If you’re looking for a cash flow credit card, you may be dealing with:
Credit cards designed specifically for cash flow like Jeeves can help you overcome these obstacles. However, it’s also wise to know the features to look out for in a credit card to optimise your expenses and maximise your cash flow.
In this post, we’ll share:
Note: Looking for a cash flow credit card for your business? Try Jeeves, a business credit card with free expense management software, cashback on every purchase, and no transaction, FX, or annual fees.
As founders, we know how essential a business credit card can be to improve your cash flow, keep your business running and position you for growth. Here’s how a Jeeves business credit card helps your cash flow management, whether you’re a small business or enterprise company:
A business credit card designed for cash flow like Jeeves can help you pay ordinary expenses while you’re waiting for payment on receivables. It can also keep your business running normally when there are unexpected expenses.
Prepaid and debit cards are great for tracking expenses, but they allow you to only spend the money available in your bank account. When you're short for cash or need to pay an unexpected expense, debit cards won't protect your cash flow.
However, the added benefit of Jeeves credit cards is they provide 30 days of business credit for free: there are no transaction, card, FX or annual fees. You can create an unlimited amount of virtual cards for free instantly and order free physical cards, which typically arrive within three business days.
With our line of credit, you can keep cash flowing in your business without adding fees to each payment. We provide you with credit at the beginning of each month. Then you just need to make one payment to clear your credit within 30 days to keep it interest free.
A Jeeves’ credit line enables you to:
For example, if bills arrive on the first of the month, but your revenue won’t come in until mid-month, a Jeeves business credit card enables you to float those expenses.
For an online retail clothing shop, this means you can buy clothes wholesale, get a return on investment during the month and have enough money to pay off your Jeeves credit by the end of the month, without the worry of paying additional fees.
Lack of visibility may be creating cash flow limits, especially if you're using different tools and software to manage expenses across international offices.
Jeeves improves your domestic and international spending visibility with global expense management software that connects to your Jeeves credit for free. You can get all your cross-border spending in multiple currencies under control with one tool where you can see transactions in real time across offices.
With Jeeves business credit cards you can:
By using one centralised tool, you can save money, get a complete overview and reduce overspending to maximise the cash you have on hand. You can even extend your cash runway with Jeeves credit.
You’ll receive cash back on all your purchases made with your Jeeves’ business credit cards to boost your bottom line and help you pay for expenses.
All Jeeves cardholders receive 2% cash back in your first 90 days with Jeeves.
Your Jeeves cash back is credited directly to your Jeeves account as cash so you can see how much you can reduce the amount to pay back or use that credit for additional purchases or expenses.
You’ll have access to over $100,000 in partner perks to optimise your cash flow further. For instance, you can save up to $5,000 in AWS credits, get 25% off eligible Slack plans or receive up to 30% off your first year with HubSpot.
If you fly frequently and purchase your air travel with Jeeves, you’ll also have free access to over 1,300 airport lounges worldwide.
Thanks to Jeeves’ multi-currency option and no FX or currency hedging fees, you can bridge your international cash flow across your global offices and expenses.
Here’s how Jeeves' multiple currency credit works. If you're headquartered in Germany, but your operations are in the U.S. and Mexico, you can choose to have your credit issued in USD or MXN instead of EUR, so you’re not limited to your home-base currency. You can then issue virtual cards in your currency of choice and order physical cards for specific countries.
You can then pay your monthly Jeeves credit in the main currency issued, in the currency you earn most of your revenue, or in three tranches, one for each currency.
For example, the global mobility SaaS company Spare uses Jeeves to bridge their cash flow gap for expenses made by their employees located around the world. They then use their cash back to pay off additional business expenses.
Accessing credit can be difficult – you’ll need to provide a business plan, and you’ll probably need to sign either business or personal guarantees.
Credit is also expensive and there aren’t very many credit card options available to you.
Instead, with Jeeves, you’ll know if you can get credit quickly because the sign-up process is transparent and takes 5 minutes. Jeeves can provide you with fee-free credit cards within 24 hours of your application if accepted. Your Jeeves credit line can also remain interest free if you pay us back within a 30-day window.
We also don’t require a business plan or ask for personal guarantees.
Jeeves doesn’t underwrite you personally. We underwrite your business, so we just need to see that your business has healthy financials and that you’re in a position to pay us back.
We base your credit limit on your current revenue and can give you 5 to 20% of your global cash balance or your revenue across your entire company. For eligibility, you’ll need to have a minimum of $10k monthly revenue before you can apply.
With Jeeves, you’ll never have to preload funds and there is no security collateral. When you’re approved, you’ll have instant access to Jeeves’ expense management platform (available via desktop and app) where you can see and start using your credit instantly. This means you’re in complete control to change employee credit limits at any time, without preloading funds or tapping into your bank account.
