Corporate card comparison - Which corporate card should you choose for your small business?
Search for ‘corporate cards’ on Google and you’ll find hundreds of different cards pop up. Business credit cards, corporate charge cards, expense cards, travel cards, prepaid cards, virtual cards - how do you tell the difference and decide which card is right for your company?
The good news is that once you break it down there are actually 3 major card types available - credit cards, debit cards and prepaid cards. In this blog post we’ll help you understand the pros and cons of each card.
When a transaction is made with a debit card, funds are deducted from the available balance of the company bank account and paid to the merchant.
- Cards draw from your company bank account at the time of transaction which means that money is available for other payments
- Some debit cards have access to an overdraft facility
- If a card is lost, or irresponsible spending occurs, all of the money in your company bank account is at risk
- Financial checks and paperwork are required to qualify
- No access to a line of credit
Best suited for:
Medium sized businesses that want a small number of staff members to have cards.