Business Credit Card: A one-stop Solution for Business Funding Needs
Business credit cards, as the name suggests, are tailor-made for organizational usage, and come with customized features as well as benefits. They are available for businesses of all sizes, and aid companies to build their credit profile alongside ensuring easy credit availability for day-to- day use. Additionally, these payment cards work as lines of credit and help firms to manage their financial requirements without much hassle.
In recent years, the popularity of such credit cards has registered exponential growth owing to their popular features.
Top 7 features of business credit cards
The prominent features of business credit cards that help companies in their smooth day-to- day operations are as follows.
1. High credit limit
Typically, credit cards issued for businesses come with higher credit limits, which help firms to support their sundry requirements. Moreover, they can do so without interrupting their cash flow and working capital.
Since this line of credit is easily accessible, business owners often prefer it to make high-value transactions as well.
2. Feasible EMIs
Another prominent feature of these payment cards is their easy EMI options. After fulfilling a financial requirement via these credit cards, entrepreneurs can convert the repayment into feasible EMIs. It will streamline the process and aid businesses in repaying their credits successfully.
3. Monitor employee spending
Reimbursing employees at every step can be a hassle. However, with assistance from business credit cards, companies can reduce such hassles. Employees can use it to pay for their different business-related expenses, and later the organization repays it to the credit card provider.
Additionally, it brings transparency to the process and reduces the chances of malpractice.
Therefore, companies can now easily monitor their employee expenses with the help of regular credit card statement tracking.
4. Boosts credit rating
Similar to a personal credit card, repaying the dues of such a credit card for a business helps it to improve the credit score of the respective organization. Since the advantages of a higher credit rating or score are well-known in availing loans in the future, these payment cards offer a pathway to such a facility.
5. Rewards for businesses
Similar to any other credit type, these payment cards for businesses also provide rewards and benefits to users. However, in this case, employees do not receive these perks directly, the company receives them. These rewards are mostly business-related and consist of discounts, gift cards, air miles, etc.
6. Tailor-made repayment process
Since predicting the cash flow of a business is not easy, card issuers offer specific plans to repay credit card debts. The aim here is to ease the pressure of repayment and help businesses meet their liabilities efficiently. However, the terms of repayment may vary from one card type to another, as well as with the card issuer.
7. Additional benefits
Credit cards customized for companies’ use provide additional benefits like nil charges on
foreign transactions, card protection plans, travel insurance policies, etc.
How to apply for a business credit card?
The process to apply online for a credit card is straightforward. Here is a step-by-step guide –
Step 1: Visit the official website of the credit card provider.
Step 2: Duly fill in the card application form with all required details.
Step 3: Submit the required documents to complete the application process.
Once complete, you can receive your card at the provided address within a short duration.
Are there any Alternatives?
Since business credit cards are limited to employees’ use, they come with certain restrictions over-usage. Thus, individuals can look for a personal credit card with similar features. A prominent name in this regard is the Bajaj Finserv RBL Bank SuperCard offered with attractive benefits.
This credit card offers a high credit limit, competitive rate of interest, up to 50 days of interest- free ATM withdrawal, and several other customer-friendly benefits.
Along with that, the card issuer also provides pre-approved offers against its credit card
applications. It streamlines this application process and saves time. Customers can also avail of the offer on several other financial products, like business loans and personal loans. They can check their pre-approved offers by submitting their essential contact details.
Business credit cards are a great financial tool for companies if used properly. They can help organizations to grow faster and manage their finances efficiently. However, if not managed properly, they can land companies into a debt trap. It is thus best to track the expenses and make bill payments in time to draw maximum benefits thereon.