Blog

You can run a small business without using a credit card. But why would you want to after hearing about all of the benefits of using small business credit cards?

In recent years, surveys have shown that almost 7 out of every 10 small business owners use credit cards. And they do it because of the advantages that they’re able to enjoy by using them.

If you’re a small business owner who isn’t using at least one credit card at the moment, you should consider changing that. You might be missing out on all kinds of opportunities by not applying for one of the many small business credit cards available through companies like American Express.

Today, we’re going to talk about how you can gain leverage for your business with small business credit cards. Learn all about it below.

They’ll Help You Finance All Your Various Purchases

There are more than 30 million small businesses scattered throughout the country at this time. And they all have one thing in common: They have to spend money in order to make money.

It doesn’t matter what kind of small business that you’re running at the moment. There are inevitably going to be lots of things that you’ll need to buy throughout the course of a month to keep your company moving in the right direction.

Small business credit cards will make it possible for you to finance everything that you’ll need to run your business at any given moment. Even if you don’t have the cash on hand to buy it, you can buy it with a credit card now and use your profits to pay it off later on.

They’ll Make It Easier for Your Employees to Tackle Expenses

If you own a very small company right now, you probably don’t have too many employees on your payroll. And even if you do, you likely don’t have to worry about them facing any expenses.

But if you own a small business that’s beginning to grow, then you probably have at least a few employees that work on your behalf and need to be able to tackle expenses in the right way. Giving them small business credit cards will make it so much simpler for them to do it.

When these employees are out working in the world, they won’t have to pay cash for everything and ask you to pay them back later. Instead, they can swipe their small business credit cards whenever they need to use them.

You will, of course, want to speak to these employees about what they can and cannot expense. You don’t want to get hit upside of the head with a huge credit card bill at some point down the line without knowing what it’s for.

But as long as you’re able to do that, you should be able to create a streamlined expensing system that works wonders for your small business as a whole.

They’ll Allow You to Keep Tabs on Your Spending More Effectively

In order to run a successful small business and see some serious small business growth, you’re going to have to be ready to spend your fair share of money. Money is going to be coming out of your business accounts all the time to pay for everything from supplies to employee expenses.

There is no getting around this. But that doesn’t mean that you can’t work to keep better track of the money your small business is spending. You’ll be able to keep your company’s spending under control by monitoring it and making adjustments to it over time.

You can monitor your company’s spending by sticking your head into spreadsheets and spending all of your time looking at them if you want. But a better option would be using small business credit cards that help you keep tabs on your company’s spending at all times.

A good small business credit card is going to make it easy for you to see where you’re spending money. All you’ll need to do is log into your account to look at your recent purchases. It’ll be so much more effective than trying to keep track of your spending on your own.

They’ll Put You Into a Position to Receive Rewards

If you’re going to look into getting one of the many small business credit cards on the market today, you’re going to want to see what the annual fee for it will be. You’ll also want to see what the intro offer for it will be in terms of an interest rate.

But there is one other thing that you’ll want to check out when you’re evaluating small business credit cards: The rewards rate! You want to stick a small business credit card into your wallet that’s going to give you more rewards than you would have ever imagined.

Each individual credit card company takes a slightly different approach to rewards. Some will give you cash back. Others will provide you with airline miles. And there are even some that will load you up with points that you can use on all kinds of things.

Your job is going to be to sort through the different small business credit cards to see which give out the kinds of rewards that you know you’ll be able to use. These rewards are going to come in handy down the line and will make small business credit cards well worth it.

They’ll Set You Up With Certain Travel and Spending Protections

There are all sorts of fees and penalties that your small business might face as you move forward. For example, you might get hit with foreign transaction fees if you spend money in another country, or you might have to deal with car rental damage penalties if you’re ever involved in a crash in an auto rental.

But you’ll be happy to hear that you aren’t going to have to worry about these types of things when you have a small business credit card. Most of these credit cards are going to extend travel and spending protections to you.

Unfortunately, there are a lot of small business owners who take out credit cards and don’t ever get around to learning about the travel and spending protections that they have access to. You should be sure that you read the fine print to find out about the different features of a small business credit card.

They’ll Make Your Business Look and Feel More Official

You want people to take your small business seriously, don’t you? Of course, you do! It’s yet another reason why you might want to look into the possibility of taking out one or two small business credit cards.

If you’re constantly paying for things with cash when you’re buying them for your company, it might give people the wrong impression of your business. They might not think that it’s as legitimate as you’ve told them it is.

But when you whip out a small business credit card to pay for something, you’re going to get a much different response from them. They’re going to be more inclined to take your business seriously after seeing that you’ve gone through the trouble of getting a credit card for it.

They’ll Prove to Be Easier to Obtain Than You Might Think

Now that you know all of the reasons why you should consider getting a small business credit card for your business, you might be ready to pull the trigger on applying for one. But you might also be nervous about what you’re going to have to do to get approved for one.

Thankfully, it’s so much easier than you might think. As long as your credit score is decent and your business is set up in the right way, getting small business credit cards for your company should be a breeze.

You will want to make sure that you shop around for the best small business credit cards. You don’t want to apply for just any card, especially if it doesn’t have the greatest terms attached to it.

But aside from doing that, getting small business credit cards shouldn’t be a problem for you. You’ll be able to start enjoying the many benefits of these cards in no time at all.

Start Applying for Small Business Credit Cards Today

As we alluded to earlier, there are many companies that operate without small business credit cards. About one-third of small business owners fall into this category.

But you might be making a big mistake if you don’t have access to small business credit cards right now. As you’ve seen here, there are so many ways to leverage these cards so that you can experiencing the kind of business growth you’re looking for. Consider getting your hands on one today so that you can reap the rewards of doing it.

Interested in reading more articles that are related to growing a small business? Find them by poking around on the rest of our blog.