Paying for Business Expenses Applying for a business credit card is something a small business should seriously consider for itself. Business credit cards can provide a range of benefits to a business. They allow a company to build up credit for better borrowing conditions down the road. They’re also quite easy to apply for. In this article, we’ll go over how to apply for a business credit card and other important points to note. What Is a Business Credit Card? A business credit card is a credit card that is intended for business expenses. These cards are not meant for any individual’s personal use, but they are available to businesses of all sizes. What Is a Business Credit Card Used For? Business credit cards are meant for business expenses, and as such, they come with several perks that you wouldn’t get with a normal credit card. Business credit cards typically have far higher credit limits than normal cards, but they are also harder to qualify for. [youmaylike] As a business phenomenon, business credit cards vary their offers greatly, and certain cards are meant for certain businesses. They are also highly customizable when it comes to individual payment terms. Businesses don't always have consistent incomes like individuals do, and business credit cards handle this problem. These cards are used to gain access to a long line of credit, to control employee spending on business expenses and more. One of their other common uses is to make accounting easier, as putting all business expenses on one separate account makes reporting to the Internal Revenue Service easier. In the end, there are many uses for a business credit card. Why Would I Need a Business Credit Card? You might not need one, but if you run a business, you’ll be leaving money on the table by not at least looking into them. Business credit cards can solve many of the problems business owners face. If you need employees to make purchases for the business, a business credit card is the safest option. These cards can be given to authorized users, a status you can easily give to any of your employees. From here, these cards make it easy to monitor employee spending and spot any discrepancies. You can attach customized user privileges to each card to limit spending and place limits on where the card can be used. As mentioned, if you feel like your credit is too limited, business credit cards are a sure way around low credit. According to the American Bankers Association, the average monthly payment on a business credit card is twice as high as the average payment on a normal one. If you’ve found yourself annoyed with the Internal Revenue Service over the complicated reporting processes for business owners, you’re not alone. This is where a business credit card can solve another problem. Simply handing over your business credit card statements to your accountant will make them love you. It will also provide them with the information they need to predict future spending. Another great use for a business credit card is lifting your liability for debts. Liability for credit card debt is determined by the liability offered by the card. If you’re using a personal credit card for business expenses, you are liable for all debts. On the other hand, if you use a business credit card with commercial liability, your business is liable for any debts, which changes the game. Keep in mind that some cards offer joint liability, which leaves both you and your business liable for any debts. Make sure you know what you’re getting into before signing any paperwork. Lastly, just as personal credit cards offer rewards programs, so do business cards. The main difference here is that business credit card rewards are tailored to your business needs. How to Apply for a Business Credit Card Before you apply for a business credit card, you should make sure you’re eligible. For the most part, you only require the following to be able to apply for one: A legal name for your business. A business structure to apply with, such as a Limited Liability Corporation. An explanation of the nature of your business. You’ll typically be given a list of industry types to choose from. A tax ID number issued by the Internal Revenue Service Your roll in the business you’re representing Various business/financial information including: Annual revenue. Number of employees. Length of time in business. Estimated monthly expenses. If you have this information ready, you can apply for a business credit card. At this point, it would be wise to shop around and find the best option for your business. Your decision on the business credit card you choose will have larger ramifications than your choice of a personal credit card. Applying for a business credit card is much the same as applying for a personal one. There are a few differences, but the main thing to remember is that business credit cards are taken more seriously than normal ones, so you’ll have to face a higher bar of entry. This doesn’t mean getting a business credit card is hard, but it does mean you need to arrive more well-prepared than you normally would. To make things easier, you can prepare for certain obstacles in advance. You may need to sign a personal guarantee that you will pay off any debts. Also keep in mind that if you’re the one applying for a business credit card, and your business doesn’t already have one, they will conduct a personal credit check. It may be best to try to optimize your personal credit if you plan on applying for a business credit card in the future. Some Options at a Glance Here are some of the most popular options for small business credit cards: Chase Inc Business Preferred This is a great option for a few reasons. With the Business Preferred card from Chase Inc, you get 80,000 ultimate reward points when you spend $5,000 with the card in the first three months. The card also provides generic, but highly useful benefits for business owners. Business Platinum Card from American Express The Business Platinum is ideal for businesses that spend a lot on flights and travel. This card offers numerous rewards on flight and hotel expenses and makes sure you get something serious back if you use it for these expenses. Chase Inc Business Unlimited The Chase Inc Business Unlimited offers unlimited 1.5% cash back. While we’ve said enough already, they also offer several other perks that are overshadowed by their first one.
