When real estate professionals Kavan Thanasith and Travis Chrisman faced the 2008 market crash, they began looking for alternative career options. Thanasith was first to move into payment processing as an agent for an ISO under First Data Corp. Chrisman followed after Thanasith moved to his next ISO.
In 2013, the two partnered, opening Carlsbad-based Coastal Pay, with Thanasith becoming chief executive officer and Chrisman serving as president. "I realized I had to stop building other people's companies," Thanasith said. "We wanted to create a new culture and wanted to do it right."
According to Thanasith, the industry was "full of rotten apples that messed up the ecosystem." He and Chrisman wanted to open a different kind of ISO. "We wanted to keep employees happy and sell ethically," he said.
Initially operating as a First Data ISO, the pair grew Coastal Pay by 300 percent in the first 12 months and 600 percent the following year, Thanasith noted. "We grew to a 20,000 square foot office, 150 employees, a couple hundred traveling sales professionals, and a call center making appointments for them," he said, adding that although the organization was working as planned, it was "a very expensive infrastructure to maintain — especially in California — so we decided to make a shift."
Two years ago, Thanasith and Chrisman modified Coastal Pay's main business model, a move that significantly impacted existing operations. "It was definitely an unraveling, because our company is huge on culture," Thanasith said. "We're all about growth and helping each other, and no one wanted to leave the family culture, so we found ways to repurpose, if possible."
As part of that, they created a program for sub-ISOs and independent agents, believing that their differentiator was a keen understanding of the difficulties the feet on the street face, such as registration and building infrastructure like a CRM system, which typically costs ISOs between $5,000 to $10,000 per month.
"It's what keeps these guys from growing, so we wanted to provide them with the tools they need to thrive," Thanasith said. "We provide them everything from coaching, to training, to access to a centralized system, so they can have that solid structure to build on and a platform that will help them make money without a lot of investment."
They first boarded a sub-ISO from Nepal as a pilot program and helped that ISO set up and expand, using the high-touch, hands-on support approach they'd used for building their business. "We like to help the partners grow, because if we help everyone else grow, it helps us too," Thanasith noted.
According to Thanasith, their sub-ISO model flourished because Coastal Pay had pre-existing relationships with banks and processors and offered the sales force a higher revenue share than other parent ISOs. "They [sub-ISOs] have access to all of our processor relationships with those buy rates," he said. "They can bring in whatever deal they want and we pretty much have a bank for it. It's plug and play, and then we work to nurture them from there."
Thanasith indicated Coastal Pay now has 140 sub-ISOs submitting business now and a hope to grow that pool by 10 more each week. "We want to continue strengthening our infrastructure for our partners and agents," he said.
Thanasith also heralded Coastal Pay's efforts on the CBD front. "Everybody started asking us about CBD, and one of our biggest milestones was being at the forefront of that industry," he stated. "Coastal Pay has excellent banking relationships for CBD, so we'll be first in line when new banks open up for payments."
In addition, to add value to its sales offerings, Coastal Pay is collaborating with Coastal Labs, a sister CBD company founded by Thanasith and Chrisman in 2018, which Green Hygienics Holdings signed an agreement to acquire in 2019. "Our two operations are now helping each other," Thanasith noted.
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Senior Vice President
Company Profile originally appeared in
The Green Sheet Issue 200802
220601 - Nationwide Payment Systems
211102 - Kalamata Capital Group
210701 - Choice Merchant Solutions
200601 - Delta Payment Solutions
190802 - Credit.net, a division of Infogroup
190702 - Samsung Electronics America Inc.
181201 - Network Merchants LLC
180902 - MainStream Merchant Services Inc.
180801 - Century Business Solutions
180502 - Priority Payment Systems Northeast
180501 - Merchant e-Solutions Inc.
180301 - Wirecard North America
180201 - Sysnet Global Solutions Ltd.
171202 - Secure Cryptopayments
171002 - National Benefit Programs LLC
170902 - Frates Insurance & Risk Management
170901 - DCS Holdings Group LLC
170802 - Apogee Payment Systems LLC
170702 - Active Software & Hardware Systems
170701 - Veratad Technologies LLC
170502 - Frontline Processing Corp.
170501 - Platinum Choice Bancard LLC
170201 - Electronic Payments Inc.
161202 - International Bancard Corp.
161201 - CSR Professional Services Inc
161102 - Digitzs Solutions Inc.
161101 - Residual Sheriff LLC.
160801 - DigiPay: Solutions Inc
160702 - CreditCardProcessing.com
160201 - Lead Tracking Systems LLC
151202 - Benseron Information Technologies Inc.
151201 - CardWare International Inc
151101 - Lion Capital Group LLC
150801 - Topcreditcardprocessors.com
150702 - Vision Payment Solutions LLC
150601 - Conformance Technologies
150502 - Global Processing Systems
150402 - Mercantile Processing Inc.
