Nearly half (49%) of Boomer small business owners do not accept credit cards—making them three to four times less likely to eschew cards than Millennial (12%) or Gen X (14%) small business owners.
[graphic with the following text: Credit Card acceptance rates vary by generation, with Baby Boomers 3-4 times more likely to eschew cards that Gen-X and Millenial small business owners]
For those who do not accept credit cards, three in five (60%) small business owners report it is not necessary in their line of work. Others cite processing fees as too expensive (26%), cost of renting and repairing card terminals is too high (19%), and credit cards can slow down cash flow (19%).
While accepting credit cards for payment can be a daunting step to take for small business owners, investing in QuickBooks will take all of the unknown and complicated steps out of the process. Adopting QuickBooks will allow for small business owners to accept credit card and free bank transfer payments, get paid two times faster, be able to track everything all in one place and much more.
Intuit® also makes it easier for small businesses that will need to accept payments on the go. With QuickBooks’ free card reader, they will be able to swipe debit cards and credit cards, and the sales will automatically appear in QuickBooks in real time.
With QuickBooks Payments, small businesses can streamline, speed up and automate payments. Additionally, as no one enjoys being the collector, QuickBooks provides a recurring payments feature that charges customers on a monthly or ongoing basis with automatic payment requests.
Intuit strives to solve small businesses’ payments needs, which centers largely on getting paid fast and ensuring their cash flow remains strong as a result. Small business owners who use QuickBooks get paid three times faster than the average, and when invoices are sent pay-enabled on QuickBooks, the median days to paid is 5.8 days. According to the National Federation of Independent Businesses, 64% of small businesses have invoices that go unpaid for 60 days or more, so this is a vast improvement.
On top of the broader QuickBooks Payments offerings, Intuit is announcing a new innovation to help customers get access to their money sooner: Next Day Funding for both credit cards and ACH. Next Day Funding represents a massive opportunity to improve cash flow for small businesses, freeing up valuable funds that can help businesses manage and grow. This is especially significant for ACH payments, which often are subject to longer payment times for small businesses.
The State of Small Business Cash Flow was conducted by Wakefield Research in Fall 2018 and surveyed 3,000 small business owners of companies with 0-100 employees in the U.S., UK, Australia, Canada and India. To read more of the survey data, you can read the full State of Small Business Cash Flow report here.