Building a Better World
Giving back to society is a fundamental human value that enriches our communities, brings purpose to our lives and helps those in need. There are countless ways to contribute, whether through volunteering, donating or advocacy. This article will discuss ways to give back, followed by a list of reputable charities facilitating generous deeds.
Ways to Give Back to Society
1. Supporting Mental Health
Mental health is often stigmatized, making it vital to support organizations that foster mental well-being. You can volunteer at help lines, participate in community awareness programs or offer free workshops if you’re a trained professional. In addition, consider donating to mental health support groups or contributing to campaigns aimed at educating the public and breaking down stigmas.
2. Supporting Hospitals
Hospitals are always in need of volunteers and donors. Offer your time to help with administrative tasks or brighten patients' days by visiting and conversing with them. Monetary donations help hospitals invest in state-of-the-art equipment and life-saving research, while blood donations save lives.
3. Helping Low-Income Families
You can make a difference for low-income families by donating clothing, household items or money. Tutoring children, teaching skills to adults for job readiness and volunteering for home-building projects also provide significant support. Moreover, advocating for policies that increase affordable housing and living wages can create a longer-lasting impact.
4. Donating to Food Banks
Food insecurity is an issue that affects millions. Donating non-perishable food items, money or your time to food banks can help ensure that no one goes hungry. Organizing food drives or volunteering to sort and distribute food are practical ways to get involved.
5. Empowering Children
The empowerment of children is crucial for a better future. By mentoring, coaching or contributing to educational programs, you can help shape their lives. Charitable donations can provide resources for underfunded schools, after-school programs and scholarships for higher education.
6. Helping Animals
Animal shelters are often overburdened and under-resourced. Volunteering your time, donating supplies, adopting pets or fostering animals can give them a second chance at life. Additionally, supporting wildlife conservation efforts preserves biodiversity and natural habitats.
7. Supporting Veterans
Veterans have sacrificed much for their countries and often need support reintegrating into civilian life. Providing employment opportunities, mental health services or simply expressing gratitude can have profound effects. Volunteering with organizations that assist veterans with healthcare, housing and education is another avenue for giving back.
Recommended Charities for Donations
Now that we've explored various ways to give back, here are some of the best charities to consider for donation.
1. Habitat for Humanity
Habitat for Humanity is a global nonprofit organization that works in local communities across all 50 states in America and in approximately 70 countries. They help families build and improve places to call home, believing that affordable housing plays a critical role in strong and stable communities.
2. The Salvation Army
The Salvation Army is an international movement that aims to meet human needs without discrimination. They provide disaster relief, support for the homeless, rehabilitation and a variety of community programs, often including food provisions and job training.
3. St. Jude Children's Research Hospital
St. Jude's mission is to advance cures and means of prevention for pediatric catastrophic diseases through research and treatment. It stands out for the fact that families never receive a bill for treatment, travel, housing or food.
4. United Way
The United Way improves lives by mobilizing the caring power of communities around the world to advance the common good. It focuses on education, income stability and health, striving to provide each community with what it needs the most.
5. Feeding America
As the nation’s largest domestic hunger relief organization, Feeding America has a network of 200 food banks and 60,000 food pantries and meal programs that provide meals to millions of people each year.
6. American National Red Cross
The American National Red Cross provides emergency assistance, disaster relief and disaster preparedness education in the United States. It is part of a worldwide movement offering neutral humanitarian care to the victims of war and devastating events.
7. World Food Program USA
World Food Program USA supports the mission of the United Nations World Food Programme, the leading global organization fighting hunger. It responds to emergencies and uses food assistance to build pathways to peace, stability and prosperity for people recovering from conflict, disasters and the impact of climate change.
8. World Wildlife Fund
The WWF aims to conserve nature and reduce the most pressing threats to the diversity of life on Earth. They organize their work around six areas: forests, marine, freshwater, wildlife, food and climate.
9. Wounded Warrior Project
The Wounded Warrior Project provides support services and programs to help injured veterans recover and transition back to civilian life. These include mental health support, employment programs and physical wellness activities.
10. International Rescue Committee
The IRC responds to the world’s worst humanitarian crises and helps people to survive and rebuild their lives, offering lifesaving care and life-changing assistance to refugees forced to flee from war or disaster.
The Power of Giving
Giving back to society strengthens our communities, brings joy to those in need and fosters our personal growth. There are countless ways to make a difference. By supporting these charities or engaging directly in community service, each of us can contribute to a more compassionate and just world.