150401 - Field Guide Enterprises
150302 - Signature Card Services
150301 - Premier Payment Systems Inc.
150201 - Humboldt Merchant Services
150102 - Expansion Capital Group LLC
141102 - National Merchants Association
141001 - Instant Credit Manager
140902 - Merchant Cash and Capital LLC
140701 - National Transaction Corporation (NTC)
140601 - Total Merchant Services
140501 - Nationwide Payment Solutions
140501 - BPC Banking Technologies
140301 - Meritus Payment Solutions
140201 - Process Pink Payments LLC
131202 - First American Payment Systems L.P.
131102 - Evo Payments International LLC
131001 - Live Reps Call Center
130901 - Regal Payment Systems LLC
130901 - The Merchant Solutions
130802 - North American Bancard LLC
130801 - Payment Logistics LLC
130702 - Plug n Pay Technologies Inc.
130601 - U.S. Merchant Systems LLC
130402 - National Processing Co.
130202 - Charge Card Systems Inc.
130202 - Layered Technologies Inc.
130102 - Glazer_Kennedy Insiders Circle LLC
121202 - American Microloan LLC
121102 - Keep in Touch Systems Inc.
121102 - Merchants Choice Payment Solutions
121002 - Washington Bancard Merchant Services LLC
120902 - Central Payment Co. LLC
120802 - Royal Merchant Holdings LLC
120801 - National Benefit Programs LLC
120602 - Cardinal Commerce Corp.
120601 - Veritrans Merchant Services LLC
120502 - ExecuTech Lease Group
120502 - The Small Business Authority
120402 - Chargeback Guardian Inc.
120401 - Electronic Payment Exchange
120301 - Complete Merchant Solutions LLC
120201 - CSR - Compliance Solutions and Resources
120102 - Alpha Card Services Inc.
111002 - Lead Source Call Center
111001 - First Annapolis Consulting Inc.
110902 - Point of Sale System Services Inc.
110901 - Sage Payment Solutions
110801 - Century Payments Inc.
110702 - Creative Vision Studio LLC
110702 - Network Merchants Inc.
110701 - Capital Access Network Inc.
110602 - eProcessing Network LLC
110602 - Moneris Solutions Inc.
110502 - Paragon Application Systems Inc.
110401 - Merchant Implementation Services
110301 - FrontStream Payments Inc.
101202 - CheckAlt Payment Solutions
101102 - Impact Payments Recruiting
101101 - Global Electronic Technology Inc.
101002 - TriSource Solutions LLC
100802 - Federated Payment Systems LLC
100801 - Voltage Security Inc.
100601 - NETSURION (formerly Vendor Safe Technologies)
100502 - Transaction Network Services Inc.
100402 - Secure Payment Systems Inc.
100401 - Elite Merchant Solutions
100302 - Retail Decisions Inc.
100102 - Payment Alliance International
091201 - Performance Training Systems Bankcard Boot Camp
091101 - Merchant e-Solutions Inc.
091002 - Whitehall Capital Advisors LLC
090901 - CoCard Marketing Group LLC
090801 - First National Merchant Solutions
090701 - checXchange Money Transfer Systems Inc.
090601 - Sterling Payment Technologies
090502 - Infinity Payment Systems
090501 - Merchant Cash and Capital
090401 - UseMyBank Services Inc.
090401 - Data Delivery Services Inc.
090302 - Velocity Merchant Services
090302 - Metro Merchant Services
090301 - Smart Transaction Systems Inc.
090301 - DCC Merchant Services USA LLC
090202 - TransFirst Holdings Inc.
090201 - ACH Payment Solutions
081202 - Affirmative Technologies Inc.
081201 - On-line Strategies Inc.
081101 - Vision Payment Solutions LLC
081002 - Veratad Technologies LLC
081001 - International Merchant Solutions LLC
080801 - GreenSoft Solutions Inc.
080702 - Smart Circle International
080601 - International Bancard Corp.
080502 - DRG Telemarketing Inc.
080501 - BCC Merchant Solutions
080402 - U.S. Merchant Systems
080401 - Greystone Business Resources Corp.
080302 - Transmedia Payment Services Ltd.
080102 - Sonoma Technical Support Services
071202 - Barclay Square Leasing Inc.
071102 - FirstView Financial LLC
071001 - Sage Payment Solutions
070902 - YourTownMall Business
070901 - Nxgen Payment Services
070802 - All card Processing-AAMonte-USA
070801 - Money Movers of America Inc.
070602 - Central Point Resources Inc.
070601 - Positive Feedback Software LLC
070502 - Premier Payment Systems
070501 - Amacai Information Corp.
070402 - National Bankcard Systems