Managing a company’s financial expenses (whether a startup or an established one) is no easy task. And figuring out a way to set smart spending limits and establish a streamlined accounting process for your business is even more complicated. This is where a corporate debit card comes in, giving you the power to establish a smooth financial setup for your business.
Let’s first understand what exactly corporate cards are.
Just like you have a personal debit or credit card meant for your personal finances and expenses, corporate cards are a company’s personal card designated for the company’s expenses. In simple terms, a corporate card is a card issued by a bank or financial institution to a company or business for the purpose of easing their financial activities.
Who are corporate cards issued to?
Earlier, companies used to issue corporate cards specifically to individuals holding higher positions, such as the Founder, CEO, or CFO. However, as times have changed, companies have begun to issue corporate cards, understanding the different roles of their employees. For example, employees in the sales, purchasing, or marketing departments often need to frequently spend company funds or make business trips. Having a corporate card helps them avoid the hassle of paying out of pocket and later going through the complicated process of reimbursements. Many corporate debit cards in modern times, like the Aspire debit card offer these features.
Which type of corporate card should your business use? (Virtual or Physical)
A physical corporate card is a tangible card that can be swiped or inserted for payment. At the same time, digital cards exist only in digital form and reside on digital devices, such as phones, laptops, and tablets. Both cards have their own sets of pros and cons, but you need not make a choice between the two. These debit card offers your business the ability to own both a physical and a virtual corporate card, allowing you to enjoy the benefits of both.
Are corporate cards debit or credit?
Corporate cards are available in both debit and credit forms. A debit corporate card allows you to set a spending limit, like the Aspire debit card. A corporate credit card, on the other hand, offers you the flexibility to access funds on a line of credit, which will be paid later by the company (inclusive of the interest charges).
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Why use a Corporate Debit Card for your business?
There are multiple reasons as to why you should use a corporate debit card for your business, but the ones that will definitely make you apply for one are:
- Helps to scale your business faster: A corporate debit card will enable your employees to make financial decisions with fewer restrictions. On the other hand, you can easily set a spending limit, track their spending, and seamlessly integrate or connect the card with other resources to automate your business.
- Customizable spending limits for every card: A corporate debit card allows you to customise the spending limit for every corporate card that is issued to your business. You can easily create multiple virtual and physical corporate cards for different employees and set different limits for each card as per their role requirements.
- Real-time tracking features: Corporate cards allow you to track all of your cards and their expenses in real-time. With the help of this feature, you or your company’s finance department can keep a clear eye on who is spending how much and on what. This allows you to stay updated with every card’s spending limit, as well as keep an eye out for any financial discrepancies (if any).
- Empowering your team without losing control: A corporate debit card is the perfect definition of giving freedom, but at the same time, ensuring that the freedom is not being misused or taken advantage of. You empower your employees to make financial decisions, but at the same time, set limits on their expenditures and track them in real-time to avoid any irregularities.
Today’s fast-paced business environment demands more than just a standard corporate card. You need a tool that assists not just in spending but also in gaining other benefits, such as cashback or travel upgrades. A corporate debit card gives you exactly what you are looking for. It helps your business establish a smart and efficient financial route while scaling more quickly. If you are still tired of going through multiple expense spreadsheets and passing employee reimbursements, then it may be time for you to avail yourself of corporate cards for your business.
