Category: Corporate Cards

Prepaid business credit cards can be a great option for Canadian companies looking for a convenient and flexible way to manage their finances. These cards work similarly to regular credit cards, but instead of borrowing money from a bank, you load funds onto the card in advance. This can be a useful tool for businesses that want to control their spending and avoid going into debt.

Let’s dive into the nitty-gritty details of how prepaid corporate cards work, what to look for when choosing one. Finally, let’s review at the end and the best options that exist on the market today.

Why Consider a Prepaid Business Credit Card?

For many entrepreneurs, managing cash flow can be a real headache. That’s where prepaid business credit cards come in handy. They offer a way to keep tabs on expenses without the risk of racking up debt.

But how do they differ from other types of credit cards? And are they the best fit for your business needs?

The Ins and Outs of Prepaid Business Credit Cards

Think of a prepaid business credit card as a pay-as-you-go mobile plan for your company’s finances. You load it up with cash, and then use it just like a regular credit card. Simple, right?

Here’s the kicker: you can’t carry a balance or build credit history with these cards. They’re more about budgeting and expense tracking than borrowing money.

Pros and Cons: What’s the Deal?

Pros:

• No credit check required
• Great for budgeting
• Lower fees than some other options
• Helps avoid debt

Cons:

• Doesn’t help build credit score
• May have loading fees
• Limited features compared to traditional credit cards

Remember, not all prepaid corporate cards are constructed equally. Solutions like Float operate like a prepaid card, but still offer benefits like a traditional corporate credit card.

For example, Float offers:

• 1% cashback on all categories of spend
• Doesn’t charge hidden fees
• Your prepaid balance on the card earns you 4% interest in addition to cashback (with no minimums or lock-ins)
• Finally, Float cards also come with a completely free and easy-to-use software that helps you track receipts and expenses

You can see all the features of Float’s corporate cards here

How Do They Compare to Other Financial Tools?

Secured Credit Cards:

These cards require a security deposit and can help build or rebuild credit. Unlike prepaid cards, secured credit cards report to credit bureaus, which can boost your credit score over time.

Debit Cards:

Linked directly to your bank account, debit cards offer similar spending control to prepaid cards. However, they might not provide the same level of purchase protection or perks.

Traditional Credit Cards:

These offer more flexibility and rewards but come with the temptation to carry a balance. They also typically have higher interest rates and stricter income requirements.

Lines of Credit:

More flexible than credit cards, lines of credit can be a good option for businesses needing ongoing access to funds. However, they often come with higher interest rates and more stringent application processes.

The Importance of Expense Management Software

In today’s fast-paced business world, tracking expenses is critical. It’s important to track your spending, make smart choices, follow rules, and find ways to grow your money. That’s where good expense management software comes in.

When paired with your prepaid business credit card, the right software can be a game-changer. Find solutions that work well with your card, sorting expenses and creating reports with just one click. This combo can save you hours of manual data entry and reduce the risk of errors.

But it’s not just about time-saving. Good expense management software can help you understand your spending habits, stick to budgets and identify any unusual transactions. Some solutions let you set spending limits for team members or departments. This gives you greater control over your finances.

Remember, the goal is to work smarter, not harder. Using technology for expenses allows you to focus on growing your business. This frees up time and mental energy. Growing your business is the most important thing.

In some solutions, like Float, your get access to a free software to track your business expenses and sync your data with the accounting system like Quickbooks Online or Xero. Float issues prepaid Mastercard and Visa cards making is a no-brainer option for most Canadian businesses.

Making the Right Choice for Your Business

Choosing the right financial tool depends on your business’s unique situation. Ask yourself:

• Do you need to build credit?
• Are you comfortable with the possibility of debt?
• How important is the software integration and time to close your books at the month end?
• How important are rewards and perks?
• What’s your current credit score?

If you’re just starting out or want to keep a tight lid on spending, a prepaid business credit card could be your best bet. But if you’re looking to establish credit or earn rewards, you might want to explore other options.

Tips for Making the Most of Your Prepaid Business Credit Card

1. Shop around for the best deals
2. Read the fine print on fees
3. Set up automatic reloads to avoid running out of funds
4. Keep track of your spending to identify cost-saving opportunities
5. Consider upgrading to an unsecured card once your business is more established

FAQ

Q: Can I build credit with a prepaid business credit card?

