Managing Expenses with A Business Credit Card


Grow Your Business

Jul, 20 2017

*Editorial Note: This content is not provided or commissioned by the credit card issuer. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through a credit card issuer partnership.

Entrepreneurial success requires a vision, hard work, perseverance, a positive attitude and a little bit of luck sprinkled on top.

"If you're trying to create a company, it's like baking a cake. You have to have all the ingredients in the right proportion." – Elon Musk.

Busy entrepreneurs are often focused on day-to-day operations of running and growing their businesses. For many business owners, finances are a weak link.

Don't saddle your accountant with shoeboxes full of receipts and financial statements. In the end that can cost you even more.

Here are four ways using a business credit card can help manage expenses and improve your finances.

  1. Separate your personal and business expenses. If you are paying for business expenses on your personal plastic, it can become a time-consuming headache each month sorting out which purchases are business versus personal. Consider opening a separate bank account for your business as well.

An all-around great starter business credit card is the Ink Business CashSM Credit Card. How it helps you: Get 0% introductory interest for 12 months on purchases, then it shifts to a variable rate. There's no annual fee and your business can earn cash-back throughout the year on many popular business spending categories.

  1. If your business has recurring expenses, such as utilities or phone bills, consider automating bill payment via your business credit card.
    Automate monthly bill payment. If your business has recurring expenses, such as utilities or phone bills, consider automating bill payment via your business credit card. Save time and help build your business credit score by establishing regular payment history. Even better: you can earn valuable rewards, miles or points on a business credit card with the added dollars from your monthly bills.
  2. Track your business spending. Using a business-only credit card can help you track your spending and expenses. This will help you build a budget, make financial projections and easily spot tax deductions. Consider these two cards to simplify your finances now.

The Business Gold Rewards Card from American Express OPEN offers powerful expense tracking tools. Card members can manage business expenses on the go with the ReceiptMatchSM Mobile App. Simply snap a photo of your receipt and match it to the transaction on your American Express online statement. Connect your card and automatically send transactions to QuickbooksTM. A year-end summary of charges will help you easily review business spending. The annual fee is $0 the first year, then $175. Card holders earn generous points on many popular business spending categories that you can choose.

If your credit isn't perfect, we recommend the Capital One® Spark® Classic for Business. This $0 annual fee card that does the heavy lifting when it comes to expense tracking, with a custom, itemized quarterly and year-end summary to streamline budgeting, planning and tax time. Download purchase records quickly and securely into multiple formats including: Quicken®, QuickBooksTM and Excel® for simplified accounting.

  1. Monitor and limit employee spending. If your business has you and your employees taking to the air, we recommend the CitiBusiness®/ AAdvantage® Platinum Select® World Mastercard®. Receive employee cards at no additional cost, plus earn AAdvantage® miles for purchases made on employee cards. Keep employee spending in check with a unique credit limit on every employee card. For frequent business travelers, this card can boost your bottom line with generous travel rewards. For a limited time, earn 60,000 bonus miles after making $3,000 in purchases within the first 3 months. Keep on earning bonus miles in several ways with this card. Pack with ease. Your first checked bag is free on domestic American Airlines flights. *This offer and/or promotion may have since changed, expired, or is no longer available.

Don't stuff your financial statements in a drawer. Using a business credit card is a key ingredient to streamline your finances, so you can get back to work.