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By Heritage Bank on March 03, 2022
3 minute read

Do I Need a Business Credit Card? Do I Need a Credit Card That Better Fits My Business?

Whether you own a small business, run a side contracting gig or run a thriving mid-sized business, a business credit card can make your life simpler and be a critical business management tool.

Business credit cards allow sole proprietors and other small business owners to keep their personal and business expenses separate. Small and mid-sized businesses can use credit cards to defer payment during high expense periods, set up automated payments and earn points or cash back for charges. They can also provide credit cards to employees who incur expenses while doing their jobs.

Heritage Business Banking

Heritage Bank specializes in small business banking and are proud to offer local businesses top-flight tools to manage cash flow, expenditures and ongoing financial investments. From digital banking and commercial lending to Treasury Management Services tailored for small to mid-sized businesses, Heritage Bank offers products and tools you’d expect from national banks backed by the service large banks find difficult to match. Our financial products are designed to work as hard as you do!

To provide something unique in our market, Heritage Bank has partnered with MasterCard® to provide business credit cards and corporate business cards accepted around the world but serviced locally.

Does Every Small Business Need a Credit Card?

Glad you asked! If you’re running a sole proprietorship or side gig, keeping your business expenditures separate from personal ones will allow you to take advantage of certain tax deductions and keep financial records organized.

This is especially important if your business were to be audited by the IRS. Combining your personal expenses with your business expenses would require them to audit both accounts. Also, if a supplier or vendor runs a credit check on your business, you may want your business expenses to be managed separately.

When Do I Know I’ve Outgrown My Credit Card?

Many businesses continue using credit cards they have or about to outgrow. Once your business is a certain size or complexity, you need to consider a commercial card with higher spending limits and streamlined administration and spend analysis tools.

Smart businesses view commercial credit cards as a cash flow management tool. Charging expenses to corporate rewards cards helps businesses hold onto cash longer and accumulate cash back rewards to apply toward future company expenses. Charging expenses to purchasing cards allows businesses to control expenses and increase their working capital.

Heritage Bank offers commercial credits cards perfect for fast-growing mid-sized businesses. Commercial card products are due in full each month and do not incur finance charges like small business credit cards. Our purchasing card is ideal for businesses who charge large amounts month to month and are ready to leverage their purchasing power in exchange for rewards.

What Benefits Should a Small Business Expect from a Credit Card?

Look for a card offering more customized features available to use at your discretion. Also, ask if questions or concerns are handled or monitored locally.

Business Line of Credit: Has it been an expense-heavy month for your business? Treat your business card like the line of credit it is. Don’t postpone investing in the tools, equipment and services you need to keep your business moving forward. Charging that software program or course fee gives you more time to pay.

Control Over Credit Limit: The right business credit card gives you the ability to adjust the credit limit on any employee card 24/7 through simple-to-use online tools.

Contactless Payments: As smart technology continues to change the way we shop, your business credit card will allow you to make contactless payments via Apple Pay®, Samsung Pay® and Google Pay®.+ Generally, contactless payments are more secure than using your physical card at a brick and mortar retailer or directly inputting card information into a website.

Syncs to Tax Software: Sync your card information to your existing accounting and tax software to track and report expenses in real-time.

Security: Major credit card companies offer 24/7 security to protect companies against fraud and to expedite replacement of lost or stolen cards.

Discounts: Cards issues through a major credit organization often offer special discounts on travel, entertainment and other products and services.

Apply for a Business Credit Card Today!

For more details on our credit card options, please visit our Business Credit Card page to compare offers and apply online.

For questions about our credit card programs, contact us to learn more, or start filling out your online application today!

Subject to credit approval, ask for details

Mastercard® is a registered trademark of Mastercard International Incorporated.

+Apple Pay is a registered trademark of Apple Inc. Samsung Pay is a registered trademark of Samsung Electronics Co., Ltd. Google Pay is a registered trademark of Google LLC.

Information provided herein does not constitute tax, legal or accounting advise. This material is for informational purposes only. It is recommended that you contact your own tax, legal and accounting advisors before engaging in any transaction.

Published by Heritage Bank March 3, 2022