A: No, prepaid cards don’t report to credit bureaus. For credit building, consider a secured credit card instead.

Q: Are there any income requirements for prepaid business credit cards?

A: Generally, no. That’s one of the perks of prepaid cards – they’re accessible to businesses of all sizes and stages.

Q: How do I pay my bill with a prepaid business credit card?

A: There’s no bill to pay! You load money onto the card before spending, so you’re always using your own funds.

Q: Are prepaid business credit cards guaranteed?

A: While not technically “guaranteed,” prepaid cards are usually easier to get than traditional credit cards since there’s no credit check involved.

Q: Can I upgrade from a prepaid to an unsecured business credit card?

A: It depends on the card issuer. Some may offer upgrade paths, but you’ll likely need to apply for a new card and meet their credit requirements.

Remember, when it comes to managing your business finances, there’s no one-size-fits-all solution. Take the time to assess your needs, compare your options, and choose the financial tools that will help your business thrive. Whether that’s a prepaid business credit card or another option, the right choice is out there waiting for you.

The Bottom Line

Prepaid business credit cards in Canada help businesses control expenses without worrying about debt. They’re not for everyone, but for the right company, they can be a game-changer. If you’re a new business trying to save money or a company monitoring employee expenses as part of a larger corporate card program, consider using prepaid cards.

Remember, the best financial tool is the one that fits your business like a glove. So, take your time, do your homework, and choose the card that’ll help your business thrive.

If you are interested in getting your hands on a prepaid corporate card, you should definitely checkout Float’s solution. Float doesn’t suffer from the traditional prepaid card shortcomings:

• Float offers 1% cashback on all categories of spend
• Float doesn’t charge hidden fees
• Float’s cards have excellent acceptance rates in the US and Canada – just like a normal credit card
• Float also offers high-interest on all prepaid card balances (up to 4% with no minimums or lock-ins)
• Finally, Float cards also come with a completely free and easy-to-use software that helps you track receipts and expenses

Interested to try our Float for free? Follow this link (floatfinancial.com) to sign up in less than 5-minutes completely online.

In today’s competitive business landscape, finding ways to cut costs without sacrificing quality is crucial. One often overlooked tool for business savings is a corporate card solution. Let’s explore five easy ways your company can leverage this financial tool to boost your bottom line.

1. Streamline Expense Management for Significant Business Savings

Traditional expense management can be a drain on resources. A corporate card solution automates this process, leading to substantial business savings:

• Reduce time spent on manual expense reports
• Minimize errors in expense tracking
• Lower administrative costs associated with reimbursements

By streamlining expense management, businesses can save up to 55% on processing costs per expense report, according to a study by PayStream Advisors.

2. Capitalize on Cashback and Rewards Programs

Many corporate card solutions offer cashback or rewards programs, providing an easy way to generate business savings:

• Earn cashback on everyday business expenses
• Accumulate travel points for business trips
• Redeem rewards for office supplies or equipment

For example, if your business spends $10,000 monthly on a card offering 1.5% cashback, you could save $1,800 annually – a significant boost to your business savings.

3. Leverage Spending Controls for Better Budgeting

Corporate cards allow you to set spending limits and restrictions, helping to enforce your budget and increase business savings:

• Set monthly spending caps for different departments
• Restrict purchases to specific merchant categories
• Prevent unauthorized expenses

These controls can lead to a 10-15% reduction in overall company spend, according to a report by the Aberdeen Group.

4. Gain Visibility for Strategic Business Savings

Corporate card solutions provide real-time spending data, allowing for more informed financial decisions:

• Identify areas of overspending quickly
• Negotiate better rates with frequently used vendors
• Adjust budgets based on actual spending patterns

This increased visibility can help businesses save up to 23% on travel and entertainment expenses alone, as reported by American Express.

5. Eliminate Foreign Transaction Fees for International Business Savings

For companies doing business globally, a corporate card solution can offer significant savings on international transactions:

• Avoid foreign transaction fees, which can be up to 3% per transaction
• Get better exchange rates compared to local currency conversions
• Simplify reconciliation of international expenses

These savings can add up quickly for businesses with frequent international transactions, contributing to overall business savings.

