Business Credit Card Reviews

Business Credit Cards – Essential Tools for Every Small Business

Posted in Uncategorized by businesscreditcardsite on August 27, 2009

For small business owners and home based entrepreneurs, the benefits of using business credit cards are too many to be neglected. Consider the following advantages as to why business credit cards are essential tools for every small business.

Manage business expenses more easily. Having a business credit card enables you to separate your personal and business spending. Business credit card issuers also send monthly billing statements as well as quarterly and yearly summaries. Thus, you can easily keep track of where your business funds are spent and use control where it’s needed. These features are especially indispensable as the company begins to expand and expenses start to grow.

Free up your cash flow. It is crucial for a business to have a solid financial resource at all times. A business credit card comes in handy especially when emergency expenses arise. For example, let’s say that you received a large order from a customer at an unexpected time. Even if you don’t have the cash, you can charge to your credit card all purchases that are necessary to deliver the order on time.

Distribute your funds easily. Business credit cards also provide a more convenient way of distributing funds to your employees with the use of supplementary cards or extension cards. If cash is needed in a hurry, there’s no need to go through the long process of requesting for petty cash and wait for approval. Instead, an employee can charge the expense to his extension credit card that is linked to your account. To ensure that the funds are used strictly for business purposes, every purchase is reflected in your monthly billing statement so you can keep track of your employee’s spending.

Manage your account online. Most business credit cards come with an online banking feature which gives the business credit card holder the option to access his account through the internet. This way, you can check your account and send payments at any time straight from your own computer. Any entrepreneur can surely appreciate this convenience.

Get rewarded from your expenses. Many credit cards for small businesses come with rewards. Reward programs vary from travel rewards, gas rebates, and cash backs so you can choose the exact type of program that best fits your business. Enrolling with the right kind of business reward credit card can bring you huge savings and incentives from your spending.

Build your business credit. After registering with a business credit bureau, the only way to build a separate credit history for your company is to acquire new accounts. To build your business credit history, you can choose to apply for a business loan or a business credit card. Once you’re approved for a business credit card, pay attention to how you use your credit limit and how timely you are in submitting your payments. Remember, if you want to enjoy an excellent business credit, you must never exceed your credit limit and you should always pay off your credit card charges on time.

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Choosing the Right Credit Card for Your Small Business

Applying for a business credit card is a serious task since choosing the wrong one could mean trouble for you and your business. What important pointers should you remember when looking for a business credit card? How can you be sure that the credit card matches the needs and spending style of your business? This article provides practical advices to help you make the right choice.

Understand how the Interest Rates and Costs are calculated. First of all, it is crucial that you understand how the rates and fees of your business credit card are calculated. How much APR applies to your purchases, balance transfers and cash advances? Some cards have more than one APR so you need to be clear about it. How much is the annual fee, late penalty fee, transaction fees, and other charges? Don’t be content with what the ads tell you. Instead, take the time to study the Terms and Conditions of your credit card. Examining the contract would enable you to compare business credit cards more accurately.

Pay attention to the features of the business credit card. Certain features may not be available in some business credit cards. For instance, not all credit cards for business provide an online account access. This feature is very important so you can regularly monitor your account without hassle. Do you need to distribute supplementary cards to your employees? Some credit cards provide this feature for free while others don’t. There are also business credit cards that give you the option to send check payments using your account. This is recommended if most of the suppliers you purchase from do not accept credit card payment. Consider the specific services that are provided by the credit card and choose the one that best matches your business.

Read reviews and get feedbacks from other business owners. What do other business owners say about that particular small business credit card? Check out credit card review websites and take the time to personally interview your fellow business owners. If your business belongs to an organization, why not ask your co-members for feedbacks or recommendations?

Check your personal credit report. If you’re a new business owner who have not yet established a corporate credit, the approval of your business credit card application would be based upon the status of personal credit. Business credit cards with the best deals would require good to excellent credit. Therefore, in order to qualify, you should make sure that your personal credit history is in good standing. If not, take the necessary steps to improve your credit and raise your score before submitting your business credit card application.

Consider small business credit cards with rewards. If you’re certain that you can pay off your monthly balances in full, consider applying for a small business credit card with rewards. Reward credit cards may come with higher APR but if you completely pay off your balance on time, you won’t have to pay the additional interest. A reward business credit card gives you the opportunity to enjoy savings, bonuses and special privileges that are exclusively offered to small business entrepreneurs like you.

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Frequently Asked Questions about Credit Cards for Small Businesses

Posted in Uncategorized by businesscreditcardsite on August 10, 2009

If you own a small business, perhaps you may be thinking about applying for a business credit card. Do you understand how business credit cards work and how they can be beneficial for your business? Below are some frequently asked questions that you may ask before getting a business credit card:

How can a business credit card help in managing my small business?

First of all, a business credit card helps you separate your personal and business finances. This can prove to be indispensable when your business begins to grow and you’ll need to handle larger transactions. Having a separate account would help you track your business spending more easily and efficiently.

Having a business credit card account is also essential in building your corporate credit. After signing up with a business credit bureau, you’ll need to open new accounts to start building your company’s credit history. You can establish a solid credit history for your company simply by using your business credit card and paying off your charges on time.

Are business rewards credit card worth the choice?

Some credit cards for business also offer different rewards programs that give you the chance to save more from your expenses. For instance, cash back credit cards allow you to earn rebates each time you use charge purchases to your card. There are also business credit cards that offer gas rebates and frequent flyer miles programs for a chance to fly for free.

If you want a business credit card with rewards, you should make it a point to pay off your balances in full each month. Otherwise, it would be better to apply for a non-reward business credit card with the lowest APR. This way, even if you carry over your balance from month to month, you’ll only pay for a small amount of additional interest charge.

What important factors should you consider when choosing a business credit card?

It’s very important to choose a credit card that complements the needs and spending style of your business. This is especially true when choosing business credit cards with rewards. By picking a rewards program that fits your spending, you can easily earn bigger incentives and discounts. Make sure that you are clear about the specific rules of the credit card’s reward program so you can maximize the rewards it offers.

Needless to say, it’s crucial to check the interest rate that the card offers. Naturally, you’ll want a card with a low rate of interest. However, keep in mind that a low interest alone does not guarantee a great deal. Don’t forget to check the rest of the fees that’s associated with the card.

For example, does the card require an annual fee? If so, how much would you need to pay each year just to keep your account active? Aside from the annual fee, check the late penalty charges, transaction fees, balance transfer fees, and the rest of the costs of your card.

Why should you read the fine print?

It is a must to read the complete Terms and Conditions before signing up for your chosen business credit card. The true costs and terms as well as all disclosures that you need to know about the card are stipulated in the contract. If you won’t take the time to read the fine print, you could end up with the wrong business credit card.

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# Business Credit Card Articles
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# Small Business Credit Cards