Banking Cash...

[swinny]

Just wondering how people go about this? 

 

I find cash nowadays a pain. Costs to pay in etc and prefer bank transfers or cheques.....

 

More costly to pay in also!

 

What do people do? do you run a petty cash account? bang in in a building society (no fees) 

 

On things like logs and chip etc or small sales of products to new customers better to get paid there and then but still to get it into the bank.

 

No daft answers please. 

 

Cheers

[Woodworks]

I run my business on a personal account so no charges. Every few years they call me in and say I must get a business account. I say if I have to open a new account I will shop around then it goes quiet for a few more years. Only a sole traded but this has worked for 30 years so far

[gdh]

About 40% of our firewood sales are cash (50% cheque, 10% online) so it just gets banked in our business account. The fees are small with Lloyds and I would choose cash over anything personally. Our biggest problem though is that our nearest bank is 25miles and despite insisting you use them their money counters are never working properly...

[Stephen Blair]

Tell your customers cash payments incur a charge as it costs you to bank it.

  Offer another means of payment like other businesses.

  Can’t be many folk that don’t use their phone for everything nowadays.

   

[htb]

1 minute ago, Stephen Blair said:

Can’t be many folk that don’t use their phone for everything nowadays.

I'll be one of those other folks then Steve.

[monkeybusiness]

We avoid cash for the same reasons as swinny - it’s a pain in the backside/costly to bank it. We invoice after leaving the job and are mostly paid by BACS (with the odd cheques here and there). 

The odd payments we receive in cash throughout the year I declare as dividends at the year end and spend as my own money as if comes in - this wouldn’t work if the amount of cash we took was high though! 

 

[eggsarascal]

5 minutes ago, htb said:

I'll be one of those other folks then Steve.

Me too. Give me pound notes over any other sort of payment and I'm most happy, everyone paying by phone, I ask ya.

[SimpleSimon]

Must be very easy these days to offer an online credit/debit payment portal. 

Build the admin fees into your pricing so that it doesn't matter what method the customer uses. Big convenience points for the customers and also means you can win business from people who may not have instant funds available who would use a credit card. 

[Peasgood]

Use cash as often as possible for purchases such as fuel etc.

[maybelateron]

My payment methods, in order of preference, are internet banking transfer, then cash, then cheque.

 

I put the cash into our domestic cash and transfer the same amount from our domestic joint account into the business account. Then we use cash for most domestic shopping/car fuel etc. If  the cash builds up faster than we spend it, I can always use the cash for business purchases then refund the money from the business account to the domestic one. My bank charges for these transfers are minimal, and I can't remember the last time I had to use a cashpoint.