Category: Industry Insights

Bank of Canada rate cuts are gaining momentum. But is your business ready to make the most of them?

Many follow the Bank of Canada’s decisions closely—individual consumers, business leaders and investors here and abroad—because those decisions affect so many aspects of day-to-day life, from the cost of groceries to mortgage payments to business forecasting. In fact, high interest rates and fees on financial products rank as the second-biggest financial challenge for SMBs in 2024, surpassed only by the burden of high operating costs.

Right now, many are crossing their fingers for a rate cut to bring some relief, freeing up cash flow and injecting a hint of optimism across the country.

But for small- and medium-sized businesses (SMBs) in particular, a Bank of Canada interest rate cut is only as valuable as the strategy in place to capitalize on its benefits. How will a rate cut change your borrowing decisions? What about earning on cash? Where will it boost spending, if at all?

This article explores what a Bank of Canada rate cut is, what it means for SMBs across the three main pillars of money management—borrowing, earning, and spending—and how to strategically leverage lower interest rates to thrive in this next phase of Canada’s economy.

What is a Bank of Canada rate cut?

A Bank of Canada rate cut is a decision by the country’s central bank to lower the overnight interest rate for lending in an effort to keep inflation low, stable and predictable, ideally around 2%. Major banks and other lenders use this as a benchmark rate to set their prime rates, so changes to the Bank of Canada overnight rate cascade through the financial sector rapidly following a rate decision.

Part of the larger monetary policy framework, rate cuts (versus rate hikes) are a response to economic slowdowns, aiming to stimulate growth by making it cheaper to borrow, which in turn encourages spending and investment.

Created in response to the Great Depression in 1934, the Bank of Canada is a crown corporation designed to help maintain Canada’s financial system across five main areas of responsibility: 

1. Monetary policy –  set inflation-control target and flexible exchange rate
2. Financial system – foster stable and efficient financial system, which includes banks, credits unions, markets and clearing/settlement systems
3. Currency – design, print and distribute money
4. Funds management – provide services to the Government of Canada
5. Retail payments supervision – oversee payment service providers, ensuring standards and minimizing risk

Why does the Bank of Canada decide to cut interest rates?

A lot of factors go into deciding if and by how much the Bank of Canada decides to cut interest rates, including economic indicators such as:

• inflation rates
• employment data
• GDP growth
• consumer spending
• business investment trends

Global economic conditions, currency exchange rates, and financial market stability also play a role in the decision, as well as household debt levels, the housing market and how effective the previous rate changes have been in influencing economic activity. It’s a tricky balancing act between fostering economic growth (good for everyone) without triggering a rise in inflation (very, very bad).

So what does a rate cut indicate about Canada’s economic outlook?

Ultimately, a rate cut is a sign of an economic weakness. It means the Bank of Canada, and by extension the government, believes the economy is suffering from extremely low growth and wants to encourage both consumers and businesses to start spending more.

5 years of rates hikes and rate cuts

Leading up to the pandemic, interest rates saw only minor fluctuations since inflation was relatively stable, especially from 2018 to 2020. But when Covid hit in early 2020, the Bank of Canada cut interest rates to 0.5% because the pandemic caused widespread economic disruption, leading to a sharp decline in consumer spending, business activity and overall economic growth. The drastic rate cut was aimed at stimulating the economy by making borrowing cheaper and encouraging investment and consumption. 

The result?

A temporary boost to economic activity and a period of increased liquidity in financial markets. But as the economy began to recover, inflation soared, reaching a multi-decade high of 8.1% in 2022. During this period, the cost of borrowing for businesses hovered around 10%.

Still, the Bank of Canada kept the interest rate hovering just above zero until March of 2022, when they announced their first in a series of back-to-back hikes—sometimes jumping as much as 1% at a time—which carried through to the end of the year and into the beginning of 2023.