You can keep all your money in your bank account and pay us at the end of your 30-day statement period to keep your cash flowing and your accounting more streamlined and accurate.
Jeeves can also grow with you. If your cash balance or revenue increases over time, we can grow your line of credit. And, once you become a trusted Jeeves customer, it’s even easier to apply to other Jeeves products like Jeeves Capital and Jeeves Pay (coming soon).
Ready to apply to Jeeves? Sign up today. It takes just 5 minutes.
Property developers usually depend on short-term, expensive bridging loans to maintain their renovation or construction expenses.
Instead with Jeeves, property developers don’t have to apply to their brokers for additional cash when their liquidity runs short.
One of our international property developer clients uses Jeeves to increase their cash flow for this very reason. The extra cash from Jeeves enables the property developer to purchase materials and labour in case of cost or time overruns.
They first segment their spending by issuing virtual and physical cards to each individual worker renovating apartments. They can easily increase or decrease spending limits on each card based on specific needs, such as adding $30k to purchase apartment furnishings and fixtures.
When our client either sells a property or gets their next tranche of money from their bridging-loan lenders, they pay off their Jeeves’ bill and their credit limit resets for when they need it next.
As founders who have developed a business credit card for other business owners, we know the main loopholes to watch out for in any financing agreement. Here are the main questions to ask when evaluating a business credit card for cash flow.
Is the bank or credit card company going to perform a personal credit check? If so, will this mean they’ll ask for personal guarantees?
A personal guarantee means you'll be personally liable for any outstanding debt. So, if you’re unsure you can pay off your credit loan by each statement period, then you should hold off signing any agreements that put your personal assets at risk.
There are plenty of other options out there that will underwrite your business based on your business's financials, without the risk of you losing your home, your car or other personal property.
Is there a yearly fee, additional card fees or transaction fees that you’ll have to pay? Or will high foreign exchange fees impact your bottom line if you trade internationally?
These fees can add up and further diminish your cash flow. If you’re making large overseas purchases, the usual 3 to 4% of FX fees can weigh heavily on your liquidity. The same goes if you need to buy large machinery or stock up on seasonal inventory. You may be able to pay off the credit card debt as is, but can you also cover the additional costs?
Look for a cash flow credit card with minimal fees, such as a no-annual-fee alternative to American Express or corporate credit cards with no foreign transaction fees like Jeeves.
What type of cashback can you get on your spending to offset the fees?
Even a low percentage of direct cash back on all your purchases may help you save enough money to pay one bill or offset costs.
Make sure you look for credit cards with cash-back rewards that match your main spending type. For example, some cards will offer generous travel reward points or air miles, which may be a good fit if you and your staff travel frequently.
If the card provider will allow you to convert points for cash, do they add a fee for the conversion?
Lastly, ask yourself if this is the optimal cashback your business can receive. There are many business credit cards offering cash back. Make sure you benchmark the best ones against each other and against each company’s additional fees (make sure you check the terms and conditions for hidden fees).
Always weigh the extra fees against what you’ll be receiving with cashback to see if the rewards are worth it.
Do you get any kind of expense management or additional functionality from a cash flow credit card that can help you simplify your spending and optimise your expenses?
For example, once you start spending, what will the card issuer provide to help you monitor your expenses? Are there any limits you can set on your employee business credit cards to reduce your cash burn?
Some credit cards designed for cash flow are only credit cards without any fringe benefits, such as expense management tools.
How will the credit card provider underwrite you?
Will they give you a credit limit based on your:
You have to make sure you have enough of what they will be underwriting before you apply.
Also, keep in mind that it’s better to have one card with a bigger credit limit than four cards with small limits. Managing multiple systems and multiple billing cycles will create poor expense overview and management that can further reduce your cash flow.
Do you know if your credit statement period will be 15, 30, 60 or 90 days?
If you're getting 60 or 90 days, be aware that you might also pay a higher interest fee. Shorter statements will usually offer lower interest rates.
Analyse your cash ebbs and flows against the length of time you’re trying to bridge to decide how long your statement period needs to be. Most companies will be fine with a 30-day statement, but some companies may need a longer one.
If you do need a longer credit window, look for a form of business financing with an interest rate that’s lower than a credit card’s, which is one of the most expensive that you can potentially pay.
Alternative financing options like working capital loans and growth capital can provide you with longer repayment windows with more affordable repayment schemes. For example, Jeeves Capital can provide you with short-term business loans of 30, 60 or 90 days of working capital or a 12-month revenue-based financing loan, both with competitive rates and no warrants, covenants, or personal guarantees required.
With a Jeeves cash flow credit card for businesses, you’ll no longer have to worry about keeping a minimum balance in your bank account for purchases, payroll, new equipment or emergency expenses.
Instead, you can optimise your spending and add to your bottom line with fee-free cash-back business cards.
Get started today. Sign up to Jeeves below and you could start using business credit cards for cash flow in as little as 24 hours.