Globally cashless transactions are becoming the new way of doing business. Not that cash is obsolete now, but it’s heading fast in that direction.
When did you last pay cash rather than using an ATM or peer-peer payment systems like PayPal and Venmo?
Not exactly easy to remember, but that’s the thing, cashless means convenience.
However, it seems like cash isn’t going out without a fight.
Image by Gerd Altmann
There are resilient industries that continue to be majorly cash-dependent. Some are strictly cash-only regardless of the pressure of adopting new systems.
Are cash-only businesses stuck in the past?
Both cash and cashless systems have benefits and drawbacks. These businesses make the choice that suits them.
If you’re wondering which industries are known for cash-only businesses, keep reading.
1. Beauty Parlors
Despite being a multi-billion-dollar business, beauty parlors and nail salons still prefer cash-only payments.
A 2020 Nails Magazine report claims that the traditional cash-only method outweighs any other payment system in the US.
The type of business is what makes beauty shops predominantly cash-only since skin, hair, and nail care services are also on freestyle systems.
The stylist is usually paid per head rather than getting a paycheck. Cash-only allows both the stylist and establishment to get their cut quickly.
2. Retail Vending
The most significant retail vending machines with soft drinks and on-the-go snacks are cash-only.
Vending machines are becoming more advanced and automatic, making many cashless. However, the traditional cash-only-small-change culture seems relatively solid.
Vending machines selling non-food products are also becoming popular as people thrive on hectic urban lifestyles.
3. Small Diners and Food Trucks
Most chain stores and franchise hotels are cashless or use both systems.
But you’d be pressed to find a small restaurant or food track preferring credit cards.
Checking out is made easy in food trucks, exotic eateries, and mom-and-pop restaurants in your neighborhood.
These establishments have established a traditional cash-only policy known locally. Customers, therefore, carry cash and don’t consider it a deal-breaker even if they’d prefer using cards.
These eating joints are slowly adopting mobile payment, but it may take longer for them to shift to credit cards.
4. Errand Services
Errand and babysitting services are also primarily cash-only.
You can quickly pay someone in cash to get your groceries or food. These services have a lot of money for people involved, but a small amount is paid per service, limiting cashless use.
There are increasing possibilities of parents paying babysitters using credit cards. But this is not the main factor determining when choosing a babysitter. It’s more about reputation and trusted babysitters rather than payment systems.
In errand services (unless it’s Uber), there seems to be an informal agreement between sellers and buyers not to use cards.
5. Training and Antique Businesses
Passion-based businesses are mainly cash-only.
Examples of businesses in this sector can include:
- Dog training: Dog lovers offering personalized training for your pit bull and other mix-breeds are likely to demand to be paid in cash
- Antique and small art sellers: Antiques and craft businesses are mostly cash-only
- Fitness trainers: Writing checks and card payments are mostly ignored due to the temporary nature of the job.
These services and retailers tend to avoid chargebacks and the costs of running a cashless system.
6. Auto-Repair and Cash Wash
Providing car repair and car wash services is a very cash-rich business.
Car wash and repairs always preferred cash. These services have remained cash-based as they need a steady flow of money.
Things are different if the business is located in a thriving urban environment. But for the small backwater towns and roadside outposts, you’ll need cash just in case.
The future of business dealings and transactions is cashless. You can only resist advancement for so long, but the fact is time will overtake you.
For now, however, many industries still have businesses thriving on cash alone despite the challenges and the knowledge that going cashless could eliminate many of the problems.
For instance, cash has always come with the risk of robberies since the money is right there for everyone to see. But that doesn’t stop businesses from dealing with cold, hard cash.
Most businesses find their way around the issue of security by hiring armed security guards to discourage criminals. Special Security Services can help you quickly hire professional guards for your cash-only business.