The Bank of Canada held steady, at 5.25%, for over a year before inflation fell (and held) closer to the 2% target. June of 2024 saw the first of four rate cuts this year, with December expected to add a fifth cut.

Source: Statistica

Bank of Canada interest rate schedule (2024 & 2025)

The Bank of Canada makes an overnight rate announcement eight times per year, or every six weeks.

The table below shows the scheduled dates for rate announcements in 2024 and 2025.

How does a Bank of Canada rate cut impact Canadian SMBs?

When considering the impact of interest rate cuts on Canadian SMBs, we can focus on three key areas of money management: borrowing, saving, and spending.

Impact on borrowing

Many SMBs have variable interest rates, which means the cost of borrowing money can fluctuate greatly with these Bank of Canada announcements. When a rate cut occurs, the cost of servicing your business’s debt decreases, reducing your debt-related expenses and freeing up capital for other priorities. Lower borrowing costs can make it more appealing to take on new loans for growth initiatives, such as expanding operations, upgrading equipment or hiring additional staff.

Impact on earnings from cash

The flipside of lower borrowing costs is that interest-earning rates also decline, which makes saving cash a relatively less attractive option for businesses. As a result, businesses may opt to allocate funds toward investments or operational expenses rather than parking them in savings accounts that yield minimal returns.

Another consideration is the impact on long-term financial planning. With lower interest rates, you may need to reassess your strategy for building cash reserves, especially if you have relied on interest income as part of your financial cushion over the past few years.

Impact on spending

Rate cuts incentivize businesses to spend more, which means there is generally more money floating (excuse the pun) around in the economy and less being stockpiled for a rainy day/year/decade. For businesses that borrow, a rate cut can translate into greater access to credit and increased funds available for spending on growth initiatives, operational improvements, or day-to-day needs.

Despite the incentives to spend, many Canadian SMBs are still burdened by high expenses leftover from the pandemic-induced inflation. Rising costs for supplies, wages, and other overhead have eaten away at their margins, leaving some businesses hesitant to fully embrace increased spending. “We’ve been able to control the labor line at our stores to avoid uncontrollable bleeding, but really need to build the sales volume back up to get to a healthy margin,” writes one Ontario restaurant owner on an SMB thread on Reddit. “Labor and food cost has been a problem for us the last 18 months as well.”

But that’s not the only reason SMBs are hesitant to pull the spending trigger. There’s also a lack of trust in the government’s ability to manage economic volatility, which adds another layer of caution. Worries about the long-term stability of the economy and future financial imbalances and even unexpected policy reversals run high among business and finance leaders alike.

While rate cuts open up a range of opportunities for growth, SMBs should weigh their decisions carefully before making major changes to any of the above areas of money management.

But wait, there’s more: Increasing gap between loonie and USD

While Canada has implemented several interest rate cuts this year, the US has only made one, creating a growing disparity between the two countries’ interest rates. This gap directly weakens the value of the Canadian dollar (the loonie) against the US dollar.

But why does a weaker loonie matter?

As an export-heavy economy, Canada benefits in some ways from a weaker dollar. It makes Canadian products and services more affordable for Americans, potentially boosting exports. However, this advantage is offset by the looming threat of tariffs, which could make these goods more expensive for US buyers and reduce their appeal.

On the flip side, if your business relies on foreign inputs—whether that’s paying for tools, software, contractors or staff in USD—the weaker loonie can drive up costs significantly. Anything priced in US dollars becomes more expensive, putting additional strain on Canadian SMBs.

Cutting interest rates at three times the pace of the US also reflects a weaker Canadian economy by most objective measures. With a less competitive currency, the loonie becomes less attractive to global investors, further reducing demand and investment in Canada. While this does help exporters, it highlights the broader challenges Canadian SMBs face in navigating a fluctuating economy and an increasingly devalued currency.

7 tips for making the most of a Bank of Canada rate cut

A Bank of Canada rate cut can be a game-changer for SMBs. But making the most of it requires a clear strategy across borrowing, earning and spending—three key areas where thoughtful decisions can drive long-term growth and stability.

