Cash Only Business? 4 Reasons You Should Accept Card Payments

The age-old question, cash or card? In today's digital age, the answer seems to be shifting towards card payments. While cash still holds its ground, especially in the majority of businesses, a small portion remains cash-only. However, with the increasing preference for card payments, it's crucial for businesses to adapt to this change.

Operating a cash-only business may seem beneficial, especially for smaller firms. It's easier to handle payments and track your earnings. However, this approach can be severely limiting. By not accepting card payments, you could inadvertently be turning away a significant portion of your potential customer base. According to Weave, only 36% of business customers carry cash these days, and 55% of businesses in their survey group are cash-only. This means they're missing out on the 64% of the population who prefer card payments.

Still not convinced? Let's look at some reasons why moving your small business to a more inclusive payment experience is beneficial.

Convenience

For many, the convenience of card payments is undeniable. It eliminates the need to carry cash and allows for more spontaneous purchases. By not offering this convenience, you could be making it harder for potential customers to buy from you, especially those without immediate access to cash.

Increased Sales

Following on from the above point, let's say someone comes into your store with $30, and you have an offer on something they want, but this product deal and their required purchases take them over the $30 they have on them. They have money in the bank but in their own person. Chances are they will leave the additional item to make accommodations to be able to afford what they can with the cash limit they have. Opening up the floor to card payments; for example, you can use these machines to accept credit cards, which means you can make the sale of the customer and boost your sales.

Increased Credibility

Want to appear credible and trustworthy to customers? Accepting a credit card is a great way to do this. Customers want to trust you as a business, and if you accept card payments, you're demonstrating that they can do this, which gives your company added credibility. This is because if something goes wrong and they pay with their card, they have added protection, and this protection can be an influencing factor in whether they complete the sale or not.

Boost Cash Flow

Contrary to popular belief, accepting card payments can actually help boost your cash flow. You no longer have to wait to deposit cash into the bank with card payments. You receive payment immediately, improving your cash flow and ensuring the smooth running of your business. This financial stability can be a game-changer for your business.

Taking card payments can be extremely beneficial to small businesses in many ways. While still accepting cash is paramount to catering to those who prefer to pay via this method, making accommodations for those who prefer to pay via card is also paramount.