Business & Credit Cards

As we all know, financial efficiency and flexibility are crucial to a company’s success, and using businesss credit cards is an essential strategic lever. Corporate cards offer many benefits, including earning points that can be converted into valuable rewards, such as free travel or cash back.

Whether you’re a small, medium-sized or large company operating in the local, provincial or international market, the importance of optimal management of your credit card spending is undeniable. Choosing your business card according to your needs and what you’re looking for in terms of points accumulation so that they don’t remain at the bottom of the drawer.

With this in mind, we’ve compiled all our articles and tips for businesses to get the most out of your corporate credit cards.

Before discussing Canadian business credit cards, we’ve written several general articles to help entrepreneurs who want to start a business in Quebec and Canada.

This involves many financial and legal considerations, and one of the first steps is to choose the legal structure of your business, which can be a sole proprietorship, a corporation or a partnership. Each structure has its own tax and administrative implications.

Quebec also offers several business financial assistance programs, including grants, loans and tax credits. It’s a good idea to find out about these options to optimize the financing of your business.

Finally, if you’re thinking of opening a business in Quebec or Canada, it’s crucial to familiarize yourself with the local laws and regulations governing businesses. This includes laws on business licenses, sales taxes, employment and consumer protection.

Business credit cards are a valuable tool, as we’ll see later. Several financial institutions offer cards tailored to the diverse needs of businesses. So, comparing offers and choosing the best credit card for your business is essential.

Why take out a business credit card? Simply because they are invaluable management tools:

• cash flows,
• business expenses,
• and even to win awards.

They can be used for various expenses, from travel costs to office supplies.

However, not all offer the same benefits: some will earn you loyalty points or air miles, and others cash rebates. Some have annual fees, while others are free. Choosing the best business card depends on your company’s activity and your specific needs.

Have a clear objective and take these few points into consideration before choosing a credit card for your company:

• Business expenses: Some cards offer higher reward rates for common expense categories such as office supplies or travel expenses.
• The rewards program: Points, airline miles or cash back can be attractive, but make sure you understand how the rewards system works before you sign up for a business credit card. For example, if you sign up for a credit card with travel points, such as an Aeroplan business credit card, the points accumulated cannot be transferred to a partner and must be redeemed for travel.
• Annual fee: If your company spends enough to justify the annual fee for a card, it may be worthwhile. Alternatively, a no-fee card may be a better option.
• Interest rate: If you plan to carry a balance from month to month, the card’s interest rate will be a key factor to consider.

Corporate credit cards offer several advantages that can make financial management more accessible and help your business grow.

• Expense control: Corporate credit cards make distinguishing between business and personal expenses easy, facilitating accounting and expense management.
• Financial flexibility: They provide an immediate source of cash to cover current or unforeseen expenses.
• Rewards and benefits: Many corporate credit cards offer rewards programs that earn points, airline miles or cash back on purchases.
• Improved cash flow: They often offer extended payment terms, which can help improve cash management.
• Insurance included: Some corporate credit cards also offer travel insurance and other benefits at no extra charge.

These benefits may vary depending on the card and the financial institution you choose, so assess your needs carefully before making your choice.

You can fill out an online application on the website of your chosen financial institution and obtain easy approval for your business credit card. The application should include information about you and your company.

Once the application has been submitted, the financial institution will review it. If you meet the eligibility criteria, your application will be approved and you will receive your new business credit card at home.

Business credit card selection criteria

When selecting a business credit card, consider the points listed above (types of rewards, annual fees, interest rates, and insurance programs) and bank offers and assess compatibility with your company’s needs.

The best business credit card will depend on your company’s specific needs. For example, a company with high business travel expenses may find it advantageous to have a card like the American Express^® Aeroplan^MD* Business Reserve Card Express^MD offering travel points or access to airport lounges.

Compare offers from different banks

To make your search for a credit card for business easier, Milesopedia offers detailed comparisons of the best credit card offers in Canada, as well as a credit card comparator where you can select the SME search field in the “You” section, then “Public”, to see only the selection of cards dedicated to entrepreneurs.

Secure credit cards for business

Credit card issuers offer a variety of fraud and loss protections, including:

• Protection against lost or stolen card fraud: in the event of card loss or theft, the card issuer is liable for any fraudulent transactions carried out with the card.
• Online fraud protection: card issuers generally offer online fraud protection, which covers fraudulent transactions carried out over the Internet.
• Protection against counterfeiting: credit cards are equipped with advanced security technologies that make them difficult to counterfeit.