Borrowing

A rate cut is the perfect opportunity to revisit your borrowing strategy. Here’s how to make the most of it.

1. Refinance existing debt: If refinancing at a lower rate is an option for your business, take advantage of it. Whether a fixed or variable rate is better depends on your business goals and financial forecasts. Variable rates can be particularly appealing during a rate cut cycle, as they allow you to capitalize on ongoing reductions.

2. Leverage your finance team for borrowing strategies: If you have a Director or VP of Finance, this is their time to shine. They can provide strategic guidance on how to structure debt in a way that aligns with your business growth. Even if your finance team is small, ensure their expertise is focused on strategic tasks like optimizing borrowing decisions—not wasted on manual processes like expense management. A recent Float survey found that half of all Canadian SMBs spend up to 40 valuable hours per month on payments and reconciliation processes. Accounting automation with tools like Float can free up their time to make smarter, data-driven decisions.

Earning

Lower interest rates mean banks and lenders are likely to reduce the interest they pay on earnings. To make the most of your cash reserves, be proactive.

3. Shop for the best rates on cash reserves: Not all financial institutions are created equal. Even though rates will drop across the board, some started with higher baseline rates than others. Look for options with more competitive offerings. For instance, Float Yield is currently offering 5% interest if you sign up or pay your first bill by December 31, 2024.

4. Involve your controller for strategic earning research: Your controller can help evaluate earnings opportunities by comparing options and identifying accounts or tools that maximize your interest earnings. Like your finance team, their expertise is most valuable when focused on strategic contributions, not tedious administrative tasks (hint: a good time to calculate how much money you can save with software).

Spending

This is the big fish, where you can have the most impact on your business. But it does require a thoughtful approach.

5. Analyze your ROI before increasing spend: Now is the time to evaluate your spending decisions carefully. Create ROI frameworks to identify what’s working well in your business and double down on those areas. For example, where did you see the best returns over the last five wild years? Which products, services, or strategies accelerated your growth? Focus your spending on those proven areas.

6. Invest in high-return areas: Consider whether spending more on specialized talent, operational tools to improve efficiency, or R&D for new product development could generate a strong return. These areas can be game-changers if strategically timed with a rate cut.

7. Be cautious about debt in unproven areas: Avoid piling on debt for areas that don’t have a proven return. This isn’t the time for risky investments or overspending. Use ROI calculators or simple ROI math (gross profit divided by costs) to validate whether a spending decision is worth pursuing.

Even with a small finance team, a CFO or controller can bring a strategic lens to these decisions, helping you allocate resources effectively while steering clear of unnecessary risks. Investing during a rate cut can help your business grow, but only if you prioritize thoughtful, high-ROI opportunities.

The holiday season is a time for celebration, connection, and a bit of indulgence. But for finance teams, it can also mean juggling higher expenses and seamlessly managing every transaction. With Float, holiday spending is easier and more efficient—so you can focus on the festivities. Here’s how Float empowers teams to spend smarter this season:

Handle Last-Minute Holiday Party Expenses with Ease

Holiday parties are all about celebrating—but they often come with unexpected, last-minute expenses. Whether it’s arranging last-minute transportation, covering a surprise vendor fee, or buying additional supplies, Float Cards ensure these costs are managed effortlessly. With real-time spend tracking and instant approvals, your team can handle any unplanned holiday costs without breaking a sweat—keeping the focus on the festivities, not the finances.

Tip: Create virtual cards so your team can catch an Uber – Creating Virtual Float Cards
Tip: Add virtual cards to your mobile wallet to pay up to CAD$250 at vendors accepting contactless payment – Adding Float cards to Mobile Wallets

Top-Up for the Team Dinner in Seconds

Celebrating at a restaurant with the team? Holiday dinners can be memorable but may exceed preset spending limits. Float’s instant card top-ups ensure your team won’t face any interruptions at the table. Need a quick limit increase? It’s just a few clicks away, so your team can focus on sharing laughs and good food, not dealing with awkward payment delays.

