Managing expenses for your business helps you maintain good profit margins. When employees make purchases, it can eat into your bottom line because they may not have the same attention to the details that you have. Managing employee purchasing and expenses can be one of the places you can look for cost savings. The key is transparency.
It takes time for employees to turn in expense reports. It takes time for your finance person to process the report and make a payment to the employee. Instead of putting the burden of expense reports on your employees, it might be time to consider a business credit card where you can track expenses and get benefits for employee purchasing.
Advantages of a Business Credit Card
By using a business credit card account, you can look at spending data comprehensively. You can see what employees are spending by category or supplier. It’s also a convenience to the employee, who doesn’t have their personal money tied up for business use.
Business credit cards offer supplier discounts. You may even be able to negotiate with buyers for better deals. If you have a dispute with a company, it’s easier to track it with a business credit card. You will also have protection against fraud.
By setting up policy guidelines for employee purchasing with your business credit card, you have more control over how your employees are spending their travel and entertainment dollars. You see who is buying what and how often. Business credit cards give you more visibility because your data is readily available. When your employees turn in expense reports, money is harder to track.
Today’s business credit cards offer technologies that give you control while letting your employees do what they need to do. Steadfast Funding Partners offers business financing for your company. Contact us to get more information.