10 Cash Handling Mistakes Your Business May Be Making

Cash is used in around 20% of all business transactions, and this number only goes up for certain industries, with convenience stores and quick-service restaurants taking in much more. Cash is still king for many businesses, but managing it efficiently can be a challenge when even small mistakes can add up to big headaches. Here are 10 cash handling mistakes your business might be making, along with solutions to streamline your processes and keep your cash safe.

1. Daily Bank Runs

Constantly visiting the bank cuts into employee time and productivity. Consider a smart safe solution to free up staff for other tasks. 

2. Slow Deposit Clearing

Waiting for deposited funds to clear can hinder cash flow. Explore options for faster access to your cash deposits. For example, with a smart safe from Loomis you can expect next-day credit for the cash deposited into your smart safe through a provisional credit program with your bank. 

3. Dummy Safe Use

A dummy safe is one that only acts as a traditional safe and nothing more. Dummy safes offer minimal protection and can be very easy to break into, and especially easy for employees to steal from. Investing in a high-security smart safe can deter theft attempts and safeguard your cash while holding employees accountable for their cash handling practices. 

4. Banking Juggling Act

Managing multiple bank accounts can be complex. Consider consolidating your banking relationships for a more streamlined solution.  

5. Manual Cash Counting

Manual cash handling is prone to errors, especially if you operate a store or restaurant that gets a lot of business. When rush times get chaotic, it’s easy for human error to get in the way. Cash transportation services and products like smart safes and cash recyclers can automate these processes so your employees spend less time handling cash, and more time helping customers. 

6. Limited Cash Flow Visibility & Reporting

Without clear visibility into your cash operations, you can't make informed decisions for your business. A lack of clear cash reports makes it difficult to identify trends and optimize processes. Explore reporting tools that provide detailed insights into your cash activity. 

7. Change Shortages

Running out of change disrupts operations and frustrates customers. Look into change order services to ensure you always have the right denominations on hand. You may also consider investing in a cash recycler depending on your business’s needs. 

8. Inaccurate Counterfeit Detection

Relying solely on pen and paper methods or untrained staff can lead to missed counterfeit bills. Explore advanced counterfeit detection solutions to ensure the security of your cash and protect your business from losses. For example, bill acceptors on smart safes scan each bill that passes through the machine, automatically rejecting counterfeit bills. 

9. Unreliable Cash Carrier

While manual cash transportation is always a risk, an unreliable cash carrier comes with its own risks. Research secure, on-time armored transportation services. Some tips for choosing the right company: 

• Read customer reviews and ask colleagues for recommendations.
• Consider the longevity and trustworthiness of the company.
• Ask yourself if there are additional cash services your business may need—and if this transportation service has dependable customer support. 

10. Excess Redundancies

Redundant tasks and inefficient processes slow you down. Consider streamlining your cash handling practices for maximum efficiency by identifying and eliminating redundancies to free up valuable time. An example of a redundancy in cash handling could be making multiple trips to the bank in the same day or having too many banking relationships. Another example of a common redundancy is verification of counts where two people verify safe drop counts, deposit counts, and drawer/till counts. The good news is that the right tech can eliminate these redundancies.  

By addressing these common mistakes, you can improve multiple areas of operation for your business. Loomis offers a comprehensive suite of cash handling solutions designed to improve security, save time, and reduce costs. Let Loomis help your business achieve greater efficiency and peace of mind. 

For more detailed information on how to improve cash management within your business, download our Cash Management Tip Sheet.