Tip: Enable your managers and spenders to request top-ups for last-minute celebrations – Setting/Editing limits on Float cards

Streamlined Travel for Out-of-Town Parties

For employees traveling to attend holiday celebrations, Float’s Virtual Cards make booking flights and hotels simple. Set up a card in seconds and manage travel expenses with ease. With precise spending controls and real-time tracking, you’ll always know where the budget stands—even when your team is on the go.

Tip: Create virtual cards to book flights and hotels rooms – Creating Virtual Float Cards

Hassle-Free Reimbursements for Every Holiday Scenario

Not every employee has a Float card? No problem! Float’s Reimbursement tool makes it easy for employees to submit their holiday expenses and get paid back quickly. Whether it’s a festive outfit, client gifts, or a holiday lunch, reimbursing team members is as simple as uploading a receipt.

Tip: Set up direct payout to get reimbursed without delays – Configuring Direct Payouts for Reimbursements

A Holiday Win for Finance Teams

The benefits of Float go beyond the employee experience—Finance teams and admins love it too. With Float, finance professionals gain real-time visibility into every transaction, ensuring complete oversight during the busiest time of year. Automated spend policies eliminate manual approvals and reduce admin headaches, while integration with accounting software keeps everything organized.

This means fewer surprises during month-end reconciliation and more time to focus on strategic planning—or maybe even enjoying some holiday cheer themselves!

Why Float?

Float makes holiday spending stress-free with smart corporate cards, instant approvals, and automated controls. It’s a modern solution designed for finance teams and employees who want to celebrate without the usual headaches.

With the election results being finalized last week and a new US administration on the horizon, we wouldn’t be surprised if you and other small and medium-sized businesses (SMBs) are wondering what this change means for the Canadian economy. Looking back, the optimism Canadian SMBs have shown in recent years is impressive—87% of SMBs feel confident about their current performance, with half expecting year-over-year profit growth (Float’s Q3 2024 SMB Survey). However, as the US remains Canada’s largest trading partner, the rapidly changing international environment could test that confidence. You may need to navigate the impacts of new US policies, tariffs, and potential disruptions in cross-border trade. Experts are suggesting that Canadian SMBs proactively prepare for potential shifts ahead. Read on to find out what you can expect in the coming year.

Rising Costs and Financial Strain

One of the most immediate changes to watch for is a potential increase in tariffs on US imports. If your business relies on affordable access to US goods & services, this could add significant pressure to your bottom line. This accents an already existing challenge for Canadian small businesses who list high operating costs as the #1 challenge that they face today (Float’s Q3 2024 SMB Survey). Now could be the time to consider alternative ways to drive down your operating expenses by exploring new suppliers, finding efficiencies in processes, or planning in advance to help soften the impact of any upcoming policy changes.

Access to Capital and Credit in 2025

Another area to keep an eye on is borrowing conditions. Changes in US fiscal policy could lead to rising interest rates in Canada (sound familiar?), affecting your ability to secure affordable financing or impacting current credit that is dependent on variable rates. This may be especially challenging if your business is relatively new, as 70% of new SMBs report difficulty accessing capital, with over half struggling with insufficient cash flow (Float’s Q3 2024 SMB Survey). Tighter credit conditions could make it tougher to fund your growth, expansion, or other critical areas of your business in the coming year. 

