Tuesday, January 27, 2009

Should I get a company credit card?

If you have good credit and you manage your finances well, you really don’t need a company credit card. All you need to do is keep your business expense separate and write the business reason on the back of the receipt. You’ll want to keep a running total of your business expenses for your taxes.

If you have a spouse or other people in your family using the same credit card, it is probably a good idea to get a credit card with your company’s name on it and only put your business expenses on that card. Typically you will be guaranteeing the credit card personally but the credit card company will put your business name on the card.

Here are a couple of good options for you if you are ready to get a company credit card. Click Here to view some credit card provider links.

See a related article titled: Should I add employees to my company credit card?

© 2009 eMarketing 4 Business LLC

Sunday, January 18, 2009

My business needs money, should I get it from my home equity line if credit?

That is a tough question. First off, can you accelerate some of your accounts receivable accounts to get more cash flowing? If not, you can also try to send out your invoices faster and try reducing the timeframe for paying them to 15 days from 30.

Also, if you have some jobs pending out there you might tell the prospects you have an opening now and you may be able to reduce your bid to start a little sooner.

If all these suggestions still leave you tight on cash and you need a loan, taking it from your homes line of credit is certainly the easiest way to go but be careful…. If you’re planning on selling your house any time soon make sure the market hasn’t changed in your area and be sure you could sell the house with your current equity position, especially after you take the loan.

If you’re not sure on this one it might be a good idea to get a loan from your banker or a credit union. Credit unions usually have more less strict qualification guidelines and they may also have a lower interest rate than your bank.

If all else fails and you need the dough, your credit line may be the only alternative. Be careful and don’t take more than you need. Turn up your marketing efforts and try to get more business in the door!

© 2009 eMarketing 4 Business LLC