How will a cashless economy affect my business?

[Carpon]

Locals and residents of Nigeria are currently facing an economic transition whereby the rate of flow of cash is getting limited and the economy is gradually digitalized and getting transformed into a cashless one. This has come with so many effects and one question a business man or woman may have is if what kind of effect will this have on my business?

Well, the cashless economy is not a new thing as many developed nations already have that implemented. It is a concept already in use. But it has effects when implemented in developing nations.

The first effect that this may have in a business is the fact that the amount one will make will certainly reduce. How? The network in Nigeria is not a stable and fast one. The speed at which one will make a transaction using cash is not comparable to that without cash. This will mean transactions will first of all get slowed down.

Then secondly, the number and rate of patronage will go down. Now personally, I have not bought many things that I use to buy normally for many days now because I don't have cash and want to avoid the problems of cashless transaction. This has affected the number of patronage and profit margin of the business person.