Revenue Stability and Growth: Preparing for Potential Trade Disruptions

If your business relies on exports, you could face some added uncertainty in the coming years  as the incoming administration looks to revisit historic trade agreements in North America (Canada, US, Mexico). For SMBs that depend on cross-border sales, any revisions to trade terms could end up impacting your revenue streams. In our latest survey, we learned that many SMBs remain optimistic about the future, with over 60% feeling positive about growth and 50% expecting profit gains in 2024 (Float’s Q3 2024 SMB Survey). The recent changes don’t have to dampen this. To fuel this optimism, it’s essential to stay informed about trade policy changes and think about ways to diversify your sales or business. This could mean starting to explore new product lines or experimenting with different local target markets before there is increased pressure to do so.

Inflation and Cash Flow Visibility: Keeping Operations Steady

Trade policy shifts can also lead to currency fluctuations, which may weaken the Canadian dollar and, in turn, increase the cost of US goods and services for Canadians. If your business already faces challenges with inconsistent revenue and cash flow, inflation could add more complexity. Improving your cash flow visibility and predictability can be crucial here. Many SMBs report challenges with this—43% say disconnected financial tools hinder their cash flow visibility (Float’s Q3 2024 SMB Survey). Financial reporting and forecasting tools can be key to navigating rising costs while keeping your operations steady.

Financial Processes and Integration: Streamlining for Resilience

Efficient financial processes are always important, but they’re even more critical in times of economic change. If you’re one of the 55% of SMBs whose financial tools don’t integrate well, or if you find reporting cumbersome, streamlining these processes could help you respond faster to market dynamics (Float’s Q3 2024 SMB Survey). Strong financial practices can help you stay competitive as the economic environment shifts. As conditions change, a proactive approach to financial management can help you maintain growth and resilience. By optimizing your financial processes, exploring alternative funding sources, and diversifying your revenue, your business can stay adaptable and well-positioned for whatever 2025 may bring.

If you’re interested in learning more about how Canadian SMBs like yours are forging ahead through uncertainty, check out our SMB Survey results below.

The State of SMB Finance in Canada: Navigating Challenges, Unlocking Potential

Today we released new data that shows companies are struggling with managing corporate spend, particularly with the shift to a remote or hybrid workforce. The survey, conducted among business decision makers on the Angus Reid Forum, reveals the negative impacts of inefficient spend management on company security, workforce productivity and employee happiness — which are of increasing concern as businesses navigate the uncertain economic climate.

Key survey highlights include:

• 61 per cent of businesses who have most or all employees working remotely express that expense reporting is one of the most tedious jobs in their organization
• More than half (51%) at these companies agree that time spent reporting expenses negatively impacts their ability to accomplish work
• 49 per cent of businesses where most or all employees work remotely share company credit card across multiple employees, and among this group, 63 per cent share card details over Slack or email, more than three times the proportion of businesses with only some employees working remotely (18%)
• Seven-in-ten (71%) businesses report that their employees incur company expenses on personal credit cards, increasing to 80 per cent for businesses with remote employees

Shift to remote work has created new pain points for employees and HR leaders

The pandemic was an unexpected push to remote work that created operational challenges as businesses moved quickly to adapt. Even in a post-COVID world, the strain on employees and HR leaders lingers as companies settle permanently into hybrid and flexible working arrangements. Four-in-five (80%) businesses with remote employees have staff who incur company expenses on their personal credit cards, and 45 per cent report that employees are incurring more company expenses personally for reimbursement since shifting to remote work. With inflation and the cost of living rising, this is a significant financial burden for many Canadians. 

For HR leaders, maintaining existing benefits such as team building activities and socials, as well as managing new employee benefits brought on by remote work arrangements, has resulted in difficulties with expense tracking. Over half (54%) of businesses working primarily remotely report an increase in funds or stipends distributed to employees, and half (51%) of businesses who had most or all of their employees shift to remote work said that it has made receipt tracking more complicated. On both ends, more than half (53%) at these companies agree that expense reporting is a major pain point for employees, and 51 per cent agree that time spent reporting expenses negatively impacts their ability to accomplish work. As remote or hybrid work becomes the norm, these challenges will only become more prevalent unless businesses adapt new processes and technology to streamline spend management.

