The global downturn hit all market entities very hard, but it was small businesses that really took a dive. Small businesses in Canada do not have much to celebrate where productivity is concerned. One of the biggest problems small business owners face is the lack of time. Business owners and managers are working longer and harder than ever, and they are looking for ways to be more productive and take advantage of a greater yield. Technology is a very important factor in this context – it has helped small and medium-size business enterprises improve their operators in a number of ways. What is more, technology allows small companies to compete efficiently with big ones, thus providing them with some sort of leverage. One common mistake small businesses make is paying their bills with checks. They waste a lot of time writing checks. Using a business credit card would be a big time-saver. This could be time better spent on improving and developing their business!
A lot of small businesses, especially family businesses with only several employees, tend to neglect financial management. If they used credit cards, this could optimize this part of their operations. It is possible to track expenses, receive financial reports, give the staff credit cards with spending limits at no extra cost, and have online access to the details of all operations.
In Canada, there are many credit card issuers offering products to businesses. One option is the American Express Business Gold Rewards card. This is not recommended, because the interest on cash advances is a whopping 30.00 percent. They do offer a no-fee period in the first year. You earn 1 point in rebates per dollar charged to the card, and there is no limit to the number of membership rewards points you can earn.
If you are a frequent traveller, the American Express AIR MILES Gold Business Card may be a good option for you. The interest rate is 19.99 percent on cash advances and 19.99 percent on balance transfers. This product enables owners of small businesses to turn all purchases into reward miles. This card does not carry an annual fee.
If American Express is not your brand of choice, you could browse the options the Bank of Montreal has to offer. One such option is the BMO AIR MILES MasterCard for Business. They offer zero interest on purchases, 19.50 percent on cash advances and also 19.50 percent on balance transfers. You can choose from the following reward levels: gold, silver and bronze. The difference is the number of reward miles you get for the specific sums you spend as well as the annual fee.
If you want to look into a different provider, you could try the CIBC Aerogold VISA Card for Business. The interest is 10.90 percent on cash advances. You get a bonus of 15,000 miles the first time you use your card. Then, you get one mile per dollar in purchases charged to the card. The credit limit is $50,000.
As you can see, Canadian small business owners have plenty of cards to choose from!
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