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Cash & Cash Equivalents

Cash and cash equivalents, is the term used in the context of payments and payments transactions. It  refers to currency, coins, money orders, paper checks, and stored value products such as gift certificates and gift cards.
ADVANTAGES

The most straightforward transaction and business receives immediate value.
It is still the most common transaction and many people like cash and feel comfortable paying with cash.

DISADVANTAGES

It has to be sorted, counted and taken to the bank daily, and that it is time-consuming process.
Security risks are present (robbery, counterfeit, shortages resulting from employee errors).
It is expensive, because banks charge to handle cash.

CASH TIPS

Tips To Avoid Risk Of Robbery:

Keep small amounts of cash on hand.
Deposit cash daily.
If you have large amounts of cash, make more deposits daily.
Never hold cash overnight, use night deposit services.

NOTE: Business owners rarely pay suppliers in cash, but there may be occasions when you pay cash for something If you pay cash for something, obtain a receipt or you won't be able to claim that expense.

RELATED INFO

Buying An Established Businesss
Buying A Franchise
Market Research
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Getting A Financial Picture
Cash Flow
Business Guide

RECOMMENDED  LITERATURE

How Customers Think: Essential Insights into the Mind of the Market - Building on research from disciplines as diverse as neurology, sociology, literary analysis, and cognitive science, Zaltman offers rich insights into what happens within the complex system of mind, brain, body, and society as consumers contemplate their needs and evaluate products. Zaltman illustrates how leading companies are "mining the unconscious" - with remarkable results, and introduces innovative tools & techniques that help marketers:
* Develop research questions that speak to the unconscious brain.
* Evoke valuable meaning through a customer's metaphors and instill those images in brand communications.
* Measure consumer reactions to marketing stimuli and alter advertising or positioning strategies accordingly.
* Build "consensus maps" that reflect a market segment's universal thinking-and reengineer them to boost customer satisfaction, loyalty, and sales.
* Understand how their own minds work-and how they can think in creative new ways. The mind of the market is waiting to be explored. Make sure your competitors don't get there first.

Unlocking the Cash in Your Company: How to Get Unlimited Funds Without a Loan - Introduces an alternative means of financing which is often available to those who cannot obtain a bank loan. Will this form of financing -- factoring -- help your business? Learn how selling your invoices can generate immediate cash flow… who can qualify… how factoring differs from other financing… when to factor and when not to… how to find the right factor… and much more.

Tested Advertising Methods - A legend in advertising for more than 60 years, John Caples still serves as a guide to generations of creative marketing people. Now his classic work on how to create successful advertising has been updated by respected advertising consultant Fred Hahn. It retains all the clarity, candid analysis, time-tested experience and invaluable award-winning ideas from the original, while bringing it right up-to-the-minute on the many new changes in the field.

 
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