Five Ways Your Business Benefits from Using a Commercial Card

The key to next-level cashflow optimization and growth for your business could be as simple as changing how you pay your expenses.

When running a business, the key to keeping your operation—and your cashflow—optimal could very likely be as simple as using a commercial credit card to pay suppliers for goods and services. Specifically, the right program could help you improve your cash flow and unlock a new level of growth for your business by simply shoring up your payments processes.

Modern commercial card programs are not just for travel and expenses anymore. They represent an extremely versatile tool that can be used for a wide variety of payments—and just with a single card. Used strategically, the right card for your business can help you with things like fighting fraud, automating reoccurring payments, and keeping more cash on hand each month.

Let’s take a closer look. Here are five reasons why your business could benefit from using a commercial card for supplier payments and other uses beyond the traditional travel:

1. Optimizes Cash Flow

As the saying goes, “cash is king.” And you can keep more of it on hand by using a commercial card to make your payments at a specific time during each billing cycle. Doing so can help you better track your finances while also having more money available for things like unexpected expenses or potential upgrades.

2. Automates Payables Processes

Making payments takes time. From writing and processing a check to initiating a wire payment, many payment methods still require manual effort that you could be spending elsewhere in your business. With a commercial card, you can schedule automatic, reoccurring payments to help ensure your money gets you all paid up each billing cycle without having to worry about taking time out of your day to do so.

3. Reduces Payment Costs

Chances are, you’re spending money to pay money. Payment methods like paper checks, wires, and money orders aren’t free, and those costs can add up quickly each billing cycle. For example, you need materials (e.g., envelopes, stamps) to send out paper checks, and wires and money orders require added fees. But with the right commercial credit card, you can streamline your payments to one convenient method while also cutting your other payment costs out altogether.

4. Reduces Opportunities for Fraud

Using a commercial card loaded with modern security technology (e.g., EMV chip, PIN codes) can help safeguard your payments with additional layers of security for each transaction. And, just like with a personal credit card, additional fraud monitoring mechanisms in the background can help ensure your money only goes to its intended party—and that fraudulent payments can potentially be stopped before your business is impacted.

5. Cash-Back Rebates

Certain commercial card programs offer cash-back rewards based on how much you spend during each billing cycle. The rewards vary between different commercial card vendors, but in shifting many if not all of your payments to an eligible card, you could find yourself with a reoccurring stream of cash that you can invest back into your business.

Connect With Us

Think it’s time to revisit how your business handles its payments? As the Business Bank of Choice on the West Coast, we can help with commercial card solutions for businesses of all sizes. You can also get in touch with one of our commercial card specialists in your area.