Q&A with MoneyGeek on Finding and Using the Right Business Credit Card
March 7, 2023
What is the best business credit card for your company? Whether you operate a large business or are a freelance independent contractor, there are some things to consider before choosing one that’s right for you. Cody Moore, a Wealth Advisor with Wealth E&P, sat down with MoneyGeek to offer some expert tips on choosing the right credit card for your business.
Q: “With fewer protections and higher interest rates than consumer cards, is it truly worth it for a small business to have and use a business card versus a personal one for business expenses?”
Cody: “It is certainly worth leveraging a credit card for business expenses. The thing to keep in mind is just like a personal credit card; you want to regularly pay it off. There are plenty of good card options to reap the rewards of your business spending.”
Q: “Should all small business owners or self-employed individuals have a business credit card for expenses? If not, which businesses benefit most from having a business card?”
Cody: “That really boils down to your responsibility level with the card. If you have the discipline to use the card as if it is your checking account, then yes, you should get the perks of the card.”
Q: What are some ways business owners can appropriately use their credit cards to build credit and stay out of debt?”
Cody: “Use your business credit card for regular monthly expenses that you have the capital to pay off regularly. It's a simple way to build credit for the potential financing needs of your business in the future. Being delinquent can harm your credit score and may result in legal action being taken against you by the lender. It can also lead to higher interest rates, late fees and other penalties.”
At Wealth Enhancement & Preservation, we are here to serve as your financial advisor and source of support in the Alpharetta, GA, Cartersville, GA, and Charleston, SC areas. Our advisors are dedicated to simplifying the complexities of the financial world and as your advocate, we strive to learn about your most valued goals and dreams. From individual investors to entrepreneurs, our services are designed for your success.