I am helping to set up an online cigar web site. However, it has become a real pain to take payments online since tobacco is considered a "high-risk" item and nobody will provide a merchant account to process the payments. It looks like there are companies that specialize in high-risk merchant accounts. I was wondering if anybody could recommend a high-risk merchant account and payment processing provider?
http://www.usfsg.com/ might be able to help you. I am not affiliated with them but I know they are serious when it comes to offshore and high rish merchant accounts.
You can also use TrustWho to vet the authenticity of buyers. They reduce fraud significantly.