Card payments must be embraced by small firms
Fri, 13 Nov 2009
Small businesses which only accept cash or cheque payments are increasingly putting themselves at a competitive disadvantage, according to a new report.
Merchant Accounts notes that many firms are still failing to provide the facility for their customers to pay on debit or credit card, a decision which could lead to loss of trade.
The firm said that while most online retailers understand the importance of accepting credit cards, businesses including restaurants, bars and small shops remain "behind the times".
While companies whose primary form of payment processing is cash and cheque may have a loyal following, it added, the inconvenience caused by an inability to pay on plastic card may dissuade other people from becoming regular patrons.
A spokesperson for the firm said: "The number one benefit of credit card processing is convenience.
"Customers without chequebooks often have problems at small businesses, especially since most people don't like to carry large sums of cash with them. When businesses accept credit cards, they can save sales that might otherwise be lost."
Plastic card transactions accounted for 66 per cent of all consumer spending in the UK during 2008, according to the UK payments association Apacs.
Posted by Steve Williams
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