When you think about developments that have changed the business landscape, it’s hard to find anything more impactful than technology. Technological advancements have managed to touch every single industry and push businesses into a future that many didn’t even think possible. Now, businesses don’t just embrace technology just because they want to; rather, they need to, in order to stay competitive in today’s market.
With that said, many are quick to let go of practices, tools, and techniques that they feel are outdated now. One area where this is apparent is in the method of payment. Today, businesses offer credit card, debit card, and even e-wallet services as a form of payment – but what about the traditional check? Before you decide that checks should no longer be accepted by your business, you may want to read on. Here are three reasons you should still be accepting them.
They are a close second to cash
Most business owners are aware of the fact that cash is the most popular form of payment, but what you may not realize is that checks are a quick second. According to statistics, checks account for just under 75 percent of all transactions that aren’t in the form of cash here in the United States. By taking away that option, you may be passing up on sales opportunities. If a customer prefers to use checks over plastic, you need to give them that option.
It can result in lower processing fees for your business
As a business owner, the bottom line should always be a top priority, which also means finding ways you can save money. Did you know that accepting checks can actually help to lower your processing fees? Debit and credit card merchants will charge your company anywhere from one to four percent of the total price of each transaction. This is money just disappearing from the company that could go towards your profits. While this may not seem like a large amount of money, when you start adding it up over all the transactions made, suddenly it’s not such a small number.
When you accept personal checks from clients and customers, there are little to no interchange fees.
You can use remote deposit capture
If you had been put off accepting checks because you don’t want to have to go to the bank on a daily basis to cash them, the remote deposit capture technology is something you’ll want to be aware of. What this allows you to do is quickly and easily deposit checks by using your smart device.
Deluxe is a company that is making digital check scanning, depositing, and then clearing a breeze. You can do this any time of the day or night, as bank hours won’t matter. As long as your smartphone has a camera, the technology is available to you.
Don’t be so fast to get rid of checks
So, while it’s important to offer customers the option to pay with credit, debit, and e-wallet services, you also don’t want to scrap a payment method that benefits you as the business, and your clients.
(Featured image by Andrey_Popov via Shutterstock)
DISCLAIMER: This article expresses my own ideas and opinions. Any information I have shared are from sources that I believe to be reliable and accurate. I did not receive any financial compensation for writing this post, nor do I own any shares in any company I’ve mentioned. I encourage any reader to do their own diligent research first before making any investment decisions.
The crowdfunding equity platform ClubDealOnline launches ‘Round as a Service’
Thanks to the new service "RaaS", the ClubDealOnline portal will allow to launch capital raising rounds reserved to companies that...
XRApplied helps David take on Goliath: Walmart-style supply chains for SMEs
Retailing giants like Walmart and Amazon have an unfair advantage over their smaller competitors—their supply chains. With centralized databases and...
SparingVision closes a €44.5 million round and gives entry to Ysios Capital
SparingVision has recently closed a financing round during which it managed to raise $52.7 million (€44.5 million). The resources will...
How can HRD pave its way in the evolving world of FinTech?
Indian FinTech companies have consistently shown that the companies are either on Merchant Payment, Consumer Payment, Lending and finance, or...
What types of licenses for the production of cannabis will be granted in Ecuador
Ecuador is committed to be a part of the billion dollars cannabis market and has recently put in place a...
Featured7 days ago
Which fintech company raised the most funds in Q3 2020?
Cannabis7 days ago
Medical cannabis to be reimbursed in France from March 2021
Africa5 days ago
Fruitbox Africa: Frankfurt investor and Siemens to create jobs in Ethiopia
Featured6 days ago
HSBC survey shows investors’ interest in ESG is increasing