Your Business Card is more than just a convenient way to spend and earn rewards. It's also one of the safest ways to manage your business spending, especially compared to writing checks or scheduling bank transfers.
Your Business Card comes with extra security features. Here are some of the ways spending with your Card helps keep your business spending safe.
1. American Express sets controls on employee spending.
While you should trust your employees, you also need to keep an eye on them, especially if they have the ability to spend on behalf of your business. By issuing your employees American Express® Business Cards, you can see exactly what's going on through tools such as American Express Business App. With this feature, you can track employee spending in real time.
If something looks suspicious, you can flag the transaction and immediately freeze the employee's Card as well. You can also set up limits to how much they can spend using Employee Controls. Finally, if you're too busy to manage all the employee accounts yourself, you can designate a trusted employee as your Account Manager if eligible. He or she will have the ability to approve new cards and set employee limits.
When you consider all these features, you can see why your American Express Business Card is the safe and smart way to spend. Be sure to take advantage so you can stop worrying about protecting your business funds and put that energy towards future growth opportunities.
2. They offer quick payment to keep suppliers happy.
Depending on your cash flow, you may need to wait right up until the deadline to pay your invoices and other bills. But if you're relying on checks or bank transfers, this could be playing with fire.
Mailing a check to your suppliers is a slow process. You'll spend time preparing the check, wait on delivery and hope it gets there in time. Even a bank transfer can take a few days before the payment arrives. While this process can work when you're paying early, if that deadline is coming up, you may not have this time to spare.
Missing an invoice or other bill deadline could lead to vendors charging you a penalty while also potentially leading to stricter payment terms in the future. With your Card, you can pay the bill quickly.
3. They give purchase alerts to catch issues early.
There's a lot to keep track of with your business spending and this can create leaks in your cash flow. For example, if you sign up to automatically renew with a vendor or service and forget to cancel when you no longer need it, that money will still be deducted from your bank account month after month. Those small leaks can add up to a significant loss to your bottom line.
To keep on top of things, you can set up automatic purchase alerts through your Business Card. For example, any time a transaction over $200 goes through, you can set up a push notification on your phone. Not only will this give you an early heads-up about any unapproved or fraudulent spending, it can also remind you to cancel any services your business no longer needs. In the hectic world of running a small business, it never hurts to get this free extra reminder.
4. You can use a U.S. based vendor invoice payment solution.
Your American Express® Business relationship offers a program specifically to help with your U.S. based vendors. With American Express® Working Capital Terms, eligible Business Card Members can request funding to pay their verified U.S. vendor invoices.
5. American Express helps protect against fraud.
When it comes to fraud, small businesses have a target on their backs, especially in today's digital age. Even if you do everything possible to keep your data safe, chances are your business could use extra support.
American Express proactively watches out for any signs of fraud to block thieves before they can attempt to use your Card. If a purchase looks unusual, American Express typically will reach out for a quick confirmation before sending it through. This can be done through a call, but today you can also approve with digital tools like text, email or mobile app.
If you sign up to automatically renew with a vendor or service and forget to cancel when you no longer need it, that money will still be deducted from your bank account month after month. Those small leaks can add up to a significant loss to your bottom line.
If someone does end up stealing your Card information, you will not be on the hook for the loss, as American Express will not hold you liable for fraud. In contrast, depending on the bank, if fraud is detected on your bank account you might be liable for some or even all of the loss when someone steals your account information during a transaction. That's why it's safer to spend using your Card, because even in the worst-case scenario, your risk is minimal.
Photo: Getty Images