Cashless businesses take only card and contactless payments instead of cash. It can be faster and easier for customers to buy what they need, as well as simpler and safer for the business owner. There’s no counting change and no tempting money at your premises.
National stats suggest more and more of us expect cashless payments. 7.4 billion cashless payments were processed in the UK in 2018 – 31% more than 2017. 1 in 10 UK adults now use their card or phone for nearly everything, paying cash only once a month.
Would your business benefit from cutting out cash altogether? Here are the pros and cons.
The benefits of going cashless
Nowhere is crime-free. Keeping cash on your premises can tempt thieves and leave you out of pocket.
Faster and more efficient
Queues will be shorter, payments will go through faster, and you don’t have to fumble around counting change. It’s ideal for fast purchases at busy times.
ATMs are closing fast
As part of our move towards becoming a cashless society, hundreds of cash machines are closing each month. Your customers will appreciate easy card payments if there’s nowhere on the high street to withdraw cash.
It’s easier to keep accurate records
Cashless payments sync easily with your accounting tools, making it easier to do your books and cutting down on trips to the bank.
Whether you’re going completely cashless or not, you can switch to a clever and very fast card payment machine that saves you money all year.
Why your business shouldn’t go completely cashless
Hacks and power outages are a concern
As cash becomes more and more digital, some are worried it leaves both businesses and their customers open to hacking and fraud. Even if your payment tools have top notch security, data breaches are fairly common.
Some customers are conscious of their data being used for this very reason, so you risk scaring them off with a ‘card payments only’ sign.
Some customers will want it, others won’t
For younger populations and urban towns and cities, cashless is a popular way to pay. Not everyone wants to abandon coins and notes, though.
In 2018, the fewest cashless payments were processed in the North West, Northern Ireland, the North East, and Yorkshire. More remote and rural areas are still much more reliant on cash, and ageing populations are slower to adopt new technologies.
If your customers are still regularly using cash instead of, or as well as, card payments, you could lose their business if you get rid of the till completely.
Going cashless definitely has its benefits for some business types. If you’re serving coffee to busy commuters or want to cut down appointment waiting times, cashless can be really handy. It’s up to you and your customers whether it’s worth making the change.
Fancy making some improvements so your business can work faster and impress even more customers? With Capify’s Merchant Cash Advance, your small business could raise up to £500,000 and pay it back through customer card payments.
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