Do you extend credit to business, schools, or charities? Extending credit through house accounts can have many benefits, especially if your goal is to increase lunchtime business.
Allowing qualified customers (businesses or organizations with good credit who visit often and spend more than average) to open house accounts extends trust. This can strengthen your bond with your best customers, with the additional advantage of providing a privilege that may not be available to them at other restaurants.
Guests who use house accounts often spend more. Financial guru Dave Ramsey explains in this video that when you pay cash, you can “feel” the money leaving you. Charging to an account is easy and painless. The increased spending observed with house account customers compensates for extra accounting time to manage the accounts. Reports and invoices printed from your POS further reduce the accounting overhead.
As a SpeedLine customer, you can keep track of your current house accounts and check their status by using the house account reporting feature.
Advertise house accounts to local businesses to increase lunchtime order volume. A house account makes it more convenient for diners who don’t have a corporate credit card or expense account (teachers or admin staff at a school, for instance) to order food for an event. We talked more about this in Catering to Businesses and Organizations with House Accounts.
Another benefit is that house accounts can help maintain a steady cash flow. Offering house account to schools, local businesses, or community groups makes it easy for these customers to do business with you. As they begin to order more routinely, you’ll start to see more predictable income from their monthly account payments.
Once you set up house accounts in your POS, they will appear at tender time as just another payment type. The POS will track credit account limits, invoicing, and payments.