diff --git a/erpnext/setup/doctype/company/company.py b/erpnext/setup/doctype/company/company.py
index 9f355f7ee9e..39ad556227e 100644
--- a/erpnext/setup/doctype/company/company.py
+++ b/erpnext/setup/doctype/company/company.py
@@ -170,7 +170,8 @@ class Company(Document):
 
 	def set_mode_of_payment_account(self):
 		cash = frappe.db.get_value('Mode of Payment', {'type': 'Cash'}, 'name')
-		if cash and not frappe.db.get_value('Mode of Payment Account', {'company': self.name}):
+		if cash and self.default_cash_account \
+				and not frappe.db.get_value('Mode of Payment Account', {'company': self.name}):
 			mode_of_payment = frappe.get_doc('Mode of Payment', cash)
 			mode_of_payment.append('accounts', {
 				'company': self.name,