Have you been wondering about how cash discounts might help (or hurt) your business?
At Eagle Processing, we've created a cash discount program that leads the industry in compliance, reporting, and ACCURACY.
Watch this quick video to learn more!
Every day, sales reps don’t sell cash discount to restaurants or merchant locations that take tips or they are selling a non compliant product beauty salons, fast serve, coffee shops, because they know it does not balance. every day merchants that are processing tips on a cash discount program are overpaying and NOT being paid correctly
Is the cash discount assessed with the cash tip??? Or without?
The big misunderstanding is “how do cash tips effect the amount you are paid?” and :"how to balance the transaction and deposit?"
Why do these questions matter?
Because the amount you are paid affects your franchise fees AND your taxes!
Well... we’d like to explain how that works and what Eagle does to make sure you, the merchant or the ISO, are paid correctly for each transaction.
Let’s use an example of a restaurant but the same applies to any merchant that processes in a TIP environment and that is enrolled in a cash discount program.
• Joe and his family spend $100 on their meal.
• There is an 8% tax and a $4.32 cash discount.
• Then, Joe decides to leave a $20 tip.
That brings his total to $132.32 and the RESTAURANT then pays a cash discount rate of 4% or... $5.29
But wait!
The restaurant should not have paid 4% on Joe’s total charge! The cash discount rate should have only been paid on $128 that the terminal calculated it on... not $132.32!
That means the restaurant overpaid .79c for processing this transaction!
Even with the rate manipulation many do to try to balance, it does not because they all assess it on the wrong amount…
Over the course of a year, that adds up to literally THOUSANDS of dollars.
This example shows the breakdown of cash discount on tips in a restaurant environment but its important to remember that cash discounting on tips is an issue relevant for any business that processes TIP transactions!
Even if you don’t accept tips EAGLE offers the best cash discount solution in terms of balancing, accuracy, transparency,compliance and accurate payments to the merchant With no rate manipulation.
Eagle Processing has developed proprietary software that accurately calculates your transaction fee and saves you the expense of paying a fee on an incorrect transaction amount that you shouldn’t.
Eagles TIP SOLUTION software only works on Eagle preferred software partners FlatZero and AMP terminals . Our cash discount Software works with all POS and terminals that support cash discount.
We don’t think its right to take money from merchants and not pay them accurately. Do you?
Start a conversation with Eagle Processing today about how our cash discount solutions can work for you & save you money.
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