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The Whats and Hows of Preloaded Cards For Business Expenses

Preloaded cards are the newest expense management tool that comes with a host of the latest exciting features which make your life easier. From business payments to corporate expenses, Preloaded business cards come in handy for a variety of business expenses- big or small. Preloaded cards reduce your organization's dependency on cash, thus making your business more tech-savvy and futuristic.

What Is A Preloaded Card?

Preloaded cards are a smarter alternative to cash and other debit or credit cards. The beauty of a business Preloaded card is that it does not require a bank account to be linked with. These cards are provided by an organization to its employees with Preloaded funds. Preloaded cards make expenses easy to track, monitor, and control whenever needed. These cards can be used for travel, meals, lodging, entertainment, B2B payments, and in many more realms where cash can be obstructive. Preloaded cards are accepted almost everywhere- POS terminals, online merchants, and ATMs- basically, any merchant that accepts payment networks such as Visa and Mastercard or RuPay. With Preloaded cards, you do not need to worry about debts, credit lines, or interest accumulation.

These features of Preloaded cards make them a popular choice among businesses to make corporate payments and enable their employees to go cash-free. Preloaded cards are a boon for employees because they no longer have to worry about spending their own money for company purchases and wait for reimbursement. Instead, with Preloaded cards, employees enjoy financial autonomy which in turn helps in boosting employee morale and elevating employee retention rate because of the high trust factor.

Let's take a close look at the benefits that give Preloaded cards an edge over other expense management tools.

Advantages of Preloaded Cards

Go Cashless

One of the biggest drawbacks businesses usually face is an unsteady cash flow that hinders other payments that are dependent on the incoming cash flow, thus creating an avalanche effect of inefficient expense management. A Preloaded corporate card bids goodbye to such worries once and for all because they enable a business to go cashless in one swipe! With a Preloaded card, payments can be made round the clock from anywhere in the world with just one click. If you need to purchase from a cash-only vendor or POS, these cards can be used at an ATM to withdraw money. Thus, in no way does it hinder your business transactions.

No Accumulated Debt

Credit cards are widely used in business transactions worldwide however with a difference. For instance, credit cards have a due credit period post which the bill needs to be settled. If the deadline is missed, high interest is incurred on the payment amount which makes it problematic for small businesses. With Preloaded cards, there is no such worry. The card cannot be used once the Preloaded funds are exhausted and hence, there are no penalties later on. Credit cards make it easy to accumulate debut but Preloaded cards eliminate the possibility.

Real-Time Monitoring

Preloaded cards are linked with your business' expense management system which gives the finance teams full visibility into the expenses made on every card. The transactions can be monitored in real-time and thus, the chances of expense fraud are considerably low. The purchases made from the Preloaded cards are automatically registered in the expense management system to generate expense reports, get visibility in spending patterns, and predict expenditure trends.

Security

Digital is always much more secure than traditional modes of payment. Preloaded cards require a pin to process any transaction. This makes Preloaded cards more secure to use. Most Preloaded cards are Visa or Mastercard or RuPay based so they come with the same safety net as debit or credit cards. Also, since Preloaded cards are not linked to any bank accounts, hackers cannot infiltrate these cards while making digital payments because the cards are essentially anonymous. Preloaded cards are much safer for business transactions in comparison to carrying a lot of cash. If stolen, these cards can be easily deactivated from the expense management system itself without putting any business bank accounts at risk.

Budgeting

Expenses can be strategically budgeted with the help of Preloaded cards. Each team can be provided with their Preloaded cards which have the budgeted amount of money Preloaded into them. Doing this will ensure that each team, be it marketing, sales, payroll or purchase- they stick to their allocated budgets. Preloaded cards are the most efficient way to regulate expenses and avoid overspending. Proper budgeting allows better profits at the end of every quarter, thus turning your business into a profitable revenue engine.

Compliance

Preloaded cards increase the financial compliance manifold because of their pre-set expense limit feature. Non-compliant expenses are rendered redundant because employees cannot overcharge a Preloaded card due to the limited availability of funds on the card. Preloaded cards also increase compliance by limiting expenses before they occur. The finance teams can lay down the rules of spend limits and authorized merchants beforehand to ensure that employees use these cards the right way so that they don't need to review expense reports to identify non-compliant expenses.

With so many wonderful features, Preloaded cards save businesses a lot of time, cash, and energy in reviewing expense sheets, reimbursing employees, and making detailed expense reports. Preloaded cards are a powerful tool for expense management and if used right, they can completely revolutionize a business' dependency on traditional methods of cash transactions. EnKash provides a wide range of Preloaded and virtual cards which cater to all kinds of business needs. From meal cards to fuel cards, from purchase cards to EMI cards, EnKash has got your business needs covered. Give financial freedom and productivity to your business with EnKash commercial cards which can be used on the very same day with quick e-KYC and zero waiting period. Impressed? We have a lot more to offer. Give us a call for a free demo and we promise to make your business as smart as you!

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