When you start a company you aspire to great things. As you may have noticed, however, big dreams are only part of the equation. To succeed in business, you must overcome countless challenges, like funding everyday purchases. Unfortunately, traditional business payment cards don’t always make it easy for small business owners who are just getting started. Here are some of the reasons why business credit cards with instant approval play second fiddle to prepaid debit cards.
You won’t always have time to wait for instant approval business credit cards
Many banks advertise that they offer rapid approval decisions to business owners who apply for credit cards. What they fail to publicize, however, is that you could still spend eons hunting for a viable payment solution when all you want to do is make payroll easier or give your drivers gas money.
You might apply for numerous instant approval business credit cards before getting any of them. Even worse, you’re not guaranteed to receive one, and you probably have better things to do than filling out paperwork that doesn’t ultimately go anywhere.
Sure, easy approval business credit cards aren’t all bad. Prepaid alternatives, however, seem to be winning the entrepreneurial popularity contest. If faced with a choice between so-called instant approval business credit cards and prepaid debit solutions, just remember that you don’t have to apply to be approved for debit.
Easy approval business credit cards are only easy for some entrepreneurs
Many banks market their business credit solutions as being simple, but plenty of entrepreneurs would probably argue that this is just a lot of hype. The U.S. Small Business Administration says that out of the 65 percent of small businesses that used credit cards, only half actually had cards in their enterprise’s name. If you don’t want to jump through hoops or use your personal payment cards, then prepaid solutions may end up being more workable than business credit cards with instant approval.
Instant approval business credit cards still tie you to traditional banking
Do you want your business to move forward? Why would you chain yourself to bank accounts that hold you back?
Bank accounts have many limitations, especially regarding oversight. For instance, you may need to give your drivers lunch money or equip your sales staff with entertainment funds that they can use to impress clients, but you probably don’t want to hand them the keys to the main company account.
What’s the solution? Many businesses are using prepaid debit to replace bank accounts entirely. Instead of struggling with easy approval business credit cards that carry all of the ambiguity of regular banking, they can:
- Preload funds at their discretion
- Monitor expenditures on a group, individual or organizational level
- Set predetermined spending limits so that they don’t have to worry about overdrawing and paying penalties
- Link their cards with accounting tools using native software integrations instead of third-party hacks
Make strides towards a more successful fiscal strategy
Bento for Business is redefining instant approval business credit cards by taking credit out of the picture. By letting you deposit your funds into an FDIC-insured account in advance, Bento gives you a safer way to control spending to an exacting degree. Unlike business credit cards with instant approval, this debit solution takes three minutes to sign up for, and instead of processing and paperwork delaying your approval, your new payment solution ships immediately.
Change how you and your employees pay for vital company purchases. Book a free 60-day Bento for Business trial now or call us at 866.220.8455.