Although many people use debit and credit cards to make payments, a lot of businesses still prefer business checks over plastic. That’s because there are tons of benefits of using checks for business purposes. A lot of retailers still accept checks to give their customers an extra payment method to choose from. Check transactions are also appreciated by elderly clients and customers, who are familiar with the process. For accepting debit and credit card payments, small businesses need to pay a processing fee, something that many business owners don’t want to do. If you are wondering why checks are still around, here are some key benefits of using business checks.
Expenses Are Easier to Track
Managing expenses and keeping track of cash flow is essential for running a successful business operation. By paying for all the expenses using computer business checks, companies can easily track all their expenses using accounting software packages such as Quickbooks. It also makes sense to use business checks instead of personal checks so that all the business related expenses are easier to track. When paying vendors, employees, and utility bills using checks, businesses can calculate their total expenses by reviewing their banking statements and filtering out the check payments.
They Grant Your Business That Professional Look
Whether you run a small business or a large enterprise, you want your business to look professional. Paying vendors and employees using personal checks can damage your company’s reputation. Without a business checking account, you will also be forced to ask customers and clients to make payments to your personal account. This is a practice that’s extremely frowned upon as it looks highly unprofessional. There are no two ways about it, if you own a business you need proper business checks with your company logo printed on them.
Recipients Don’t Need to Pay Processing Charges
As mentioned before, businesses need to pay a processing fee for accepting credit card payments. As a business owner, you might need to work with other businesses that do not accept credit card payments. Checks, on the other hand, are universally accepted and they are highly cost effective. In fact, cheap laser checks cost only a few cents and individuals receiving them don’t have to pay any processing fee.
E-Checks Have Made Things a Lot Faster
One of the primary reasons for not accepting check payments is the delay and effort that goes into depositing the paper checks by visiting the bank. However, those days are gone. Banking services such as electronic check acceptance turn paper checks into electronic checks. People can scan and send received checks using their mobile banking app. Once scanned and sent, the paper check is voided and the payment is transferred from the payer’s account to the recipient’s account electronically. The entire process is much faster than what it used to be.
Some People Prefer Still Checks
A significant percentage of the human population still prefer check payments. These include people who are not comfortable with mobile or online banking. A business checkbook comes in handy when doing business with these individuals. Business checks are also the way to go for quickly paying for services and goods without wasting time on registering the recipient’s account details. Without the need of entering the recipient’s account details online, you can simply write a check, settle the due, and be on your way.
