| Cash |
One of the most common and easiest forms of payment.
Many customers will expect you to accept cash.
You won’t have to pay any fees to accept cash. |
Customers might not want to make large purchases with cash.
Storing cash at your place of business or home, or transporting it to the bank, can be dangerous.
Ensuring your register is stocked with bills to make change can tie up money you could use for other business purposes.
Counting money at the end of each day is time-consuming. |
| Checks |
May lead customers to make more frequent or larger purchases.
Allows customers to safely make large purchases.
You won’t have to keep as much cash in your store.
You won’t have to pay any fees to accept check. |
After depositing a check, you’ll need to wait for the bank to process the check and put the money in your account.
There’s a risk that someone will try to pay with a fake check, or that a check will “bounce” if the customer doesn't have enough money and you won’t receive the payment. |
| Debit, Credit and Prepaid Cards |
May lead customers to make more frequent or larger purchases.
Allows customers to safely make large purchases.
Can be quicker and more convenient for customers at checkout than cash or checks.
You won’t have to keep as much cash in your store.
You don’t have to worry about bad checks or fake cash.
Allows foreign travellers to more easily make purchases. |
You’ll have to wait for the transaction to process before getting money in your account. This usually takes between one and three days.
You may have to pay transaction fees, a small percentage of the transaction. Debit cards generally have lower fees.
You will need to purchase or rent a device to accept payment (called a point-of-sale device).
You may be responsible if a customer uses a fake or stolen card to make a purchase.
If a customer disputes a charge (i.e., initiates a “chargeback”), the transaction may be reversed and you won’t receive a payment. |
| Mobile Payments |
May lead customers to make more frequent or larger purchases.
Allows customers to safely make large purchases.
Can be quicker and more convenient than accepting cash or checks.
You won’t have to keep as much cash in your store.
You don’t have to worry about bad checks or fake cash.
Mobile payments may be more reliable than card-based transactions in some areas.
If you sell items at markets, conferences or trade shows, you can bring your mobile payment system with you.
Allows foreign travelers to more easily make purchases. |
You’ll have to wait for the transaction to process before getting money in your account. This usually takes between one and three days.
You may have to pay transaction fees, which is usually a small percentage of the transaction.
You will need to purchase or rent a device to accept payment (called a point-of-sale device).
You may be responsible if a customer uses a fake or stolen payment information to make a purchase.
If a customer disputes a charge (i.e., initiates a “chargeback”), the transaction may be reversed and you won’t receive a payment. |
| Electronic Bank Transfers |
Allow you to receive large payments without paying fees.
Allows customers to safely make large purchases.
Can be quicker and more convenient than accepting cash or checks.
You won’t have to keep as much cash in your store.
You don’t have to worry about bad checks or fake cash.
Could be a good option if you sell products or services to other businesses. |
Non-business customers might not feel comfortable transferring money directly from their bank account to your business.
You’ll have to wait for the transaction to process before getting money in your account.
You may need to set up this type of transaction with your bank and the customer’s bank, which isn’t always easy. |
| Mobile wallet |
Payment via a mobile wallet lets the customer pay without a physical card;
It's often more secure for the customer than the use of a physical card, as the data is encrypted and can’t be seen;
Most smartphones are now equipped with mobile wallets;
A quick and efficient checkout process can encourage customers to make more frequent purchases. |
It requires you to rent or own a device upon which to process the “tap” and complete the transaction. |
| QR “Quick Response” Codes |
A contactless payment option for customers who want a hands-off experience;
Enabled in most smartphones, they don't require customers to use an app for access;
It doesn’t require a POS or payment terminal to complete transactions. |
A strong Wi-Fi connection is needed;
May require customers to input credit or debit card information more than once since information is not automatically stored. |
| AutoPay |
The AutoPay function is easy to implement for your customers;
Beneficial for subscription services or recurring payments;
it ensures on-time payments that aren’t reliant on customers being reminded to submit payment;
Less time is spent following up with customers to remind them to submit payments. |
Overdraft payments occur more often with AutoPay, resulting in reverse transactions;
Customers may forget about the AutoPay they’ve set up and request refunds after the fact. |
| Email Invoicing |
If your business provides services, email invoicing immediately after the service lets the customer pay and get a receipt automatically;
Lets you streamline your reporting and manage data securely, connecting with your CRM and accounting systems;
More efficient and environmentally friendly;
Transactions are quicker, and less follow-up is needed in order to collect payment. |
Primarily for service providers and less useful for retail, consumer goods or online businesses;
Increased potential for lost emails or being flagged as junk mail. |