Maximizing Your Business Savings with the Right Corporate Card Solution

To fully realize these business savings, consider the following when choosing a corporate card solution:

1. Look for High Rewards Rates: Choose a card that offers competitive cashback or points on your most common expenses.
2. Evaluate Fee Structures: Opt for cards with low or no annual fees to maximize your business savings.
3. Consider Integration Capabilities: Select a solution that integrates with your existing accounting software for seamless expense management.
4. Assess Spending Control Features: Ensure the card offers robust controls to help enforce your expense policies.
5. Check International Benefits: If you do business abroad, prioritize cards with favorable international transaction terms.

Here are five ways Float can help your business save money

1️⃣ No surprise fees 

When you spend with Float, you won’t have any surprises – there are no foreign transaction fees, and no hidden monthly fees. Additionally, you can issue unlimited virtual cards as needed… without additional charges. What does this mean? The only charges you’ll see each month are the expenses incurred by your business – no additional fees, and no surprises.

2️⃣ 1% Cashback & 4% Interest on Deposits

It’s true! For each purchase you make with your Float physical and virtual corporate cards, you’ll get one percent cash back. Depending on your team’s monthly spend, this adds up to significant savings. Some Float customers regularly receive tens of thousands of dollars in cash back – with no strings attached – deposited into your Float account monthly. 

3️⃣ Spend controls that are easy to implement

While Float allows you to issue unlimited physical and virtual corporate cards, you’re able to limit the spend on each individual card – providing you a level of proactive control over your organization’s spend that traditional corporate cards don’t offer.

4️⃣ Track real-time spend by vendor 

Tracking vendor spending is a tedious process of waiting for invoices, processing payments, and logging the transactions. It’s asynchronous, and doesn’t offer a real-time view into what your suppliers are spending. 

Since you control the spend limit on each card, you can set up your vendors with a virtual corporate card with a spend limit in line with their typical monthly spend. This also allows you to track their spending, and increase or decrease their spend limits in real time as needed. This not only ensures that vendor payments are happening on time and on budget – meaning you won’t be overcharged – saving you time and money.

5️⃣ Set approval structures

Still need peace of mind? Float customers are able to set up multiple expense approval processes to ensure that even if a vendor or employee needs a credit top-up, spend is still monitored, and can be approved on the fly… even via Slack.

💰 Bonus! Earn up to $150k in special offers from Float partners

Becoming a Float customer is simple. Applications take just five minutes online, and you can be approved in a few days. Compared to a traditional approval timeline of four to six weeks for traditional credit cards, it’s not just a financial savings – it’s a time savings. Plus, Float’s perks program provides some pretty sweet bonuses… adding up to $150k in additional savings for your company. 

Here are just a few:

• Intercom offers a FREE first year, a 50% discount in your second year, and an ongoing 20% discount as long – a value of $61k USD
• Amazon Web Services provides $25k USD in AWS Activate Credits along with a year of AWS Business Support – a value of $5k USD
• Hubspot is offering 30% off a subscription for the first year, and 15% each subsequent year – a savings of up to $35k USD

With this many opportunities to save, what’s stopping you from booking a demo?

Conclusion: Boost Your Business Savings with Smart Corporate Card Use

Implementing a corporate card solution can be a game-changer for your business savings strategy. By streamlining processes, capitalizing on rewards, enforcing budgets, gaining spending insights, and reducing international fees, you can significantly cut costs and improve your financial health.

Remember, the key to maximizing business savings with a corporate card is choosing the right solution for your specific needs and using it strategically. With the right approach, your corporate card can become a powerful tool in your arsenal for financial optimization and business growth.

Float is Canada’s only all-in-one corporate cards, reimbursements, and bill pay platform that helps customers:

• Earn cashback on all categories and save on FX
• Generate 4% interest on funds held with Float
• Eliminate expense reports and receipt chasing
• Close the books 5x faster at the month-end

Want to learn how companies like Clutch, Neo, Knix, and 1,000s of other Canadian businesses on average save 7% of their monthly spend with Float? Get started with Float today by clicking the button below!

