As a small business owner, you likely understand that it takes money to keep your business humming along. Keeping your business expenses under control is important for the success of your business. It is easy for business expenses to spiral, harming your bottom line and making the likelihood of failure to increase. A prepaid debit card for business can help you to get your business spending under control so that you can concentrate on increasing your business and your profits.
How a prepaid debit card for business works
A prepaid debit card for business allows you to institute spending controls. The business prepaid debit card lets you choose the amount with which you will fund the card. With some cards you can then designate that purchases of only specific types of goods are allowed on each card. You can choose from several different package options so that you can order the number of individual company prepaid debit cards that you need. Each of your employees who must spend money as a part of their jobs can be given their own prepaid debit card for business by you. You can choose different spending categories for each card, and prevent your employees from making unauthorized purchases.
Why is a prepaid debit card for business a better choice than a credit card?
Many businesses use business credit cards to pay for their business expenses. These cards may pose several problems for business owners. New businesses may not be approved for credit cards because of a lack of credit history. Credit cards may carry high-interest rates and fees and are subject to employee fraud. Unfortunately, employee thefts are a prevalent problem for businesses. When they have access to company credit cards, they may make personal purchases with the cards, causing substantial business losses.
By contrast, a prepaid debit card for business do not have the high-interest rates or annual fees that you might expect with traditional credit cards. Because these business prepaid debit cards allow you to control spending at the purchase level, they offer greater protection against employee malfeasance. If one of your employees tries to make a personal purchase, his or her transaction will be declined.
Some cards are connected to an interactive dashboard where you can see transactions and control cards. If an employee attempts to spend money on the wrong thing, the purchase is declined and you can take appropriate action with the worker. The dashboard’s functionality allows you to immediately deactivate a card, obviating any need to worry about a terminated employee running up charges on an unreturned card. You can also turn cards on with a tap or a click and reload your cards at any time of the day.
Using a company prepaid debit card to control spending
If you currently have petty cash, checks and other methods of paying your business expenses, your employees may steal or embezzle funds. By choosing to use debit cards for all of your business purchases, much like prepaid debit cards you can tightly control the spending that happens. For example, you can give an employee who orders office supplies a card that is limited to those needed purchases. Another employee who pays the rent and utilities may use her card only to pay those expenses. With your dashboard, you can see how your money is being spent so that you can identify areas that can be tightened up.
Call Bento for Business to learn more
Getting control of your business spending is important for your business. To learn more about how the business Visa debit card at Bento for Business might help, call us at 866.220.8455 to get started today— or sign up for your free 60-day trial online.