Keeping Track of Your Cash During One of the Biggest Weekends of the Year
3 Min Read By Gabrielle Widenor
The big game is often one of the busiest weekends of the year for restaurants and bars. Whether customers are meeting their friends for an evening out or they’re placing an order for take-out for their at-home festivities, food establishments can expect to see an uptick in business this weekend. This year, according to NRF, an estimated 17.8 million people plan to watch the game at a bar or restaurant and spending for the day is estimated to reach $16.5B, or roughly $85 per person.
Every establishment can and should take advantage of the increase in activity that events like championship games bring, however there are many additional considerations outside of ensuring you’re staffed properly and your customers are happy. For example, with an uptick in business comes an influx of cash, especially with higher interest rates motivating consumers to utilize cash versus credit cards. Whether you own and operate a large establishment or a small one, there is always an increased chance of risks for cash management when dealing with more cash. With margins crunched during a tough economic environment, it’s even more important for businesses to reduce cash loss. Here are a few key considerations to make end-to-end cash management more seamless for you and your team as you prepare for the big game or any increase of customers paying with cash:
- From Customer to Business: The foodservice industry runs a high risk of cash management threats including cash shrinkage, inefficient cash handling and losses on the amount of time employees are being paid to handle cash. The first step to mitigating these risks is to identify the amount of time you and your staff spend managing cash – directly and indirectly. Once that amount of time is calculated, you can determine the labor costs to support cash handling efforts alone. Soft and hard costs can add up and can typically justify implementing a cash logistics solution like a cash recycler or smart safe, which help mitigate risk by enabling businesses to deposit money directly into a secure safe that automatically calculates the amount of money deposited, removing human time and error from the equation. The money deposited is then available in the business’ bank account the next day, without having to visit a bank in person.
- From Business to Bank: Typically, business owners or one of their trusted employees is responsible for physically closing out registers and transporting cash from the business to a local bank branch. While this method has worked for many businesses for years, it is not only inefficient but also extremely risky with common threats like theft or loss. A fullservice partner can safely handle transport, without cash loss or risk of harm to you or your employees, while ensuring you have the appropriate amount of cash on hand based on current activity and trends, like the big game.
- From Bank to Business Goals: An influx of customers and cash means you can meet your business goals and potentially even grow. However, with more customers and more cash, you are also likely to experience a higher volume of reconcilement challenges, that can often mess up your business reporting and predictions. Leveraging cash automation technology with reporting and reconcilement features can provide critical business intelligence, especially when managing and monitoring cash flow across several locations. This frees up more time for your employees to be assisting customers and minimizes the opportunity for error across the board.
As establishments continue to work against a tough economic environment, big game days can be an exciting time for restaurants and bars as they look to strengthen their financial foundations. Exploring the option of a third-party organization that can manage these cash-heavy days—everything from in-store cash management to up-to-date cash flow—allows you to not only save time, but it ensures your cash is safe, secure, and available and that your attention is where it should be, on your customers. Now is an optimal time to rethink your cash logistics solutions and consider whether an all-in-one partner could help you better compete in the market or if there are à la carte options that could solve the individual challenges you’re facing.