Take Advantage of These 5 Business Benefits Through Credit Cards
Malaysia’s economy grew faster than many Southeast Asian peers in the third quarter, but the central bank warned of a worldwide recession. The central bank expects 2022 growth to exceed government predictions, although quarterly growth has slowed.
Small business entrepreneurs have many responsibilities, finances are a key consideration, and small business credit cards apply valuable benefits when used carefully. Small business credit cards help streamline day-to-day business expenses and offer rewards and purchase protection.
Here’s how small business credit cards can save money and make spending management easier.
Simplify Cash Flow
Small business credit cards give a line of credit that can be used to buy business supplies and equipment. Without a credit card, you might not have enough cash. Many business owners must spend money to make money, which is difficult without a credit card. The credit line might aid your cash flow by allowing you to complete business orders.
Many cards provide interest-free financing so you can pay for goods over time.
Reduced Employee Expenses
Reimbursing staff for business spending on personal cards can be difficult, so using a business card is wise. Employees can use the card for business-sanctioned expenses, and you’ll receive one monthly bill containing everything.
As a business owner, these cards allow you more control over how much staff spends than if they use a personal card. You can freeze and limit cards.
Rewards
Many business cards have rewards schemes that might earn you cash back, points, or miles. All business card transactions, including employee purchases, earn rewards. Statement credits, gift cards, items, and trips can be exchanged for rewards.
For many businesses, credit cards apply multiple rewards, some of which are travelers rewards, points on flights and prepaid hotels, and even airline bonuses
Travel and Purchase Security
Business cards offer travel and purchasing coverage like personal credit cards. No international transaction costs, cell phone protection, purchase, and extended warranty protection, trip cancellation or interruption insurance, and rental car damage waivers are examples.
If you want mobile phone protection, credit cards apply protection against theft or damage for you and the employees listed in the monthly bill.
Manage Accounts
Most business cards include quarterly and year-end summaries and downloads to Excel and Quickbooks. This simplifies tax season by helping you track spending. After enrolling, your business card submits daily transactions to software and provides a year-end summary. Some business cards offer a year-end summary, recurring transaction views, and downloads to software like Quicken, QuickBooks, and Excel. Quarterly reports and bookkeeping software integration simplify accounting.
Increased Spending Power
Business credit cards often come with better credit lines than personal ones. Many small businesses know that credit cards apply expansion and loan benefits that allow them to get off the ground. Understand that some business cards are charge cards and not credit cards, which means that you must pay your bill in full monthly or you’ll incur high fees, which can negate the value of the points you accumulate.
Suppose your business is in its early days or currently needs additional financing. In that case, credit cards apply important benefits to your company, including rewards you can use for perks like free travel, expense management, and financing to help you grow your business.
This article has been published in accordance with Socialnomics’ disclosure policy.
