Using A Corporate Credit Card To Better Your Business
There have been a lot of horror stories involving employees that scam their own company. A number of them have successfully stolen tens to hundreds of thousands and even millions of dollars undetected by using complicated yet illegal expenses that may be over-priced or just plain fraud.
While a number of corporations wont even feel the difference, there are many corporations that may sink over its head because of this. Also, even though you may have a multi-billion dollar company and a couple of hundred of thousands of dollars of stolen money from the coffers of your business may not mean anything, you should show your employees that you will not stand around and do nothing and allow them to steal company money. This is just poor business practice.
So where does a corporate credit card come into the picture? Well, since most fraud, as financial experts and investigators have said, come from expenses and other monetary transactions, a corporate credit card would allow a company or a corporation to monitor the expenses done in the name of the company and is a great accounting tool.
Whether your company or corporation is extremely large, medium or small, a detailed accounting of every monetary transaction can be very hard. Any business owner that knows his business knows that all the expenses and every detail of his business’ finances must be immaculately in order and can be easily understood so that he will be able to have a good grasp of his business’ success or failure.
With a corporate credit card, you will be able to get all the details of the purchases done in the name of your company. You may have people under you given a corporate credit card for various reasons. You may have a person in charge of purchases, you may have a person who needs to dine and wine potential clients, whatever reason there is you need to know that every single thing that they charged to the company is legit.
With a corporate credit card, you will be able to get the exact billing statement from the credit card company where you applied the corporate credit card from. You will know exactly when, where and how much they charged to the card. You will be able to match these with their expense reports and eliminate the temptations they may have if they handle with cash, or if they use their personal credit cards.
You can easily confront the erring employee with any inconsistencies with his or her expense report and any suspicious charges done on the card. Accounting is never easier and using a corporate credit card has made the process better.
Also, using corporate credit cards will provide other benefits for a company or a business. Some credit card companies offer reward programs or cash back programs which could spell more profit for the corporation.
Also, as you use your corporate credit card for most of your expenses, you will be able to get a higher credit limit which can be used for big purchases for your company. You have more liquidity and this can be very beneficial in a number of situations.
So take the next step in conducting a business, check out which corporate credit card will best work for your company and save more money and earn more profits.