Learn About Float

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Want to learn more before singing up? Book a demo today to learn more about the product from our team!

Overcharged and Overwhelmed? Not on our watch. Float has designed a feature that allows you to easily manage transactions from ALL your vendors. 

A common pain point we’ve seen across many startups and SMEs is the struggle to keep track of multiple vendor payments made across departments. Let’s say your marketing team is racking up their Google ad spend and software subscriptions, while your sales team is expensing Uber rides and client lunches. When you’re scaling rapidly, this can be incredibly difficult to keep track of and it’s next to impossible to know what you’re actually spending. Now, imagine all of this with just one corporate card?

At Float, we’ve not only made it easy to issue multiple corporate cards in 3 days or less, but you can now code these cards to your individual vendors.

What’s in it for you?

👀 Full visibility of spending and transactions on the Float dashboard 
🚨 Spot fraudulent transactions in real time
❌ Set limits on cards and cancel then instantly 
🔎 Keep a pulse on subscriptions and reduce overcharges
💆🏼‍♀️ Close your books at month-end without all the stress
💳 Quickly replace and renew cards based on your growing needs
💸 Spend quicker without any downtime on your company’s operations

Greater spend control. Less stress and headaches. 

If you’ve ever been double charged or charged incorrectly, then you know the headache that comes with getting it fixed. 🤯 You can avoid this altogether when you create a separate card for each of your vendors and set a hard spend limit. For example, if you know that your Zendesk subscription is $100/month, you can authorize a recurring withdrawal from Zendesk without giving them access to any additional funds from your account. The vendor will only be able to charge the preset amount that you agreed upon at sign-up and nothing more! 👍🏼 

If any vendor tries to charge more, your Float card will automatically decline the transaction and alert you of this attempt. From there, you can simply connect with the vendor and inquire about the additional charge. Float also makes it easier to cancel your card if you’ve terminated a subscription or contract with a particular vendor. No confusion. No long wait times. No extra charges. ☎️ 🙄

Spend management has never been easier 🤩

For the Finance Team 👩🏻‍💼

Float allows you to have a “set it and forget it” attitude. You don’t need to keep a close eye on unauthorized transactions that may be going through because you’ve already pre-approved vendor withdrawals and set limits on every card. With the long list your finance team likely has going – Float gives them one less thing to stress about. 

For Bookkeepers 👨🏻‍💻

Using this feature, bookkeepers will already have the GL account pre-coded at the card level. This cuts down on time spent during month-end close because they don’t have to waste hours categorizing hundreds of transactions at the very last minute. Since GL codes can be approved the moment a card is created, bookkeepers can have the peace of mind knowing there aren’t any errors to look out for when closing the books. The accuracy is there but the stress isn’t! 

At Float, we’re in the business of making spend and expense management a whole lot easier, quicker and more efficient for businesses. We know how stressful the process can be for finance teams, managers and even employees! That’s why we’ve designed each one of our features with you in mind. 

Book a demo with Float today! 

It’s no secret that difficulty accessing corporate funds is a common challenge for many startups in Canada. Whether you can’t seem to get enough funds for your growing team or are unable to get approved for credit, it’s not as daunting as it seems. We’ve lined up 3 Common Misconceptions About Corporate Cards for Startups in this article to set the record straight with the answers you need.

The Truth Behind Corporate Cards for Startups

Myth #1: All Corporate Cards Are Created Equal

Think again! Corporate cards come in all shapes and sizes, each with its own set of perks and drawbacks.

• Purchase rates vary widely
• Card limits can be generous or restrictive
• Annual fees? Some have ’em, some don’t

Here’s the truth: while traditional banks might take weeks to approve your application (and slap you with high fees), modern fintech solutions are changing the game. Take Float, for example. They offer:

• Quick 3-day approval process
• No purchase rate or annual fee
• 1% cashback on all purchases
• Automated spend management software

So, next time someone tells you all corporate cards are the same, you’ll know better!

Myth #2: Startups Can’t Get Corporate Cards

Rubbish! While it’s true that traditional banks often give startups the cold shoulder, times are changing.

