"Cash is KING," is what the motto is, but when it comes to business, accepting cash only is not so king. Let me take you on a mind shift journey.
When doing business with other companies, I want you to think of what happens when you enter the store and have only a certain amount of cash on hand, you only spend the amount of cash that you have right? You really don't have a choice to spend but what you have if that is the only form of payment that you have or the only form of payment that the company accepts. But when you go to a store and you have your debit card or a credit card to pay for the product or service you may decide to spend a little bit more money than you wanted to. We all do this from time to time right? Especially in Walmart. You go in for one thing and come out with a buggy full.
With this in mind, I want you to consider your business for a moment and your cash only payment policy. Have you ever stopped and thought for a moment that because you are only offering one form of payment that it may be why your business bottom line is not growing? Have you ever wondered why your clients or customers don't book or purchase your high-end ticket services or products? It very well may be your cash only policy.
If you can go to a store and overspend because you used your debit/credit card instead of cash, then why in "your" business do you want to put a cap on how people spend money with your business because you are afraid to accept any other form of payment except cash?
According to Forbes, "A number of studies have indicated that people do spend more when paying with a credit card. In 2001, Drazen Prelec and Duncan Simester of MIT published the results of their research in Marketing Letters. They found shoppers spend up to 100% more when using their credit card to pay instead of cash."
So I ask again, why are you only accepting cash for your business? Is it because you don't want credit card fees? Is it because you are afraid of possible charge backs? Is it because you don't want your business to grow? The real answer is, it's all in your mindset and your perception of accepting cash only mean less problems for business transactions going wrong. Having a business will come with challenges that you must face, but you don't have to face them by limiting your bottom line.
The important thing is, is to get your business in order by having your business protected and let your legal team handle transaction dispute if and/or as they may arise in your business.
Comments