How Have Small Businesses Adapted to Cash-Free Payments?

Over the last few years, small businesses have moved away from cash-only payments and introduced cost-effective, cash-free payment methods for customers.

Small businesses have always had to work hard to survive in a world increasingly dominated by large multi-national corporations, one of the ways they have done this is by accepting cash-free, debit card or contactless payments. 

Many small independent businesses have traditionally operated in predominantly cash payments and even the increase in the use of credit and debit cards hasn’t always been a smooth process for them. For many years, the use of card payments has incurred fees and charges for banks, which led to many such retailers imposing minimum spending limits on those intending to pay by card. 

However, with such fees now largely done away with and contactless technology becoming the preferred payment method of many customers, many small businesses have quickly adapted to the technology now available. 

Why are Cash-Free Payments Good For Small Businesses? 

Every single customer matters for a small business, perhaps even more so than larger retailers. Therefore, offering the option of a cash-free payment, whether with a credit or debit card or mobile payment app, is important to increase sales and retain and attract customers.  

It can also give customers a greater experience in your shop, which will lead to them having a positive feeling about your business. Word of mouth recommendations is vital for small businesses, especially when they can’t afford a huge marketing budget. 

From the businesses point of view, a greater capacity for cash-free payments also means you can cut down on the amount of hardware you need for processing sales. There is a wide range of more slimline card readers available to small business and compatible software which can allow payments to be processed through apps on smartphones or tablets. 

Cash-Free Technology is a Game-Changer For Small Businesses 

The development of NFC – or near field communication – has allowed many small businesses to embrace cash-free payments at a relatively low operating cost to themselves. There is no need for a clunky chip and PIN terminal on a counter and many such machines can come with fees. 

There are a number of card readers on the market which are ideal for small business, especially those dealing in a relatively small transaction. These readers are lightweight, easily portable and can be connected to WiFi and 4G.  

They are designed to be compatible with apps which can be installed on Apple or Android devices such as smartphones or tablets.  

Among the most popular such card, readers include the iZettle Reader, SumUp Air and PayPal Here.  

Card readers which are compatible with mobile phones are also excellent options for tradesmen who are often on the move, working in various locations such as clients’ homes or business premises. They allow them to accept payment with debit cards or mobile banking apps and they can email or text receipts to customers instantaneously. 

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