Credit Card Benefits for Your Small Business
Having a small business is a big responsibility. Success, more often than not, depends on the financial choices you make. This article will help you determine if using credit to enhance your budgetary needs is 
the right choice for your small business.
Business credit cards allow you to:
- Stock up on inventory when your supplier is offering deep discounts
- Buy out stock when the competition is going out of business
- Expand when you’ve outgrown your facility
- Give you access to liquid capital
Credit cards for your business are not just an option, they’re a wise choice. When used properly, they can be a valuable tool in building your business. They can even help you avoid money management problems by allowing you to keep personal and business accounts separate.
Too often businesses fail, not because the business concept or plan is bad, but because execution is lacking. You will never see the “big guys” mixing accounts - they know having separate, designated spending accounts is key to running a business properly.
Having separate business and personal credit accounts gives peace of mind. You won’t be left wondering if your entire mega-mart bill was for personal or business use. Every business purchase you make will be separated from your personal spending, which helps when doing taxes. Instead of taking your valuable time to decipher each receipt, you already know all transactions on the business account are for business, and those on your personal account are not. Additionally, many credit card companies provide a year-end statement summary with your transactions itemized and categorized. The convenience and time savings of this alone is a wonderful benefit.
Business credit cards also help you manage employee spending. You can select pre-set spending limits on the credit cards accessed by employees, thus protecting your business and giving you the confidence to focus on your business’ success and not wasting time with micro-managing.
Credit cards for your business allow you to plan for the future - now. As your successful business continues to grow and expand, you’ll need even more available capital. Good credit will allow you to access lines of credit and loans when you need them. By establishing good business credit history today, you’re investing in your company’s future.
Whether you use credit cards for expansion, budgeting, or taxes, the growth your business will experience as a result makes business credit cards a sound financial decision.
2-6-2012
by Dan Seitz
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by Chris Martin
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by Neil Hayashi
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Your credit rating has a direct impact on the interest rate you'll pay on your credit cards. See below for today's APR averages:
| Credit Rating | APR Avg |
| Excellent Credit | 12.51% |
| Good Credit | 16.57% |
| Fair Credit | 20.87% |
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Dan Seitz
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Dan Seitz
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Dan Seitz
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