How to use a business credit card for your marketing

Marketing is a necessity for any growing business, but it can get pricey. There are, however, solutions to manage costs. A business credit card can help you manage the expenses associated with marketing strategies and get you more bang for your buck. Let’s look at how you can use one to boost your marketing efforts.

Keep tabs on your marketing spend

Using a business credit card for marketing gives you a clear picture of where your money’s going. At month’s end, you’ll have a detailed statement showing all your expenses, which makes it easy to see which marketing channels are costing you the most and spot any surprise fees.

Many cards offer spending reports to help you dig deeper. The Funding Circle Cashback business credit card, for instance, has spend tracking features. Use these to compare costs across different campaigns and spot trends over time.

Having access to this info can help you make smarter marketing decisions. Noticed you’re spending loads on social media ads but not seeing results? It might be time to try something new. Or maybe you’ve found a low-cost tactic that’s working wonders and it could be worth investing more there.

Smooth out your cash flow

Marketing often means spending money before you see any returns. A business credit card can help you manage this timing mismatch.

Say you want to run a big seasonal promotion. You may need to pay for ads, create materials and maybe hire extra help all before you’ve made a single sale. Putting these costs on your card lets you delay payment, giving your campaign time to bring in some cash.

Some cards offer even more wiggle room. FlexiPay from Funding Circle lets you spread costs over 1, 3, 6, 9 or 12 months—handy for big, one-off marketing expenses like sponsoring an event or buying video equipment, or managing agency fees.

Just be careful not to overspend. The idea is to use your card to manage timing, not to fund marketing you can’t afford.

Earn rewards on your marketing spend

Many business credit cards offer rewards that can effectively discount some of your marketing expenses. Look for a card that matches where you spend most.

If you do lots of online advertising, a card with bonus points for digital marketing could be valuable. Travel often for trade shows? A card with travel rewards might suit you better.

Cashback cards are often a good bet for marketing expenses because they’re so flexible. The Funding Circle Cashback card gives you 2% back on all purchases for six months, up to £2,000, and then 1% thereafter. 

So if you’re spending regularly on marketing agency fees or marketing subscription costs, be it SEO platforms, automation or anything else,  you get the benefit of receiving something back when those outgoings are due. 

It all adds up. If you’re spending £5,000 a month on marketing, that’s £100 back—enough for a software upgrade.

Use your credit card data to inform your strategy

Your credit card statement can be as much a goldmine of marketing data as it is a simple bill. By looking at your statements over time, you can gain valuable insights into your marketing operations.

Start by checking out your vendors. Who are you spending the most with? Could you negotiate better rates with your top providers? You might also spot subscriptions you’re no longer using and can cancel.

Pay attention to when you’re spending. Do you see spikes around certain events or seasons? This could help you plan your cash flow better for next year and market better. You might also notice patterns in your most successful campaigns. If you see higher spending lining up with better business results at certain times, it could show you when to ramp up your marketing investment.

Many business credit cards link up with accounting software, making this analysis even easier. You can create reports showing your marketing spend alongside your revenue, helping you work out the return on investment for different activities.

Invest in your marketing setup

While day-to-day marketing expenses are important, don’t forget about investing in your marketing infrastructure. This includes factors like your website, customer relationship management (CRM) system and marketing automation tools.

A business credit card can help you make these bigger purchases without straining your cash flow. For example, with the Funding Circle FlexiPay card, you don’t pay interest (instead paying a fee on each purchase). As a result, you can potentially spread the cost of  big investments over time without accumulating high interest charges.

When making these purchases, look out for cards offering extended warranties or purchase protection. These perks can be particularly valuable for computer equipment or software that’s central to your marketing.

Stay safe with digital marketing

Digital marketing often means sharing payment info with various platforms and vendors, which can increase your risk of fraud. A business credit card offers better protection than a debit card in these situations.

With a credit card, you’re typically not responsible for unauthorised charges. Many cards also have smart systems that can spot suspicious activity quickly. If your card is compromised, it’s much easier to get a replacement credit card than to recover stolen funds from your bank account.

The added security lets you explore new marketing channels and vendors with confidence. You can try out that new advertising platform or hire that promising freelancer without worrying about putting your business’s operating funds at risk.

Make the most of signup offers

Many business credit cards offer tempting signup bonuses or limited-time promotions. You can use these to your advantage with your marketing spend. For example, you might:

• Wait to buy annual software subscriptions until you have a new card with 0% interest
• Make a large ad buy to hit a spend threshold for bonus points
• Charge a big event expense to a new card to earn a cashback bonus
• Take advantage of a cashback offer to get more back when you spend on marketing. 

Just make sure you’re not spending more than you planned just to chase rewards. The aim is to have a business credit card that facilitates all aspects of your business, including helping with marketing where necessarily. 

Summing up: Boost your marketing with a business credit card

A business credit card can help you manage your marketing budget more effectively, earn rewards on your spend and gain valuable insights to inform your strategy. Using it wisely means you can make your marketing budget go further and drive growth for your business. Just remember to keep an eye on your return on investment and always use your card responsibly.

07/11/24: While we want to help as much as we can, the information found here is provided solely for informational purposes and should not be considered financial or legal advice. To the extent permitted by law, Funding Circle does not accept any liability for any loss or damage which may arise directly or indirectly from the use of, or reliance on, the information contained here. If you have any questions, please speak to your professional adviser or seek independent legal advice.