The BizFilings blog covering business tips and trends.
Small Business Owners Should Use Credit Cards with Caution
Published on Aug 2, 2011
Read 'Small Business Owners Should Use Credit Cards with Caution' at 'Time to Start Up,' the small business blog by BizFilings.
Many small business owners are reluctant to open business credit cards because they are unaware of which are the best choice. Because of this, CreditDonkey recently released a list of the best business credit cards in an effort to help small business owners realize a corporate debt ceiling plan.
“Even if a small business isn’t currently in need of credit, opening a business credit card is a smart move,” said Charles Tran, owner of CreditDonkey. “By utilizing a small business credit card, business owners can help ensure their companies have access to credit when it’s needed.”
A business credit card can help small business owners build their company’s credit, have access to additional cash, and potentially utilize cash back rewards savings. Another benefit is not having to pay the unnecessary fees that sometimes come with business loans.
While opening a small business credit card may be convenient, small business owners must be responsible with the use of their cards. According to Debtmerica.com, a majority of the nation’’s 27 million small businesses use credit cards as a main money source.
However, more businesses than ever are failing to pay their credit card bills and are allowing their balances to grow between $10,000 to $25,000, according to an upcoming report from the National Small Business Association.