Handling cash is risky business. Not only do you face losses from miscalculations, misplaced cash, and other human error, but you also risk losing out due to theft, robbery, and counterfeit. These are serious issues that can affect your bottom line.
You must take precautions to remove the risk from handling cash at your business in order to avoid taking on unnecessary losses that can be devastating to your business.
Here are five steps you can take to reduce the risks associated with handling cash.
1. Manage Your Cash in a Timely Manner
When your establishment is crazy busy, it’s understandable that it can be difficult to find time for cash management at the beginning and end of each shift and at the end of the night. But when you’re counting floats, reconciling cash drawers and depositing your cash promptly, you can significantly reduce your risks. When you wait too long to perform any of these important activities, money can get misplaced or dishonest employees can feel tempted to take advantage of your untimely procedures. It might seem like a hassle to always manage your cash in a timely fashion, but it will save you considerably in the long run.
2. Make Your Employees Accountable
It probably seems more convenient to let your tellers share registers and let cash roll over from one shift to the other, but when you blur the lines of responsibility and no one is accountable for his or her own cash, you’re the one that loses. When you have no idea who was handling cash when money went missing, you can’t identify how mistakes happened, who made them, and how to prevent them in the future.
Plus, when your employees realize that they won’t get caught if they slip some of your hard-earned cash in their pockets because your system is so disorganized, you’re going to have a higher shrink rate. Make sure all of your employees are responsible for their own floats and registers and that no one else has access, so you can reduce your risk.
3. Use Counterfeit Detectors
If you think your establishment is safe from counterfeit fraud, think again. Any unsuspecting business owner can get defrauded, either by the criminals themselves or by innocent customers who have come in possession of the fake bank notes. Once you take those bills, the loss is yours. Make sure to keep yourself protected from these avoidable losses by investing in counterfeit detectors. They’re far more accurate than having your employees manually check bills, and they’re faster, too. This one small purchase can save you a lot of grief and money.
4. Use Cash Counters and Sorters
Cash counters and sorters take human error out of handling cash. They quickly sort mixed money by denomination and count while they’re at it. They’re completely accurate and incredibly fast. Not only will you avoid wasting so much time on handling cash, but you’ll drastically reduce your risk of counting errors, miscalculations, reporting mistakes, and other types of human error that lead to losses.
5. Use a Cash Recycler
A cash recycler is an amazing new machine that “recycles” your money. The same money that comes in goes out for floats and transactions. Not only will this speed up the transaction process considerably, but it will also reduce many risks. First, it also acts as a vault. Second, it counts and sorts cash automatically, so you won’t lose out due to human error from handling cash manually. Lastly, it has built-in counterfeit detection capabilities, so you won’t get defrauded. It’s like a cash counter, cash sorter, vault, and counterfeit detector, all in one.
As a business owner, it’s up to you to keep your money and your employees safe and reduce your risks from handling cash. Use these five keys to protect your cash.