Many startups struggle with:

• Lack of credit history
• Limited collateral
• Perceived high risk

But here’s the good news: prepaid corporate cards are swooping in to save the day. These cards:

• Don’t require personal guarantees
• Have simpler application processes
• Allow you to issue multiple cards quickly

Pro tip: Look for providers that only require an active business bank account. You’ll be surprised how quickly you can get your team spending responsibly!

Myth #3: Personal Credit Cards Make Good Alternatives for Early Stage Startups

Hold your horses! Using personal cards for business is a recipe for disaster.

Why it’s a bad idea:

• Blurs the line between personal and business expenses
• Increases fraud risk
• Complicates expense management
• Doesn’t build business credit

Instead, consider a dedicated business card. It’ll keep your accountant happy and your finances crystal clear.

FAQs About Corporate Cards

Q: Can startups really get corporate cards? A: Absolutely! While traditional banks might be hesitant, many fintech companies offer corporate cards tailored for startups.

Q: Are prepaid corporate cards the same as credit cards? A: Not quite. Prepaid cards use your own funds, while credit cards involve borrowing. Both have their place in business finance.

Q: Do corporate cards help build business credit? A: Some do, some don’t. Traditional corporate credit cards often report to credit bureaus, while prepaid cards typically don’t. Check with your provider to be sure.

Q: How quickly can I get a corporate card? A: It varies. Traditional banks might take weeks, but modern providers like Float can get you set up in just a few days.

The Bottom Line: Corporate Cards for Startups Demystified

Corporate cards aren’t one-size-fits-all. There are indeed tailored built products for Canadian Startups, like Float. Thousands of Canadian Startups like Knix, Neo, and Clutch have replaced their old cards with Float’s solution. See our customer stories and hear what our customers have to say about Float for yourself!

Ready to get a corporate card that let you scale? Book a demo with Float today to learn how we can make this process easier for you as you grow and scale.

Well, they’re the same as the credit card you use every day. The only difference is that you can’t hold it in your hand. A virtual card comes with its own credit card number, an expiry date and even that three digit code on the back. They can easily be used online without exposing your primary credit card information to any wandering eyes. 👀 

As our world evolves to be more digital, the measures companies take to protect sensitive financial and personal information need to change too. With more of what we do living in the cloud, startups need to be extra vigilant about how they handle their financials. 

Now you might think virtual cards are digital – are they safe? Along with a new level of convenience and expediency for businesses, one of their biggest benefits is how secure they are. Here’s why.

The numbers always changing 🔢

Your average physical credit card is assigned a number that always remains active. Virtual cards on the other hand are always changing and generate unique credit card numbers based on a specific timeframe. This makes it a lot harder for them to get compromised. If your employees are constantly making purchases with a virtual company card and a website autosaves this information, it will only be valid for as long as the number is active. 👍🏼

Control the validity and usage 💳

Virtual cards enable finance teams and managers to set expiration dates based on their intended use and spending limits. For example, if a marketing team is headed to New York City for a conference over the weekend, their virtual cards can be validated for that specific timeframe with a hard spending limit that can’t be exceeded. This is a great way to stay on budget, control spending within a specific team and prevent any unauthorized purchases. It also eliminates risk as it relates to cards being compromised during business travel.

Say goodbye to long wait times from the bank 🐌

It’s no secret that hackers have become way more sophisticated in collecting credit information online. If this happens to an employee in your organization, not only do you have to contact your bank, cancel the card and wait 7 to 10 days for a new one, but it can put any other credit cards in your organization at risk. 😨 If there’s only one card floating in your company, then this could throw a wrench in your operations and require you to bring personal credit cards for the time being. No one wants that! Instead, virtual cards like ours at Float can be approved and delivered in a matter of days so you can get back to business in no time. 💳💨

Keep a closer eye on expense fraud 🕵🏻‍♂️

You’re also going to want to ensure transactions made internally are secure too. Virtual cards along with spend control software are the best line of defence against false or inflated expense claims by employees. Financial controllers are able to set category spend controls and instantly notify employees to submit receipts, while automatically matching the transaction with a receipt. This greater oversight allows finance teams to monitor all company transactions to keep tabs on where corporate funds are going and why. 💸

Float introduces a smarter, more secure way to spend

Our virtual cards and automation software were designed to save companies time and money, while providing an efficient, stress-free and more secure spending experience for teams. Easily issue virtual and physical cards to your team, set spending limits and gain better oversight on your company financials. At Float, we’re in the business of making things as fast and simple as possible. That’s why we took it a step further and made it possible to get your team approved for virtual cards in one day and delivered in three. 🙌

One of the biggest hurdles many Canadian startups face is a lack of capital. In fact, approximately 20% of them can fail because of this. With things moving so rapidly, it can be difficult for startups to manage accelerated growth, increased spending and simply knowing where all of their funds are going. 

