SmallBusinessNewz

These days, a business almost has to offer multiple methods for payments. As discussed in the video below, a business should however, set up a payment policy to protect the financial health of the business.

While cash payments are usually readily welcomed, there are still some concerns with it. In addition to always being on the lookout for counterfeit bills, businesses also need to be aware of IRS stipulations for cash amounts of $10,000 or more. If your business receives cash amounts such as this, use Form 8300 to comply with the IRS rules.

When accepting checks, there are several things a business needs to be attentive to. First of all, always ask the check writer for his/her driver's license or identification card. Also, make sure the check is written and signed in the presence of the buyer, written only for the amount of the purchase, and written on the day the transaction is being made.

Credit cards are quickly becoming the most popular form of payment due to the many reward programs for frequent usage. Once a business establishes a relationship with the credit card companies it wishes to do work with, the business needs to always check the dates on the card.

Many businesses ask for proof of identification when a credit card is being used, but they need to realize that the buyer is not required by law to do so for privacy reasons. The businesses can still make the request, but the seller does not have to comply.

Although it may seem easier to only allow for certain payment methods to be made, the business could actually lose customers if it does not provide many options. Therefore, it is important to secure its finances by establishing a payment policy and placing it in a highly visible spot both in the physical business and on the website.