India runs the world's largest real-time payments system. In 2025, UPI processed over 14.7 billion transactions a month — more than every credit and debit card transaction in the country combined. A business that still works mainly in cash is harder to find, harder to pay, and harder to lend to.
Getting started costs close to nothing. A printed UPI QR code carries zero transaction fees on person-to-merchant payments up to Rs 2,000. For online orders, payment gateways charge roughly 2% per transaction and handle cards, netbanking, EMI, and international payments.
The lasting benefit is the record. Every digital payment is logged automatically, which makes GST filing simpler, loan applications stronger, and daily cash-flow tracking effortless.
How to do it
- 1
Choose how you'll get paid
Most businesses need two things: a UPI QR code for in-person payments and a payment gateway for online or invoice-based orders. Start with the QR — it is free and live in minutes.
- 2
Download a business payments app
Install any business payments app and register with your business name, mobile number, and bank account. Use a dedicated business account, not your personal one. Widely used options are listed below.
- 3
Generate and print your QR code
The app creates a standing QR within the app itself. Print it, laminate it, and place it where customers pay. Display the business name so buyers know the payment reached you.
- 4
Add a gateway for online payments
If you take orders over a website, WhatsApp, or invoices, open an account with a payment gateway and complete KYC with your PAN, GST (if registered), and bank details. Most gateways offer payment links you can send without any website.
- 5
Reconcile every day
Open the settlement report each morning and match received payments against your invoices. Five minutes a day prevents disputes and gives your accountant clean data.
Tools you can use
These are widely used options for this step. The toolkit is an independent Bombay Chamber initiative and does not endorse any single product — compare them and pick what fits your business.
Common mistakes to avoid
- Mixing personal and business UPI accounts, which makes bookkeeping and GST reconciliation painful.
- Ignoring daily settlement reports, so failed or disputed payments go unnoticed for weeks.
- Displaying the QR where customers can't see it, so they default back to cash.
- Not checking the merchant discount rate (MDR) on cards before promising customers card payment.
Frequently asked questions
Is UPI really free for my shop?
Person-to-merchant UPI payments up to Rs 2,000 carry zero fees. Larger UPI payments and credit-card transactions through a gateway carry a small percentage fee, typically around 2%.
Do I need GST registration to use a payment gateway?
No. You can complete gateway KYC with a PAN and bank account. GST details are optional and only required if your business is registered for GST.
How quickly does the money reach my bank?
UPI to a linked bank account is usually instant. Gateway settlements are typically T+1 (next working day), and some plans offer same-day settlement for a fee.
Published by the BCCI Digital Toolkit, a Bombay Chamber of Commerce & Industry initiative. Pricing and availability of third-party tools change — verify current details before deciding.