subject: Merchant Account Comparison - Business Credit Card Is Company Charge Card Useful? [print this page] 'Yes' -is the response that's comes out nearly instantly. That is true at least for the majority of businesses (particularly little companies). Before we delve further into how business credit cards are helpful, let's attempt to understand what a company charge card is.
Put simply, a company charge card is really a charge card that's owned by a business and not an individual. To understand this much better, you can simply draw an analogy between the company credit cards and company bank accounts, which are within the name from the company too. Other than that, company charge cards work in pretty a lot the same fashion as the personal charge cards; with a few exceptions. These exceptions are in the form of flexibility in credit limit, low APRs and some other additional advantages that are available to business credit cards only.
Even from just that, company credit cards seem a good proposition. Nevertheless, company charge cards would be attractive even without those benefits simply because the primary benefit lies elsewhere. The big-big advantage from a business charge card is realized in terms of company expense accounting. The key here is to make certain that you use your company charge card for all your company expenses (or as much as you are able to). Moreover, a lot of business credit card suppliers realize this require of little business and even organize the business charge card bills in a way that meets the accounting requirements of these businesses. So mostly, they will appropriately group the expenses on the company charge card bill so as to facilitate business expense accounting. In fact, some from the company charge card suppliers go to an extent of providing the bills in a format that can be downloaded and exported to an accounting program i.e. you do not need to enter the data manually in your accounting system. In case the format is not appropriate for your accounting system, you can hire a software professional to write a small quick program to convert it into a suitable format.
Thus just one reason - 'facilitation of company expense accounting', is enough to support the situation of small company charge cards.
