To compete in the market, modern business needs to follow all innovations and systematically implement them in its activities. Several innovations help improve the company’s activity from within, making it more efficient and convenient for its employees. One such innovative tool is business expense cards. This is a comprehensive solution for controlling company expenses and optimizing all its financial processes.
What are Corporate Expense Cards?
Corporate expense cards are payment cards that a company can issue using a special Wallester Business platform. They help to control the company’s expenses more efficiently and easily. Business corporate cards can be physical and virtual, debit, credit and prepaid. If earlier companies had 2-3 cards, which were transferred from employee to employee when necessary, now each employee can get his card, which will have an individual or team budget.
With these cards, a company can ensure its staff can access the funds they need while retaining full control over them. Unique limits can be set on each card, and employees are not required to confirm their expenses, as all reporting can be easily done through a special platform. Corporate expense cards have many advantages over other means of payment. Let’s briefly consider each of these advantages.
Employees need easy access to the funds they need to accomplish their tasks promptly. If an employee needs to first go to the finance department or seek out a corporate card from other team members to get a certain amount, it slows down their work and the company as a whole. Employee expense cards allow them to handle financial matters when needed independently.
Having each employee have their corporate card eliminates confusion and disputes between them because now they will be responsible to the company directly for their expenses. With such cards, the finance department will know exactly who used a particular card, when and for what purpose. Transactions can be monitored in real-time.
Read Also: Revolutionizing Finance With Fintech
Any limits can be set on spending cards. It can be a certain amount per day or transaction. It is also possible to set limits depending on the employee’s position or job duties and needs to fulfil a certain task. Managers usually have higher limits because they must buy supplies for the whole team and have many meetings. There may also be cards with a budget for the whole team rather than one employee.
There may not be a limit on the cards, but employees need to know how much they can spend without getting approval from the finance department. There is no need to spend time dealing with such issues when there is a limit. Raising the corporate card limit can be used to reward the employee.
In many companies, going on a business trip becomes a real test of strength for employees. Not only do they have to spend their own money on the road and collect all the receipts, but they have to wait a long time for reimbursement. And the most annoying and agonizing thing in such cases is making detailed reports on office expenses. In addition to a large amount of unnecessary work, preparing such reports also leads to hidden and unrecorded company expenses.
When an employee gets a corporate expense card at his disposal, he eliminates the need to write a report on the purchases made, as the finance department can get all the information through a special platform.
For the finance department of any company, all information about expenses incurred by employees must be provided as transparently and promptly as possible. When employees need to submit a report on their expenses, they may need to work on writing it or remember to specify some purchases. And if reports are submitted weekly or monthly, rather than when funds are used, a lot of information must be included. This delay in reporting can result in the company not fitting into the budget planned for corporate spending.
Corporate expense cards are devoid of this disadvantage, as every payment using them is recorded online. A financial department specialist can log on to the platform anytime and view information on any corporate card. Teams, departments, expense categories and other criteria can select them. Convenient filters significantly reduce the time the finance department spends to reconcile payments and display clean data.
Corporate expense cards differ from regular credit cards because they are not linked to a company’s bank account. Funds are uploaded to a central platform and, from there, allocated to cards for each employee’s expenses individually. Expense approvals can be prescribed separately for each card. Some employees can be allowed to spend any amount without approval, while it is mandatory to approve each transaction for some of them. This solution allows you to empower your employees and, at the same time, relieve the management of the work of constantly confirming payments.
Besides, you can make purchases with corporate spending cards in any currency. Conversion is carried out automatically at the most favorable exchange rate. It is convenient for companies with remote working employees, with international representative offices and partners in other countries.
In addition to the desktop platform for managing the card program, there are also special mobile applications. With their help, employees can control their expenses and communicate faster with the financial department.
Special virtual cards can be issued for buying online advertising and generally for making payments over the Internet. These cards can be either reusable or specially issued for a one-time transaction. The cards are issued instantly. Thanks to them, the company’s main account remains completely safe and online shopping becomes as easy and fast as possible.
Every modern company is interested in making expense management as easy as possible. Issuing your expense cards contributes to this in the following ways:
● The company itself issues the cards. No need to go to a banking institution for this. Both virtual and physical cards can be issued independently;
● Work purchases are simplified, as employees pay for corporate expenses themselves without having to go to the finance department or seek approval from their superiors;
● Better budget management by setting individual limits and real-time transaction tracking.
Modern corporate expense card platforms are built on an easily customizable API. They can be easily integrated into the workflow and combined with products already used by the company. It allows you to create a comprehensive solution for any business, control finances using integrated code and instantly receive payment data on all expenses for all corporate expense cards. Using such a solution helps optimize the company’s work and increase the efficiency of each department and each employee in particular.