With the festive season behind us, businesses are either scrambling for cash flow because of the holidays or need to plan theirs for the quieter period to come. You shouldn’t need to worry about your credit card machine supplier limiting your cash flow as well! Cash flow can be described as the amount of spending power, available cash or liquidity between the beginning and end of an accounting period. A strong cash flow indicates that your business has a healthy balance between what it earns and what it spends money on. This month we will be discussing how we can help your business by giving you better service and helping you to stabilise your cash flow. Take a look at these three reasons why you end up saving more when you Get Connected and Get Paid with WAPPoint!
CASH FLOW MADE EASY:
Most service providers offer gross settlement and then deduct all the merchant fees on month end causing many merchants to suffer cash flow problems as salaries and other creditor payments are due at the same time. That’s why we prefer to Net-settle so you don’t have any surprise debits on month end. This means that every time you accept card payments with your WAPPoint card payment facility, we automatically deduct the transaction fees per transaction when we pay you out. By doing this we help you simplify your reconciliation process and you can keep track of all your payments and transaction fees by using the reporting available on our customer portal.
No Minimum Turnover Requirements:
Every business owner hates hidden costs, especially when it can affect your cash flow and bottom line. This is why we do not have a minimum turnover requirement or charge minimum service fees like the majority of suppliers in our industry. Don’t be fooled by providers who seem to offer you the lowest prices but catch you out with penalties for earning less than their stated minimum. This an unnecessary risk to take especially in the month when you have the lowest cash flow because your turnover is less than normal. These penalties from other suppliers could be anything from R250 per month up to around R400 per month if expected turnover is not achieved. We do not have any minimum turnover requirements therefore no hidden unplanned costs!
R0 Monthly vs Low Cost Rentals:
Many service providers advertise their smartphone payment terminals with “no monthly fees” because you purchase the device outright. Have you considered the long term replacement costs that can hurt your pocket when the device warranty has expired? Set your mind at ease with a low cost rental package instead and get unlimited swap outs. The reason that we chose this option is because it provides you, the merchant, with peace of mind knowing that you are paying for a service and that we are there for you whenever you need us.
Save On Monthly Rentals:
You could be saving thousands of Rands by Renting to Own or Purchasing a WAPPoint mobile debit and credit card machine! This will help you save on long term on monthly rental fees. We are currently the only service provider to offer this for traditional mobile card machines as manufacturers only allow purchases in large quantities and bank certification can cost millions. We also offer a service plan to cover any repairs along the way! To put it into perspective, the average traditional card machine has a 5-7 year life expectancy and other suppliers may charge you around R400 per month or more. If you were to purchase a brand new machine from WAPPoint then you could save more than R14 000 in rental fees over 5 years!
TIPS FOR A STRONGER CASH FLOW:
If you have been living one month at a time or are unsure of how to plan your cash flow in your business, take a look at these tips:
- Create a budget and STICK TO IT! Planning your income and expenditure is the first step in ensuring that you know how much spending power you will have and where you may be wasting resources that could be reallocated in order to help your business grow faster.
- Watch those figures. By keeping track of the sales performance of your company you will know what to expect in the next accounting period with regards to cash flow. After a while of doing this you will be able to plan your expenses long in advance for periods with stronger cash flow.
- Set backup plans in case you do not reach sales targets. Things go wrong and you need to plan for it! By finding additional revenue streams it is possible to maintain a healthy cash flow when the unexpected happens.
- Invoice your clients quickly. Invest in good support software and admin staff. This will allow your business to maximise the rate at which your money comes into the business after the sale is concluded. If you own a shop with immediate payment from walk-in clients then you should focus on arranging flexible payment arrangements with your suppliers.
- Watch your debtors list! Ensuring that your customers are invoiced promptly is only half the battle. The next step is getting them to pay as quickly as possible so keep those payment terms short and watch them to make sure that your cash comes in before your expenses need to be paid.
At the end of the day, we don’t want to advise you on how you should run your business in your particular industry as that is your area of expertise. We want to prepare you so that you know which questions to ask in order to get the best-suited merchant services for your business and ideally this will be with us. Our team is constantly striving to find ways of helping you to grow your business through excellent service and handy tips that many small businesses do not know about.
To find out more as to why you should join or switch to WAPPoint, take a look at these 6 Reasons Why Our Credit Card Facility Services Are the Best and feel free to fill out this Sign Up form so that we can get in touch with you to offer you so much more.