Concerns for corporate spend management in a tough economic climate

As recession fears grow in Canada, business leaders are increasingly focused on maximizing productivity and finding cost-saving opportunities. The survey found an operational bottleneck amongst many Canadian businesses to be their manual expense tracking, which directly impacts productivity. 82 per cent of businesses spend at least a day to close their books at month-end, and among businesses whose workforce shifted to remote work during the pandemic, two-in-five spend at least four days on the task. This is significant as almost three-in-four (74%) businesses agree that they could spend less time closing their books at month’s end.

The ripple effect of heavy manual expense tracking is that it leaves businesses unable to scale up without increasing overhead. Currently, the most time-consuming expense reporting tasks for companies that have shifted to remote work are: ensuring expenses are accurate (64%), fixing human errors (56%), tracking down employees for receipts (56%) and manually reconciling and entering data (55%). These are pain points that will become larger as a company grows, limiting Canadian businesses’ ability to shift as needed during a volatile economic period.

Additional findings include:

• Almost half (48%) of businesses with most or all employees shifting to remote work are seeing increased paperwork from expense reporting
• 30 per cent of businesses who have most or all of their employees working remotely use 6 or more different finance software and tools for accounting-related work 
• More than two-in-five (44%) businesses with primarily remote employees plan to purchase new software for finance and accounting-related work in the coming year

Methodology: These are the findings of a survey conducted by Float from May 26-30, 2022 among a nationally representative sample of 427 Canadian finance decision makers at companies with 15-300 employees. All respondents were members of the online Angus Reid Forum. For comparison purposes only, a probability sample of this size would yield a margin or error of +/- 4.7 percentage points, 19 times out of 20. The survey was offered in both English and French.

They say if you follow all the rules, you miss out on all the fun. But when it comes to your financial policies, you’ll want to ensure your team knows every single one! 

The road to better corporate spending is always smoother when there are robust financial policies in place. They instantly map out expectations from every employee and link their actions directly to the bottom line. For startups in particular where growth is fast and expenses pile on quick, this is even more essential. These policies act as a bridge between your finance team and employees and formally outline the “boundaries” of corporate spending in your organization. When everyone is aligned on this, you can expect greater compliance, lower risk of expense fraud and a healthier spend culture.

It keeps everyone aligned on spending goals 💰

By formally outlining financial policies, it’s an opportunity to get employees aligned and informed on the larger financial goals of the company. These policies communicate key financial expectations related to the distribution and use of corporate cards, spending responsibility as well as transaction limits across all departments. ✅ They also help to clearly define roles when it comes to spend and expense management. Having these policies in place are especially important during onboarding as you can set expectations early on and build a healthy spend culture from the moment they join. 👍🏼

It enables greater oversight and spend control 👀

As your team grows and more corporate cards are assigned, it becomes even more critical to have financial guidelines for spending – especially from a risk management standpoint. With more people having access to corporate funds, greater oversight and control is needed. 

At Float, we take this one step further by allowing managers not only to create policies but to distribute corporate cards with predefined limits. Not only does this allow you to protect your business but it also empowers employees to make smart spending decisions in a fast and reliable way – without long approval wait times.

It can save time and money with the help of automation 🙌🏾

Setting financial policies eliminates a lot of frustration and wasted time – especially during critical times like month-end. When you add automation into the mix, it’s even easier! Smart spend software like ours at Float can help to promote your financial policies and encourage compliance through a range of key features. 🤩 For example, our receipt collection feature not only allows companies to set a standard for how they wish to track and manage daily transactions but it also holds employees accountable to their spending. Once a transaction is made, employees are instantly prompted to submit a photo of their receipt. 🤳🏻 And if they don’t, finance managers can auto-lock the card after a certain number of receipts are left unsubmitted. 

At Float, we empower startups and SMEs to establish financial policies, simplify complex processes and gain more visibility into company-wide spending. We want to ensure that you’re equipped with everything you need to grow your team, spend smarter and keep a pulse on your finances at all times. Book a demo with us today and learn how Float can help you!

