Neat Team February 28, 2022 12:00 am

Introducing Neat Company Cards

Small business owners often need to keep tight control over their operating costs in order to maximise their cash flow. When the company is small, it’s relatively easy to keep track of spending. But as your business continues to grow, you could find it challenging to track where and how much your business spent.

Neat has recently launched our new company card feature, which helps you eliminate the pain to manually categorise your business expenses. In this article, you will learn more about

  • What a company card is
  • How company cards benefit you
  • Examples of how you can use company cards in conjunction with our employee cards

What are company corporate cards and how does it benefit you?

Let’s take a step back and define what corporate cards are first. A corporate card is a payment that companies issue to use for business expenses. Employees use corporate cards to make business purchases without using their personal finances and cut out the reimbursement wait. You can find the benefits and drawbacks of getting corporate cards in our other post, What are corporate cards and how should you use them. Instead, we’ll take this opportunity to further distinguish corporate cards into company corporate cards (company cards) and employee corporate cards (employee cards). 

Company cards

Company cards are corporate cards that are issued for specific use cases, so the cards can be used across the company as long as the expense fits its purpose.

What does it mean by specific use cases? It refers to the expenditure nature defined by you. For example, you could create a ‘marketing & advertising’ card just for the marketing team to pay for all advertising campaigns on Google, Facebook, Linkedin, etc. If you have regular transactions for each marketing channel, you can consider creating a card dedicated to one merchant, such as getting a ‘Google’ card.  Office managers can set up one to pay for office supplies like stationery, toner cartridges, etc. You could also create another card for the finance team just to cover the payroll expenses. The bottom line is, set up as many cards as you think fit your needs.

More categories suggestions can be found in our other blogpost, Common Business Expenses Categories for You to Consider .

Giving a purpose to the company card saves you time in grouping the expenditures manually. You’ll be able to see how much your categorised expenditures are at a glance, providing better control and more visibility on your budgeting. If you pay all recurring subscription payments in one card, company cards also help avoid the nightmare of disrupted payments if your card got maxed out, compromised, or cut out. 

Employee cards

Employee can use employee cards to cover all business-related business that relates to their personal expenses. The main difference is that employee cards are issued per person instead of per expense nature. It could be used to cover employees’ personal expenses that involve the business, such as entertainment expenses like meals with clients and vendors, phone bill fees if they were required to use their personal phone for work use, and other similar expenses.

 

Should you get company cards or employee cards? Or both?

Ask yourself these questions:

  • Is your finance reporting getting more complicated and time-consuming to manage?
  • Do you see a lot of recurring expenses on your bank statement?
  • Do you have a solid team structure within your company?

If your answers to any of the above questions are yes, you should consider setting up company cards. Alternatively, if you are a sole trader, then employee cards could be a better option. 

Does it mean that you should either get company cards or employee cards? No.

Depending on your need and preference, you could use both. To give you a better idea, here’s an example of how we (Neat) use the cards:

We issue employee corporate cards to all our employees with a monthly limit to cover any entertainment business expenses such as meals with clients. We also set up designated company cards for various teams to cover purpose-led expenditures. For instance, we have a ‘digital ad’ company card just to cover the online advertising expenses and another ‘agency’ card to cover agency expenses. This saves us time to dig out our monthly marketing expenses for reporting purposes. Our admin also gets more visibility to control the card limits as the bigger expense share goes to the company card, avoiding the hassle to adjust the employee card limit every time a different member paid the bill.

 

In a nutshell…

We understand how frustrating finance reporting can be when your company continues to grow. Neat is built for entrepreneurs by an entrepreneur, with the aim to help users grow globally. Our new Neat company card feature makes it easier to manage and save on your business costs while at the same time saving your time on doing admin work. Below is the summary of the key features of Neat company and employee cards for your easier reference:

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Unsure if this fits your needs? Speak to one of our specialists today

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