As a retail business owner, you've likely heard that using a smart safe or cash recycler can make your cash management processes more cost-efficient and predictable. The promise of reducing labor by up to 8 hours per week and having a fixed monthly expense for your cash management equipment, reporting, and software is certainly enticing.
However, the reality is that the labor and expenses associated with smart safes and cash recyclers aren't always as straightforward as they first appear. While cash equipment can make things faster and easier, there are several hidden costs and variable fees that can continue making cash management expenses hard to plan for.
One of the key factors affecting your cash management labor costs is the type of equipment you have in place. Single note acceptors, for example, tend to take more time for staff to feed the money into the machine. However, bulk note acceptors significantly speed up the time it takes to count and verify store cash. For instance, the bulk acceptor on Cash Depot’s BANK IN A BOX can count and verify 300 bills in just 30 seconds.
Smart safes present another wrinkle. While they accept deposits, they don't provide the start-of-shift register funds or other daily register cash that staff would normally have to count manually. That cash has to be counted separately, reducing the labor time each store saves versus manual cash management.
In contrast, cash recyclers like the BANK IN A BOX provide those start-of-shift and daily register funds, reducing the amount of manual counting required. This can lead to greater labor savings compared to a smart safe setup.
Have you ever looked at your mobile phone bill wondering why the company is charging you $15 more this month? Then you have some random regulatory charge, admin fee, or service charge? Even worse, the amount you are charged varies month-to-month as those fees fluctuate.
The invoices for your smart safe or cash recycler program can be riddled with a similar laundry list of unexpected fees and charges that can make your monthly costs fluctuate. Some common examples include but are not limited to:
These types of fees can suddenly appear or disappear, causing your smart safe or cash recycling bill to change from month to month. This fluctuation makes it difficult to budget cash management expenses accurately.
How can you get a better handle on planning your retail cash management costs? Here are a few tips:
Over time, the reporting and data you get from your smart safe or cash recycler will give you better visibility into your typical cash management costs – by providing a more accurate look into when and where your stores receive cash purchases. This data will make it easier to plan and budget your next-day credit, cash pickups, and other services – and help you know when you might be triggering added fees.
With some additional investigation, communication, and data your cash management system can not only lower labor time and streamline operations, but create help you predict and plan your total cash costs, too. In the meantime, be prepared for a bit of unpredictability to go with your time and efficiency benefits. And don't assume those labor and expense savings will be as straightforward as advertised.
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TLDR: Most cash management programs bill themselves as predictable expenses. While they usually save you money, hidden fees can often make your costs higher and monthly billing more volatile than you think.