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.

Your finance team is focused on managing corporate spend, budgets and receipts on a daily basis. They are the fuel that keeps the company running smoothly and one of the most important departments in the fold. And, if you’re a new startup, it may just be that one special person who takes care of it all. 💸 🙋🏼‍♂️
If your finance team or accountant looks like they’re running on empty, here’s how you can show them some extra TLC this month. 💙

A simple ‘thank you’ goes a long way 🥰

Post a sticky note on their desk, send them a Slack message or write up a quick email expressing how appreciative you are for their hard work. 🙏🏽   Even the smallest of gestures can make a big difference.

Get on their good side. Submit receipts on time. 🧾

There’s nothing your finance team dreams of more than a stress-free month-end. ✅  One way to make their lives easier is by staying organized and submitting your receipts on time. This will save your finance department all of the stress and headaches they often endure while having to chase employees down for those last minute receipts. 🏃🏼‍♀️

Send them a sweet treat 🍦

See where you can extend your corporate budget and send a well-deserved treat to your finance team. Whether it’s some much-needed caffeine or a team lunch, the best way to anyone’s is through their stomach.🍕 🥗 ☕️

Win their heart with Float 💘

This will be love at first sight. 😍  Float’s platform simplifies and automates the entire spend management process that will make any finance team fall in love…fast.

• All expenses are organized and tracked in real time, all in one place 👍🏼
• Save time and say goodbye to expense reports 🎉
• Easily issue corporate cards to any employee who needs one 💳
• Gain greater visibility into company and team spending 👀
• Employees are notified to submit receipts after every business purchase 🧾

Diffuse month-end anxiety and show your finance team some love with Float. Book a demo with Float today. Your accountant will love you for it. 😍

Keeping up with your corporate expenses can be a total nightmare but it doesn’t have to be. In fact, 15% of all Canadian SMEs have found tracking expenses and reconciling their books to be a major challenge. If your team is growing, there’s a good chance your expenses are too, which means getting a handle on your expense management is key. Finding a better way to track and manage corporate spending can save you thousands of dollars a year – and we’re here to let you in on the solution. 

It pays to keep track.

Canada Revenue Agency requires Canadian businesses to keep records of all transactions to support their income and corporate expense claims. Companies can claim tax deductions on expenses, but only if they have a valid proof of purchase and can prove it was a business expense. How can they do this? 🤔  By providing a receipt. 🧾  
If your corporate receipts aren’t organized or properly submitted, you won’t be able to use these expenses as a tax reduction, which means less money back in your pocket come tax season. That’s why companies need to invest in the proper tools to enable managers to easily collect and record receipts from employees all year round. This will help them easily track their expenses and have a better picture of where their money is going, who is spending it and why. When it comes time to file taxes, you’ll feel like a major weight is lifted off your shoulder!

Automate & Celebrate! 🤩

Let those piles of receipts and chasing employees down be a distant memory of the past. 👋🏽 Not only is it annoying and inefficient, but it just makes things more difficult than they need to be. We have a better way with Float. Our innovative expense software and corporate cards automate this entire process, helping companies easily track employee purchases in real time while eliminating all of the headaches and paperwork that come with it. When purchases are made using a Float card, employees are instantly notified to submit a digital receipt so that your finance team has everything they need to review expenses, manage budgets and easily claim tax deductions. Float not only helps teams save hours in expense management every month, but we also give you back control over corporate spending in your organization. Not to mention, keeping financial records in the cloud has proven to be safer and more secure – and good for our planet. 💚 If there is any damage such as a fire or flooding in the office, you can ensure that everything is protecting, floating in the cloud!

We’ve got you covered.

