Thread: CASH ONLY SALES - Version 2.0!

Originally Posted by Hymie

Any business owner that thinks they are pulling the wool over the eyes of the ATO is a fool.
Say you are a Coffee shop owner that deals in cash only.
You collect your 3 or 4 Dollars per cup of Java and put it in the cash box and think to yourself, "Hmm, today I'll skim 20% off the top and declare 80%".
Now when the same bloke does his Tax he's going to claim all of his input costs isn't he?
X amount of bags of Coffee, X amount of Cups, X amount of Milk and Sugar.
The ATO has a Database on the 50 000 odd coffee shops in the system and pretty soon bells are going to start ringing when the numbers don't add up.
There have been a few caught out believe me.

The more money you have the better you can "Pull the wool"
Murdoch's $880m ATO payday blows budget


Not one word from Govt. about that small hole in the budget?
$880,million Ouch!
As someone else said easy to say 1/5th of the milk was off or we dropped a 10kg bag of beans and another was mouldy, how can you disprove it?

Originally Posted by Gerokent

I find it strange that we can't pay bills ect over a certin value with coins.
The only way to get rid of said coins is to take them to a bank (when time permits)

And get charged by the bank for the transaction of counting th coins. It's a lose lose situation.

Originally Posted by frantic

As someone else said easy to say 1/5th of the milk was off or we dropped a 10kg bag of beans and another was mouldy, how can you disprove it?

They don't have to disprove it. The ATO are exempt from 'innocent until proven guilty'. They run on 'Guilty until you prove your innocence'. Ever been audited? They don't have to prove squat - you do. If they suspect your figures, you better have a good accountant...

Originally Posted by Hymie

Cabcharge did it for Taxis years.
They stitched up the mobile EFTPOS system after developing the technology at a cost of Millions of Dollars and recouped their investment in a few years.

Lots of cab drivers now have private eftpos machines so they collect a portion of the card surcharge themselves and CabCharge gets nothing.

Originally Posted by Lotz-A-Landies

Lots of cab drivers now have private eftpos machines so they collect a portion of the card surcharge themselves and CabCharge gets nothing.

Reg. wasn't silly. He saw this coming and sold his privately owned Cabcharge to the taxi industry.

Originally Posted by d@rk51d3

No eftpos, no sale.

I'll go elsewhere. It's not about the money, it's about my time.

Funny you say that.
When the morning tea truck arrives at work I encourage those paying by card to wait until those paying by cash (especially the right amount) have purchased their pies.

Talk about time wasting, those with cash grab a pie, pass $3.50 in exact change to the lady and it's all over...7 seconds max!

The cashless generation on the other hand, open their wallets, retrieve their cards, the lady acknowledges, retrieves the EFT machine, enters vendors code, enters price, takes card from punter, swipes or pay waves, waits for initiation, dialling, establishing connection, transacting, approved, would you like a receipt? printing.

On a good day, 25-30 seconds. Sometimes 30-40. How do I know, I measured it to prove the point!

Why I care?
The lads get 15min for morning tea. With 15-20 in the line some days, I don't want them to spend their mornos in line. I'd rather they spend it eating and relaxing.

So, I agree with you, it's about their time!

Ralph

In my business it is cash or cheque only. We have looked into getting EFTPOS but it costs to much. Last time we checked the bank wanted $30 per month plus 4% of OUR money.

Now I know that this does not sound a lot, but in a small husband and SWMBO business, costs are increasing at a faster rate than we can recover and it all adds up.

In thirteen years we have lost only three one off customers, so we are miles in front.

Many years ago I was in a check out line at Big W on Christmas eve.
There were about ten people before me with eight paying with card and two with cash. I timed the transactions. Cards 40 seconds, cash 10 seconds

Now if you do the maths and all ten used a card, that is five more unnecessary minutes that I did not have to be there if they paid cash, and this is assuming that the card transaction goes smoothly.

Another case. I was at Woollies when the person before me was asked would you like any cash out which she declined.

A short time later here is the same person in the bottle department in front of me purchasing alcohol with the card. If she had taken cash out at the last purchase she could have used it here, saving me time.

As much as I dislike cards I do use one on rare occasions, if I get caught short of cash or I stumble upon something unexpectedly that I want, which brings me to my next point.

I once used it and 30 days later the statement arrives, with a company name that I did not recognize. After much thinking the penny dropped as the company name was not the same as the trading name. This was just one transaction. Same would apply with my business. If I had EFTPOS my company name that would show up on your statement would not be my trading name that you would know me by.

So how the hell do people that probably have 90 odd purchases a month keep track?

Pay Wave has changed all that IF the customer has the card out and ready like I do.
Little old ladies and gents are another matter, but then they would be fishing around in pockets or purses for 5 minutes for cash anyway.
Regards Philip A