However, there is always a risk of fraud when using a credit card. Here are a few tips to reduce the risk:

• Keep your card safe: don’t leave it unattended or share it with anyone.
• Be vigilant when making online transactions: make sure that the website on which you are making the transaction is secure. You’ll know if a padlock icon appears.
• Monitor your credit card statements: Check your credit card statements regularly for fraudulent transactions. Contact the card issuer immediately if you think your credit card has been used fraudulently.

Here are a few additional tips to protect your credit card:

• Activate two-factor authentication (2FA): 2FA adds an extra layer of security to your account by requiring you to enter an additional code in addition to your password.
• Use a password manager: a password manager, such as Bitwarden, will help you generate and store strong, unique passwords for all your accounts.
• Update your software: keep your software, including your web browser, up to date with the latest security updates.

By following these tips, you can help protect your credit card and your finances.

Once you’ve assessed the criteria for selecting a business credit card, it’s essential to look at the points programs offered by the various cards. These programs may vary according to issuer and card type.

First, there are points programs linked to travel, such as Aeroplan points or RBC Airline points. These points can be used to reduce the cost of business travel.

Secondly, some points programs are geared towards cash back. These programs, such as the BMO Rewards program, give you a percentage of your expenses (gas, office supplies, telephone and Internet bill payments) back as rebates.

Finally, there are flexible points programs that allow you to use your points as you wish, whether for travel, hotel nights, AIR MILES, cash back or even office supplies.

There are several ways to effectively manage your points and rewards:

• Points tracking: Many banks offer online platforms or mobile apps that make it easy to track the accumulation of points and rewards.
• Redeem points: These tools also allow you to redeem your points for a variety of rewards, including travel, merchandise, gift cards or even cash back.
• Transferring points: Some credit cards allow you to transfer points between different cards or share them with others.

Understanding how your card’s points program works is essential to getting the most out of it. This can include details of how and where you can collect points, as well as the various options for redeeming them.

For optimal management of your business credit card, keep these tips and tricks in mind:

• Use your card regularly: The more you use your card for everyday expenses, the more points you’ll earn.
• Pay your bills on time: Avoid unnecessary interest charges by paying your balance on time.
• Check your statements regularly: Prevent errors and fraud by checking your transactions regularly.
• Take advantage of promotional offers: Many cards offer special deals for new customers, such as bonus points or discounts on annual fees.
• Manage your points carefully: Keep track of your points and plan in advance how you want to use them to maximize their value.
• Choose the right card for your business: Benefits may differ for small businesses or start-ups.
• Consider additional cards: Depending on promotions, they can sometimes be reimbursed. Once you’ve got them, you can:
  • simplify the management of employee expenses,
  • earn more points in the same place, faster,
  • reach spending thresholds faster to earn welcome bonuses,
  • double certain card benefits.

American Express Credit Cards

When it comes to corporate credit cards, American Express offers five cards:

American Express offers

Earning American Express Membership Rewards points

Using American Express Membership Rewards points

BMO Mastercard for Business credit cards

When it comes to corporate credit cards, BMOoffers three cards for entrepreneurs:

BMO offers for businesses

Earning BMO Rewards points

Using BMO Rewards points

RBC Business credit cards

When it comes to corporate credit cards, RBC Business offers a range of options to meet the specific needs of businesses of all sizes:

RBC also offers useful tools and resources for businesses such as:

• a business loan calculator,
• a cash flow calculation tool,
• and a business planning tool.

RBC offers

Earning RBC Avion Rewards points.

Using RBC Avion Rewards points

Desjardins credit cards for businesses

When it comes to corporate credit cards, Desjardins offers several choices for businesses:

• Desjardins Visa Business Card
• Desjardins Visa Business Card Advantages
• Desjardins Visa Corporate Card

Desjardins does not generally offer welcome bonuses for its credit cards, and accumulation rates are lower than for other credit cards on the Canadian market. However, some Desjardins cards offer attractive travel insurance coverage.

Once you’ve earned enough points, it’s time to look at how to use them. Check out our various articles, our guides to online booking tools or our Family file to help you plan your travels.