Our platform collects your receipts so that you don’t have to – leaving extra space in your filing cabinets and less stress on your mind. With Float, you can: 

Get started fast with our simple set-up & onboarding 🚀

Quickly and easily reconcile your books ⚡️

Track business purchases in real time 💸

Create financial policies for all employees to follow 👍🏾

Instantly notify employees to submit receipts after a transaction 🧾

Set spending limits & approve spend requests in seconds ⏰

Collect and review key financial data all in one place ✅

Are you ready to introduce smarter, more efficient financial processes in your business? Book a demo with Float today!

Most people can agree that getting a handle on travel expenses without a good system in place can feel like walking in the dark with no flashlight. The good news is that Float has a first-class ticket for any organization to successfully manage corporate travel expenses, providing simple solutions to these common headaches. 🙌🏼

❌  Unclear and inconsistent travel expense policies 🤷🏼‍♂️

✅  Float helps you create simple financial policies for the entire company 👫👫

More often than not, expense policies for travel are not always clear. When employees don’t know what falls under an acceptable travel purchase, they have no way of avoiding issues when it comes time to submit expenses. Ensuring employees are aligned can make the paper trail a lot more smooth for finance teams. At Float, our software allows managers to create clear spending policies company-wide so employees are aligned on expectations before and during travel. Managers can also set category limits that every employee can understand and abide by to avoid exceeding travel budgets.

❌  Poor visibility over travel spending across the company 😧

✅  Float gives you a clear picture of travel spending 🔎

Does your finance team know the average daily cost of employee meals during business travels? 🥗  What about the average cost of transportation? 🚕  Most companies don’t have this information at their disposal and are often shooting in the dark when it comes to budgeting for business trips. They have no way of measuring or anticipating how much an employee is going to spend and thus are unable to set clear limits to stay on budget. 

With Float, finance teams can see all transactions being made in real time while employees are travelling ​​– providing key insights into the average costs of food, transportation, lodging and other business travel expenses. This real-time data is critical in helping finance teams and managers set department budgets for business travel in the future with appropriate spending limits for each category.

❌  Inefficient and time-consuming processes 👎🏼

✅  Float cuts expense reports with full automation ✂️

Manual expense processes are time-consuming and make it 10x harder to manage transactions ​​– and when employees are abroad, it can create even more headaches. Ditch the spreadsheets and paper receipts and automate the process with Float. We make it possible to record business expenses in real time, instantly notifying employees to submit their receipts upon every purchase. This has been a gamechanger for companies with employees travelling across the globe. So if your sales team is in Montreal from Tuesday to Wednesday and then in New York Wednesday to Friday, every purchase they make will be approved and recorded in a matter of seconds, all in one place.

❌  Delayed employee reimbursement ⏳

✅  ​​Get instant access to funds during business travel with Float  💳

No manager or employee wants to use their personal credit card during business travel let alone wait for reimbursement. It causes added stress to employees having to use their own money (not to mention waiting to get it back), while complicating expense management with piles of receipts for finance teams to sort through. 🤯 

Is your head exploding yet? Don’t worry, we’ve got an app for that. Our smart spend software along with Float’s physical and virtual cards enable companies to issue an unlimited number of corporate cards to employees in under 3 days. That’s right ​​– no more personal cards during business travel ever again.🕺🏻 So if your marketing team is off to Chicago for a conference, you can easily issue cards for all employees attending, set a spending limit and make each of them valid for the duration of the trip only. This makes it easier for employees to access corporate funds and spend during business travel, while simplifying the process for finance teams by no longer having to reimburse employees and chase them down for receipts.

Take off with Float ✈️

If your teams are travelling often, then Float should be one of the first things on your packing list! 🧳  Our smart automation spend software alongside our corporate cards simplifies corporate travel expense management, saving companies valuable time, energy and money. Float helps you understand where your money is coming and going, who is spending it and how much, allowing businesses to be more strategic, efficient and informed in the way they spend. 

To learn more about how Float can help your company spend smarter and travel better, connect with us today!