with Higher Standards in ecommerce payment processing, virtual terminals, and developer-friendly APIs, and dwarfs the ISO in scale and technology investment.
• Cayan (now part of FIS): Cayan, integrated into FIS, was a payment technology provider serving SMBs and mid-market merchants with processing, POS, and commerce solutions. It overlaps with Higher Standards in card processing and POS-enabled merchants, with a broader technology portfolio.
• Global Payments: Global Payments is a major payments technology company offering merchant acquiring, processing, and software across SMB and enterprise segments. It competes with Higher Standards for retail, restaurant, and B2B processing at significantly larger scale.
• FIS (Fidelity National Information Services): FIS is a large financial technology and processing company, including Worldpay merchant solutions. It competes with Higher Standards in merchant acquiring and SMB processing, with much broader technology and capital resources.
• PayPal: PayPal is a global digital payments company serving both consumer and merchant payments, including Braintree for developers and Zettle for in-person SMB. It competes with Higher Standards in ecommerce and omnichannel SMB processing.

Direct peers

• North American Bancard: North American Bancard is a private ISO/payment processor with a similar ISO model, agent/reseller program, and SMB merchant focus. It is one of the closest direct comparables to Higher Standards in business model, scale, and go-to-market.
• Clover (Fiserv): Clover is Fiserv's SMB POS and commerce platform, which Higher Standards already resells. Clover also sells directly through bank and ISO partners, making it both a supplier and a competitor for SMB merchant acquiring.
• Payment Depot: Payment Depot is an ISO/payment processor offering subscription-based interchange-plus pricing to SMB merchants. Its transparent pricing model and SMB focus make it a directly comparable alternative to Higher Standards for cost-conscious merchants.

Emerging players

• Helcim: Helcim is a Canadian-headquartered payments and commerce platform offering processing, POS, and invoicing to SMBs, with a growing US presence. It overlaps with Higher Standards in SMB card processing and POS, while competing on transparent interchange-plus pricing.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles3 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Higher Standards