No one was injured in the incident.
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Police were called to reports of a robbery at Althams Travel, in High Street, Yeadon, shortly after 9am.
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Police are now appealing for information, as they hunt the robber.
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"It's a horrible thing that must have happened to people that have worked there."
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Yeadon resident, who wished to remain anonymous, told the YEP that she saw several police cars, vans and a police helicopter at the scene which was taped off by officers at around 9.15am.
"He was wearing a green and blue jacket, a green woolly hat under a hood, a green tartan scarf, faded blue jeans and white trainers.
She said: "I've never seen anything like that in Yeadon. One would hope it is an isolated incident.
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He left with a large amount of cash in Euros and other currencies including Hong Kong dollars, Mexican Pesos and Swiss Francs. Prada Mens Wallet
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"We would like to hear from anyone who saw a man fitting his description in the area either before or after the robbery."
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Call Weetwood Police Station on 101 or Crimestoppers anonymously on 0800 555111 with information.
Sergeant Paul Kravtschuk, of the Proactive Robbery Team, said: "He was described as white, aged in his forties and 6ft to 6ft 2ins tall.
A man armed with a knife had entered the shop and demanded that staff hand him cash from the safe.
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