After 10 years of marriage, I’m still enjoying living in the first home I moved into with my husband. Buying a first home can be one of the most exciting events in a person’s life. Before making this important expenditure, people need to first sit down and determine how they will successfully finance it. After all, a home will likely be the most expensive purchase you make in your life. Talk to a loan officer and determine how much money you can reasonably borrow. Then, decide how much money you want to use as a down payment. You also must decide how many years you will finance your home for. On this blog, you will learn about the process of buying a first home with a loan.
As the owner of a small business, you need to use all the financial and organizational tools you can find. One of these tools is a company credit card. Whether or not you currently have a company credit card for your own usage, you will likely face the decision as to which employees should or should not be given one as well. How can you know when to give out such cards and whom to give them to? Here are a few key employees who are good candidates.
1. Purchasing Agents. The person or people who do the majority of your purchasing work need to be able to buy things on the fly. A credit card is perfect for small purchases and items that require immediate payment in an emergency. They also need to have as many tools to work with in order to get the best deals or the right terms. Add a company credit card to their arsenal.
2. Management. Most companies agree that owners and upper management should have a company credit card to fulfill their role. Typically, management not only purchases occasional supplies and equipment for company operations but also buy gifts and meals for clients or vendors. In addition, if they travel, a credit card is generally necessary to make bookings and pay for things when on the road.
3. Tail Spenders. Known as "tail spending," low-value or infrequent buying outside the normal purchasing chain is often more trouble to track then it's worth to the company. The buying is often done with employee reimbursements, emergency purchase orders, or petty cash — all methods that create more paperwork or hassle. Give a credit card to regular "tail spenders" to reduce red tape.
4. Travelers. Anyone who spends a significant amount of time on the road for your business should probably have a credit card. This will cover the majority of travel expenses, ranging from fuel for the car to hotel rooms to marketing materials at a conference. You could issue a credit card solely when a person travels or let them keep it permanently, depending on the people involved.
5. Remote Employees. Do you have employees working from home or at a remote office location? Give them a company credit card to speed up purchasing what they need to do their jobs and to make it easier on both of you. Remote employees do much of their work online, where a credit card may be the only way to buy supplies, equipment, or subscriptions.
If you identify these individuals within your company and use a structured company credit card system, the time and expense needed to manage purchases will diminish. Want to learn more about company credit cards, their safeguards, and their benefits? Speak with a credit card service that works with your industry today.