3 Reasons Why Cash Management Is Important to Retail

    Jan 31 2020

    Did you know that cash flow is implicated in 82 percent of all business failures? Those in the retail industry probably know this reality. Cash still accounts for a large portion of retail transactions, which makes managing cash even more essential.

    In fact, many business owners aren’t entirely aware of just how much cash could be costing them. Better cash management is essential for a healthy bottom line.

    Not convinced cash management is key to the success of your retail store? Check out these three reasons to invest in better cash management for your operations.

    1. Improve Accuracy with Better Cash Management

    Counting cash by hand is both tedious and error-prone. Your employees are only human, after all, so you can expect to see plenty of discrepancies and accounting mistakes. Trying to reconcile the books means retracing your steps to pinpoint the error. In some cases, this can take more time than counting the cash in the first place.

    Just how much is this inefficient cash handling process costing your business? The answer is probably more than you think.

    Over time, these errors add up. You might only be out by a nickel or two, but that will still affect your bottom line. In an industry where margins are razor thin to start, you can’t afford those mistakes. Worse, the time and effort put into resolving the mistakes drive the bill up even more.

    Luckily, there are solutions designed to assist your human team. Cash management technology has improved leaps and bounds over the years, and the devices you’ll find on today’s market are both speedy and accurate. You can say goodbye to playing Sherlock in your books night after night, and week after week.

    2. Improve Visibility and Reduce Loss

    If you’re not managing your cash the right way, it can be difficult to keep track of it. An extra withdrawal from the safe, an accounting error, and more all add up.

    Better cash handling procedures and the right technology could help you improve the visibility of your cash. By monitoring it closely, you can make better decisions and take the right steps to protect it.

    3. Improve Your Team’s Productivity (and Boost Your Bottom Line)

    How much time managing cash are your cash supervisors and cash attendant spending every day? If they count by hand, it adds up. The more tills to be counted and the more floats to be prepared, the more time your team is sinking into each of these tasks.

    What else could they be doing with that time? Chances are you can think of at least a few tasks. Maybe your shelves aren’t getting stocked as fast as they need to, or maybe tasks like dusting and tidying up go by the wayside at the end of every shift.

    If you could free your team from the tyranny of manual cash management, they may even just be able to focus on providing better customer service.

    It’s easy to see how this can impact your bottom line. Your team’s productivity will soar, and you might even convince customers to buy a few more things or come back time and again.

    Better yet, more efficient cash management processes could help you reduce your overhead costs. You might be able to shave 15 minutes off every cashier shift, or maybe you can schedule fewer cash supervisors. With better cash management, a better bottom line is yours.

    Is It Time to Invest in Cash Management Solutions?

    If you’re wondering how to improve your cash handling, it might be time to invest in a cash management solution. Whether you need a simple solution like a coin counter or something more robust, the right technology can save you money, improve productivity, and so much more.

    If you’re ready to discover better cash management for your business, get in touch. The right solution may be just a click away.

    Andrea Lombardi

    Andrea Lombardi

    Andrea joined the CashTech team upon its inception in 2003. Learning the business from the ground up, she now utilizes her expertise in account management, planning, and negotiation while managing the daily operations of CashTech’s sales, marketing, and logistics departments. Andrea holds a bachelor’s degree from the University of Western Ontario. She enjoys travelling and has a passion for personal fitness, including obtaining her kettlebell certification. Andrea lives in Toronto with her husband and two young sons.

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    CashTech Currency Products Inc.
    1040 Cardiff Boulevard
    Mississauga ON, L5S 1P3