Is your small business growing exponentially? Or perhaps you’re ready to scale your startup beyond borders? If you answered yes to those questions, it’s probably time to consider getting a business credit card for your company.
Let’s dive straight into the benefits of a corporate credit card, how it can benefit your business, and tips on how to make the right choice.
Although it’s completely acceptable for entrepreneurs to use their personal cards for business expenses, there are much greater benefits to using a business credit card. These include:
Now that you’re all caught up with why a business credit card can do more good for your company, here are six tips on how to get started.
Apart from providing short-term access to funds, most startup founders and business owners don’t understand the basics of a business credit card. Here are a few fundamentals to take note of:
Ensure that you understand the fundamentals of credit cards before diving in headfirst. But take note that these basics only scratch the surface. Do your due diligence and build your knowledge base on business credit cards to make an informed decision.
Before applying for a business credit card, it’s important to check your business credit score. This will decide the types of business credit cards you are eligible for, along with the credit limit and interest rates you can expect.
While your personal and business credit scores are completely different, some banks may request your personal credit score to further assess your creditworthiness.
If your score is on the lower end of things, you may want to work on improving your business credit score before applying to avoid negative entries in your report.
This step is especially important when comparing the various point systems and rewards of the different corporate cards available. Look over your spending in the last three to six months and pay attention to your biggest operating costs during this period. This could range from travel, office supplies, or even business software.
A clearer overview of your business expenditure can give you a rough gauge on your eligible rewards and how your spending might look like with different cards.
A corporate card’s annual fees is an essential consideration when making your decision. While some banks don’t charge an annual fee, try not to eliminate options with annual fees right off the bat.
Some of these banks may offer competitive signup bonuses and better rewards, making the annual fee worthwhile in the end.
On the other hand, banks with zero annual fees may have lesser perks. Always weigh your options carefully, look at your business lifestyle, and do the math.
When looking for the best business credit for their company, one of the most essential factors applicants look out for are rewards programmes and perks. However, just because a bank provides perks doesn’t mean it automatically aligns with your business needs.
If you engage in business travel frequently, you’d want a credit card that offers travel perks like miles rewards and flight insurance Similarly, for those who spend a significant sum on online advertising, consider a business credit card with cashback features on digital marketing spend.
Always ensure that the rewards programme matches your business needs to get the most out of your credit card.
Corporate credit cards for team members are becoming increasingly common among financial institutions in Singapore. Issuing employee cards allows you to extend purchasing power to key team members, streamlining your corporate expense processing. While this can also help small business owners, companies with more employees can benefit greatly from this feature.
With the abundance of options in the market, it may be a challenging feat to find the best corporate credit card for startups. To get you started, we’ve created a resource just for you to explore your options.
Get started on your journey with corporate cards for teams with the Aspire. With the Aspire Virtual Card, founders and their team members can explore a myriad of features that can take their business to the next level.
Enjoy cheaper rates on FX transfers, integrations on accounting software you already use, expense management, and cashback on qualifying digital spend.
Sign up in just five minutes and take hold of the smartest corporate card in Singapore today!