A fast financial safety net during economic downturns – a business credit card
No business is immune to the profound effects of a recession – this includes law firms, which use significant financial resources to maintain daily operations. But safety nets can be instituted to help alleviate the pressure when cash flow resources are low. Although it may seem obvious, one such precaution is a business credit card. They can help ensure that your firm continues to function seamlessly by providing access to essential resources and helping to maintain financial stability.
Like any other major business decision, do your research to find the one that will match your firm’s needs most effectively. Understand the benefits, take advantage of the best APR, and choose the right provider – three things to remember as you apply for a business credit card.
First, look for a card that offers lucrative promotions and high cash-back spending rewards. Perform your due diligence to find which ones have introductory offers that can best fit your business spending habits. These include cash back on common business expenses that you already have. That way, you can pay for necessities using the card and apply the cash-back rewards to statement credit or transfer them to your business bank account for other purchases.
ABA members can access one business card through their membership: the ABA WORLD ELITE Mastercard ® from BHG Financial – offering up to 3% back on select purchases (see footnotes 1,2) and enticing introductory offers.
Next, you’ll want to find a card with a 0% introductory APR offer. When a credit card offers 0% APR, it means you can finance large purchases but spread the cost over an extended time without incurring interest. Typically, this benefit is offered for a set period of time – for example, 6 to 12 months.
Often this offer is for balance transfers, providing a great opportunity to save money on interest charges. If you’re currently carrying a lot of debt on a high-interest credit card, it’s smart to move that balance over and bypass the interest being charged to you. As a perfect example, the ABA MORE Business Mastercard® offers an intro APR for 12 months on balance transfers.
Another added plus is if your business is expecting to receive a large payment or influx of capital in the near future, you could use a credit card with 0% APR to cover expenses until the payment arrives. This allows you to maintain your cash flow without incurring interest charges while keeping financial stability.
The final element to consider in a credit card comes down to trust. Do you trust the company where you’ll be getting your credit card? Find out how long they have been in business. Is there anyone you know that has used them? BHG Financial has been a trusted lender to licensed professionals for over 20 years.
Credit cards are a valid safety net for helping with fast financing during volatile times in the economy – as long as you’ve done your research. If you’d like to take advantage of the premium benefits and features of an ABA WORLD ELITE Mastercard ® explore your options today and find the perfect card for you.
1 Whether your transactions with a business will qualify for rewards under the stated Purchase Categories depends on the merchant code assigned to that business. We do not control the assignment of merchant codes.
2 Rewards are earned as points that can be redeemed for cash back in the form of a statement credit. For details on the Rewards Program, please see the Rewards Program Agreement. Rewards options are subject to change without notice.
The BHG Mastercard® is issued by Blue Ridge Bank, N.A. pursuant to a license by Mastercard International. Mastercard and the Mastercard Brand Mark are registered trademarks of Mastercard International Incorporated.
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