How to Accept Credit Cards at a Strip Club (Without Getting Shut Down)

Taking cards is not optional for a gentlemen’s club. Bar tabs, VIP rooms, bottle service, cover charges and private events all run through credit and debit cards, and a club that loses its processing loses most of its revenue overnight. Yet strip clubs are one of the hardest businesses to keep processing for. This guide covers why, what you need to get approved, and how to set your club up so the account stays open.

Why strip clubs have trouble accepting credit cards

Most mainstream processors, including Square, Stripe and PayPal, restrict or prohibit adult entertainment in their terms of service. Clubs often get approved in a few minutes online, start processing, and then get shut down weeks later when the processor’s review catches up with them. When that happens, the money from recent sales is often held for months.

Banks and processors treat clubs as high risk for a few specific reasons:

• Large, late-night tickets. VIP and bottle-service charges are far bigger than a typical bar tab.
• Chargebacks. Customers dispute charges they don’t recognize on their statement the next morning.
• Reputational risk. Many banks simply won’t underwrite adult entertainment at all.

The fix is not to hide what your business is. It’s to work with a high risk credit card processing company whose banks accept adult entertainment from day one.

How to accept credit cards at a strip club: step by step

1. Apply with a high-risk processor. Be upfront that you run a gentlemen’s club. An account approved for what you actually do is an account that stays open.
2. Send your documents. Expect to provide a government-issued ID for every owner with 25% or more of the business, a voided check or bank letter, your 3 most recent months of processing statements (if you’ve processed before) and your 3 most recent months of business bank statements.
3. Get matched with the right bank. Aacadia Payments works with 47 banks in the US and the UK and places each club with one that accepts adult entertainment.
4. Review your proposal. Go over the rate quote and terms, then sign when you’re ready.
5. Connect your POS and payment gateway. Your strip club payment gateway links the bar and door POS, VIP tabs and any online deposits or ticket sales to your new merchant account.

Approval typically takes about 48 hours from the time we receive your complete application package.

What does strip club credit card processing cost?

At Aacadia Payments, typical pricing is 2.99% + $0.12 per transaction. Your final rate depends on your monthly volume, average ticket size and processing history, and you’ll see the full quote before you sign anything.

Ask about rolling reserves too. A reserve is a percentage of your sales the bank holds for a period as protection against chargebacks. We try to negotiate no reserve on every account we place. Whether a bank requires one depends on your financial situation, credit score and industry, and if it does, we’ll tell you upfront.

How to keep your club’s merchant account open

Most club accounts that get closed are closed because of chargebacks. These habits keep disputes down:

• Use a clear billing descriptor so customers recognize the charge on their statement.
• Check ID and get a signed, itemized receipt for VIP, bottle-service and other large tabs.
• Post your refund and dispute policy where customers pay.
• Respond to every dispute quickly with the receipt and any supporting records.

Already shut down or on the MATCH list?

If a past processor terminated your club’s account, you may have been placed on the MATCH list (Mastercard’s Member Alert to Control High-risk Merchants), which makes it very hard to get approved anywhere. Aacadia Payments can help merchants get removed from the MATCH list, and past declines are not a problem for us.

Frequently asked questions

Can a strip club use Square or Stripe?

Both restrict adult entertainment in their terms, so a club that signs up risks being shut down and having funds held. A gentlemen’s club merchant account from a high-risk processor is the reliable route.

How long does it take to get a strip club merchant account?

Typically about 48 hours once your complete application package is in.

Can a strip club get approved after being declined?

Yes. If your club is a legal business, we can get it approved. We match you with a bank that accepts adult entertainment, which is how we keep a 99.8% approval rate.

Ready to take cards at your club? Start your application or call us at 512-265-1849.