The good news is that we have a solution and it’s a compact one. Corporate cards — virtual and physical — serve as a key tool that many startups can use to manage business and employee growth, easily make purchases and effectively monitor their spending. And, when integrated with smart, automated financial software, the benefits are on a completely different scale. Here are a few:

It increases operational efficiency so your team can actually get stuff done

For many startups, finding an optimal solution for financial and expense management can be a challenge. From long expense reports and employees forgetting to submit receipts to tracking purchases from multiple sources — the list is long and it goes on and on. However, it doesn’t have to be this way. Corporate cards linked to smart, automated spend software can simplify those daily accounting tasks by centralizing your expenses and financial data all in one place. 

This gives employees the freedom and flexibility to make critical purchasing decisions faster, without having to wait for management approval on purchases or spend requests as transactions and category spending can be authorized instantly. Corporate cards are also an express ticket to innovation, giving startups the capital to quickly act on their creative ideas and go to market with them. ✅

It increases financial accuracy and reduces human error

As we know, the traditional process of managing business expenses is manual, time-consuming and not exactly efficient, leaving more room for error and in some cases, financial loss. When employees pay for items themselves and submit expenses through screenshots and loose copies of receipts, it becomes difficult to track, monitor and validate real-time spending.

Luckily, when corporate cards and smart spend software come together, they’re a force that can’t be reckoned with. 💪 All transactions on these cards are recorded in real time and automatically matched to their respective receipts. Not to mention, this technology also prompts employees to submit receipts upon making a transaction so no one has to be chased down come month end. Having your books in order on a monthly and quarterly basis grants startups more strategic oversight to plan for the future and more opportunity for cost-savings. Your VP of Finance will thank you later.

It creates a culture of healthy spending

Promoting a healthy spend control culture is critical for startups – one where a team can focus on providing value, while also being mindful of how their daily spending decisions can impact the overall business. Having access to capital – especially for startups — is essential for their ongoing growth and stability. By providing every employee with a corporate card, startups can empower their teams to make valuable spending decisions, while instilling greater trust and encouragement to view corporate spending in a more collaborative, mindful and honest way. 

On the flip side, leaders are able to create spend controls for specific categories, departments and employees to both limit and monitor spending. It’s a great way to keep day-to-day business operations running smoothly, prevent expense fraud and keep a close eye on where funds are going and why.

At Float, we provide startup companies with a hassle-free solution to simplify and optimize the way your team spends, tracks and manages your money. Backed by automation software, our corporate cards are approved in one day and delivered to you within three. No archaic banks, no wait times and no complicated processes involved. (We weren’t kidding when we said hassle-free 😉).

If you’re ready to take action and get the Float cards you need to elevate your startup, connect with us today! 

Virtual credit cards represent an innovative evolution in the realm of financial technology, offering a digital alternative to traditional plastic cards while retaining all the functionality and benefits of their physical counterparts. These intangible financial instruments operate on the same fundamental principles as conventional credit cards, allowing users to make purchases and conduct transactions both online and in physical stores that accept card payments.

The key distinguishing feature of virtual credit cards lies in their lack of a tangible, physical form. Unlike traditional credit cards, which are typically manufactured from plastic and embossed with relevant information, virtual cards exist solely in the digital domain. This unique characteristic brings with it a multitude of advantages, chief among them being the immediacy of access.

