The convenience of debit and credit cards has made plastic as popular as ever. A consumer uses a debit card an average of 12 times a month, contributing to some 50 billion debit card transactions a year in the U.S., according to a 2015 study by Pulse, a debit/ATM network. Customers could be easily tempted with a discount that comes by paying cash instead of plastic. Offering cash discounts could be a win-win for you and your customers.

Offers a Quick Fix

A discount means a lower price for customers, which could lead to more sales, and therefore, more cash for you. If you're in need of funds, this is a fast way to capture some of those dollars. If you have seasonal merchandise or items that aren't selling well and that cannot be returned, this is a more cost-effective way to deal with an abundance of merchandise, rather than having to store items that may or may not sell later or that may simply go bad.

Motivates Customers to Pay

Many customers wait to pay their monthly bills until the last minute, or even a day or two after the deadline. Offering a cash discount for customers to entice them to pay before the deadline makes good business sense for you.

Increases Cash Flow

Even if you don't need a quick cash fix, having access to more cash each month will help you pay your bills more easily. Setting an earlier deadline for cash payments could bring in more money in during the first half of the month, rather than toward the end of the month.

Provides Lower Card Processing Fees

Credit and debit card processing fees can be hefty, and can take their toll on small business owners. Roughly, that fee can amount to anywhere from 2 to 2.5 percent. Depending on your customer flow and the amount of each transaction, those dollars and cents can add up quickly. When customers pay with cash, that money is yours.

Attracts New Customers 

Offering a cash discount can be an effective marketing tool to attract new customers who have cash or who prefer to use cash. All customers appreciate a discount, and some may be more likely to return to your establishment or use your services if you offer an attractive discount.

Helps Get the Sale and Spread the News

Offering cash discounts on big-ticket items such as a new tablet could motivate your customer to go to the ATM and back just to make that purchase. This is also another way to distinguish your independent business from the big box stores, and it brings that customer right to your door. And, of course, a satisfied customer is likely to spread the news of his good fortune to a friend, who might tell another friend -- who, in turn, might tell yet another friend.