Using Credit Cards To Finance Your Business

Using Credit Cards To Finance Your
Business
September 2018
Article Courtesy of:
Dawkins Brown
Crowe Jamaica
47-49 Trinidad Terrace
Kingston 5
Jamaica
Tel 876 926 5210
Fax 876 929 1300

Using Credit Cards To Finance
Your Business
Using Credit Cards to Finance Your Business
It can be quite difficult to find financing when you are trying to start a business. Traditional
channels such as banks and other financial institutions are normally not too eager to finance
a new business, even if you have developed a sound business plan and are highly skilled in
your market. Starting a business, especially an online business based from your home, can be
difficult, and you will need a way to obtain financing. You may be considering using your
credit cards to finance your business.
While it is always better to avoid risking your own money when starting a new business, there
are many people who have successfully financed a business with credit cards. If you have a
sound business plan the ability to manage your finances wisely, you may be able to use your
credit card to finance a business without risking your credit score and your financial future.
Just as with all debts, it is important to pay as much of your balance as possible each month
and never make late payments.
There are advantages to using you credit card in financing a business. It is quick and easy and
you will never have to wait for approval or funds when you are ready to make a purchase.
© 2018 Crowe Jamaica www.crowe.com/jm

Using Credit Cards To Finance
Your Business
Another advantage is that you can make purchases instantly, without having to write a check
or supply vendors with check payment forms, as is often a requirement for a new business. It
would make the most sense to use only one of your credit cards for business purposes. You
will be able to track purchases easily and consolidate your monthly statement easily.
You should know your billing date. You will be able to make larger purchases just prior to
your billing date and prevent interest from accumulating for several weeks until you make
your payment. Always try to pay off the majority of, if not all of your debt each month. You
will save a lot of money in interest charges by paying as much as you can possibly afford
each month.
Using your credit card will also protect you from losses if you receive damaged goods or fail
to receive merchandise you have paid for. Depending on the type of credit card you choose
to use for your business, you can earn bonuses, frequent flyer miles, and cash back. You will
need to monitor your spending carefully. Make certain you use the credit card with the lowest
rate of interest and you may be able to contact the credit card company and ask about any
possible rate reductions you can get.
Financing your new business with a credit card is not the ideal situation, but for those who
are having difficulty obtaining a traditional loan or alternate type of financing, this could be
a viable option. You do not want to risk losing your profits by accumulating overwhelming
amounts of debt on your credit card. Keep a close watch on your spending and pay most if
not all your debt each month. With caution and a smart business plan you can finance your
new business with a credit card and instantly find the funding you need. Depending on your
credit situation and debt level, you may be able to apply for a credit card in your company
name, separate from your personal finances.
Accumulating credit card debt is never the best option, but with wise decisions and smart
purchases you can finance your business and avoid the frustration of trying to obtain outside
funding. Starting a new business is an exciting time. Make smart financial decisions and your
business can be profitable in a short time.
© 2018 Crowe Jamaica www.crowe.com/jm

Using Credit Cards To Finance
Your Business
© 2018 Crowe Jamaica www.crowe.com/jm

Using Credit Cards To Finance
Your Business
About us
Crowe Global
Ranked the eighth largest accounting network in the world, Crowe Global has over 180
independent accounting and advisory firms in more than 130 countries.
For almost 100 years, Crowe has been making smart decisions for multinational clients
working across borders. Our leaders work with governments, regulatory bodies and industry
groups to shape the future of the profession worldwide. Their exceptional knowledge of
business, local laws and customs provide lasting value to clients undertaking international
projects. Crowe provides global reach on a personal scale. Firms are focused on the future
and the client experience, working with clients to build something valuable, substantial, and
enduring. Close working relationships are at the heart of our effective service delivery.
At Crowe, our professionals share one commitment, to deliver excellence.
Crowe Jamaica
Crowe Jamaica is a professional service firm offering a full range of Audit, Accounting,
Advisory and Taxation Services. We are a firm of chartered accountants whose concept of
service is to solve problems, exploit opportunities and turn advice into action. Our style is
personal and our outlook progressive. We continually strive to create value for our clients.
Established in 2002, we have become one of Jamaica’s leading accountancy practices and
lead the field in the provision of advice to private clients and business owners.
© 2018 Crowe Jamaica www.crowe.com/jm

Using Credit Cards To Finance
Your Business
Crowe Jamaica is one of the largest public accounting, consulting, and advisory firms in
Jamaica. Crowe Jamaica uses its deep industry expertise to provide audit services to public
and private entities while also helping clients reach their goals with tax, advisory, risk and
performance services.
Crowe Jamaica serves clients worldwide as an independent member of Crowe Global. The
network consists of more than 180 independent accounting and advisory services firms in
more than 130 countries around the world. Our network of Jamaica offices (Kingston,
Runaway Bay, Montego Bay and Mandeville) ensures that we can provide a local service
backed by the expertise of a major national practice.
Our firm provides outstanding service to our clients because of our dedication to the three
underlying principles of Professionalism, Responsiveness and Quality.
Crowe Jamaica is particularly known for our one – stop – shop concept that was, according
to our client’s experience, of invaluable significance to those companies that are
establishing their business operations in Jamaica. To respond to clients growing demands,
we developed deep industry specialization together with innovative technology, which
enables our dedicated professionals to create value for our clients with integrity and
objectivity. Furthermore, membership in Crowe Global provides us the worldwide
capabilities of a highly integrated network to deliver value to multinational clients doing
business across borders.
Our professionals are experts who all share a commitment to delivering technical excellence
and the highest standards of client service. Relying on both international expertise and the
local office strength, Crowe Jamaica approaches its clients in a comprehensive and
responsible way.
For information regarding our services contact us: info@crowehorwath.com.jm
© 2018 Crowe Jamaica www.crowe.com/jm