Let’s understand with 5 reasons why your business needs a business credit card. Tell me, are you one of those small entrepreneurs or entrepreneurs who use their personal credit card for business expenses? The most common is at a time when a citizen finds a chance to launch his small business in the market but not prepare himself financially, hence, he uses the personal card.
Your business needs a commercial credit card ..
However, as a business grows and its financial needs change, it is not to get in the way, one of the solutions is to upgrade to a business card or business card more suitable to meet new needs. Corporate or business credit cards come with some attractive advantages for small and medium business owners.
Credit cards for small and medium businesses make it easy to earn points, buy bonuses, tickets, and more. These same business credit cards also make each point extremely valuable and easy to redeem for a variety of benefits.
By choosing one of these business rewards cards, you will surely use for any purchase from your startup, fintech or business venture. Here are some signs of when to opt for a business credit card:
1. When you are hiring new employees
Every entrepreneur plans to gain new talents for his company in order to take his companies to new levels of success. If these new employees are from the commercial shopping area, you will need a business credit card. Many commercial card issuers offer additional to employees for free and often at no additional cost.
Some cards also allow you to set a custom spending limit for each employee. You can see the activities of all employees in the consolidated monthly statement. By doing so, you can easily manage your personal and business cards. In addition, you will not feel free to share the details of your own personal business card for purchases at work.
2. When the rewards of the credit card is not worth it
Another reason to upgrade your personal card to a business credit card is that they often come with rewards tailored to the needs of your business. You can earn rewards on some common business expenses like paying internet and phone bills, office supplies, fueling supplies, restaurants and other services.
If you think your personal credit card does not offer enough rewards for business expenses, consider upgrading and taking advantage of valuable rewards.
3. When you are increasing your card limit
When we are maximizing the personal credit card limit every month just to meet the expenses of your business for business purposes .. Worth mentioning that using too much credit card balance can leave you with no credit.
Personal credit cards and business card are different, get a card for your business, business and business expenses, often they come with a higher spending limit, giving you some relief to leave your personal card for personal and day things to day.
4. When you are entering your business
Is your business in the process of being incorporated? It can be a wise financial decision as it helps protect your personal finances and assets from losses and business debts. If you are planning to incorporate your business, get a commercial credit card simultaneously to completely separate your personal finances from business finances.
5. When it is necessary to build commercial credit
Do you have an impressive personal credit score on your CPF? Great! But, and your business does not. Companies with CNPJ also have credit report and punctuation that can help you secure low-interest business loans and financing with access to easy credit.
Lenders generally examine your business’s score and credit score to determine eligibility for a commercial loan for example. Start building and maintaining your business credit starting today by applying for a commercial credit card .
Are the above reasons not enough to convince you to get your own business credit card? If yes, look in your bank, if not, continue using your personal card until the limit explodes.