Posted by Tim Sine in: blog Restaurant

In a previous post, we discussed some of the benefits of not accepting cash as payment within your small business. While it undoubtedly increases efficiency and minimizes the risk of robbery, operating a cashless business does have its downfalls. In this post, we’ll explore the potential hurdles you’ll face should you choose to implement this model. During this transition, protect your business with a comprehensive Wright City Restaurant Insurance program.

People still pay with cash.

The majority of people have credit and debit cards, but there are people who prefer to use cash. Whether they want to keep a close eye on what they spend or maybe their card had to be replaced, either way cash is still a prominent way to pay.

Not everyone has a debit card.

Depending on the type of business you own, this could be a problem. Not everyone is old enough or financially able to have a credit card, which means you could be turning away an entire group of potential customers.

For example, if you’re a classier, high-end restaurant that’s not aimed towards kids, this may not affect your business. But if you’re used to a group of students coming to your quick-service restaurant for a sandwich or a pizza after school, or if you own a restaurant in a less affluent area, this could end your business, says Toast.


Credit tips are not immediate like cash ones, plus they have to be cut to pay credit card processing fees. If your employees rely on tip jars, this could be a huge hinderance on their morale.

Credit card processing fees.

While you might be able to more accurately gauge the credit card processing fees each month, you’ll need to pay a lot more with a cashless business. Therefore, either your prices will have to go up to accommodate this, or you’ll take a bigger hit each month.

About Sine Insurance Group

At Sine Insurance Group, we offer a broad portfolio of coverages to address even the most niche-specific risk you might face. Our comprehensive solutions can be tailormade to include necessary protections such as Food Borne Illness, Food Spoilage, Equipment Breakdown, Valet, Cyber Liability, and more. What’s more, we aim to protect your employees, as well. Our five Certified Workers’ Comp Advisors-through the organization of Work Comp Professionals-are poised not only to secure the workers’ comp coverage you need, but we can also help you control your losses and ultimately reduce premiums. For more information, we invite you to contact us today at (636) 947-1177.