The content is accurate at the time of publication and is subject to change.
Anyone would like to run his own business and be the boss of his own. Starting up a business has never been easy and it takes a great deal of knowledge and business skill to succeed. As they say great things come from small beginnings and so is a business.
Let`s admit it or not, the more capital a businessman has the greater his potentials are. But not all businessmen have all the needed capital for business improvement and expansion. One way to expand a business is starting to build a good foundation and relationship with his bank.
It has been found out that two-third of small businesses are now integrating the use of credit card. It might not be beneficial to you for now but as time pass by, you`ll get to know and experience the benefits of having one.
Why should credit cards be used in business? How would it help you with business expansion and improvement? Having a credit card which is properly managed helps one build a good reputation. When dues are paid on time, this adds up to a good credit score and a good credit score could be your passport to get approved of a loan you may use in expanding your business? Now, is it making sense?
Aside from that major benefit, it also prevents mixing up of your personal and business expenses that could later result to tax discrepancies. A good businessman should never let this two aspects be mixed up for you`d never know of your business is profiting or not.
Sign up for only one card. Having multiple cards may lead you to unreasonable spending that could in time hurt your credit score and the worse your business.
Try very hard not to use the cash advance program of your card. Cash advances incur high interest rates. Better save your cash advance credit for business emergency. If you have a business account debit account then use it instead.
Save time, gas and money by paying your business credit bills online and make on-time payments. Making it a habit to pay your balance in full every end of each month will do good on your credit score.
Shop around for as many places as you can but apply for just one card; that`s what a wise and responsible businessman should do. Use credit card on your business and enjoy its benefits.