Benefits of Virtual Cards

• When a customer issues a virtual credit card, they receive their card details instantaneously. This includes the card number, expiration date, and security code – all the essential information required to make purchases. This immediate availability stands in stark contrast to the process associated with physical cards, where approved applicants often face a waiting period of several days to weeks for their card to be produced, shipped, and delivered via postal services.
• The digital nature of virtual credit cards also introduces an unprecedented level of flexibility and control over one’s financial resources. Users have the capability to generate multiple virtual card numbers, each linked to their primary account but operating independently. This feature allows for the creation of numerous cards, each with its own predetermined spending limit. Such granular control empowers consumers to better manage their expenses by allocating specific amounts to different virtual cards for various purposes or categories of spending.
• Moreover, the ability to create multiple virtual cards significantly enhances security measures. By using different virtual card numbers for different merchants or types of transactions, users can effectively compartmentalize their spending. This strategy minimizes the risk associated with potential security breaches or unauthorized uses of card information. In the event that a virtual card number is compromised, the user can simply deactivate that particular number without affecting their primary account or other virtual cards.

This approach stands in stark contrast to the use of a single physical credit card, where every transaction potentially exposes the user’s entire credit limit to risk. With virtual cards, users can limit their exposure by assigning only the necessary funds to each virtual card, thereby safeguarding the majority of their credit limit from potential threats.

Drawbacks of Virtual Cards

• Virtual cards are intended to protect your identity and information online and are not designed to be used in person at stores. Depending on your use case, virtual cards may not act exactly the same as the physical credit cards you are used to.
• Getting your hands on Virtual cards in Canada can be difficult, most of the banks in Canada do not offer virtual cards.
• Finally, you cannot make ATM withdrawals using a virtual card. Most virtual cards cannot be used to withdraw cash from ATMs, limiting access to physical currency when needed.

Virtual Cards for Business

Virtual cards are very useful for businesses who need to let employees use company money. The business can an unlimited number of virtual cards to employees with limits and expiry dates to manage their spending. This not only makes it easier for employees to spend company money and not spend out of pocket, it also ensures that the company credit card info stays safe. Furthermore, during these times of working from home, virtual cards are 2 meter apart compliant!

So if you’re looking to upgrade your business spending practices, try the virtual cards and spend management software Float.

Working from Home 🏘️ – the new reality

The transition to the work-from-home environment hasn’t been easy for anyone. With teams becoming distributed overnight, many businesses didn’t have a chance to adjust their internal processes to the new reality. One such process is managing and sharing corporate cards.

What most companies do right now

Today, many of the companies share their cards online via slack or other messengers without thinking about the repercussions… Is this a familiar sight?

Why is this bad?

• This is not secure – recent reports show that an average credit card credentials are sold on the black market for as little as $8.50
• Once you share the credentials, you can’t un-share them
• If an employee leaves, what do you do? Cancelling the card sounds like a horrible idea.
• You probably don’t even know who made a purchase on your card!

Solution – password managers

Some companies have created a process around card credentials sharing with password managers like 1Password or LastPass. However, this approach doesn’t guarantee that your employees won’t overspend or keep the password credentials after they are done with the purchase! Do you often go over budget on credit card spend? This might be the reason why!

In addition, it’s still a pain to reconcile expenses when you don’t know who is making transactions on your cards and who has the receipts to them.

A better solution – Approval workflows with Virtual cards 💳

Have you heard about Virtual cards?

Virtual Cards are like Visa credit cards that you have in your wallet but they only exist online. The merchant doesn’t know this, they think it’s just a credit card. What’s the benefit, you might ask?

1. Every time you create a new virtual card, Visa generates unique new card number for it
2. You can create unlimited virtual cards and don’t have to wait for them to be shipped – you can spend instantly!
3. You can set independent limits on each virtual card
4. Virtual cards can be issued and cancelled in seconds – without having to deal with a bank

Moreover, when paired with a smart approval process, you can essentially eliminate personal reimbursements in your company. Instead of your employees paying out of pocket just to be reimbursed later – create a one time virtual cards with a limit and let them spend from that card. Employees will never overspend and you won’t have to deal with reimbursement paperwork!

Where to get virtual cards?

Hmm… this might be the million dollar question. This must be your lucky day though, because Float has them!

Float virtual cards come with:

• Robust access controls for each card
• Smart, fully digital approval workflows
• Accounting integrations to help you keep track of all your expenses
• Reporting to get real-time visibility into your expenses

With Float you can eliminate out of pocket expenses in your company, saving time and money.