Why your business credit card should offer flexibility

Does your business financing have your back, or is it holding you back? When you’re juggling a million tasks and expenses, the last thing you need is rigid financing options with restrictions that don’t align with your business needs.

A truly flexible financing solution is like a Swiss Army knife for your finances and adapts to your evolving priorities, whether that means customisable repayment terms or adjustable credit limits.

With that in mind, we look at the features that make business financing genuinely versatile, and explore how the right financial options can play a central role in growing your company.

Why does flexibility matter?

The only constant in business is change. Your expenses and cash flow needs can shift from month to month, season to season. One quarter you might be investing heavily in new equipment, the next you’re ramping up your marketing spend to launch a product. A rigid, one-size-fits-all financing structure simply doesn’t cut it.

That’s where flexible financing options show their worth. With the ability to take actions like customise your repayment terms, you can make the most of your financial resources at any given time. ​​

FlexiPay from Funding Circle offers a flexible line of credit that lets you pay business costs upfront, then decide how and when to repay. Make payments by card or cash transfer, then spread the cost over 1, 3, 6, 9 or 12 months. You’ll pay one simple flat fee per transaction—no interest, no hidden costs. Whether you’re paying suppliers, buying stock in bulk, or covering unexpected bills, FlexiPay gives you the freedom to pay your way. 

This can help when it comes to managing your business cash flow. Instead of dealing with a huge bill all at once, you can break it up into more manageable chunks and avoid those moments when you’re waiting on a big invoice to come through. 

Moreover, it allows you to make transfers as well as card payments. Such flexibility puts you in control of your business finances and enables you to make the right decisions depending on the type of payment. 

Adjustable credit limits

Another key feature to look for in flexible business financing is the ability to adjust your credit limit as your business grows and your expenses increase. There’s nothing more frustrating than maxing out your credit in the middle of a busy month and having to scramble to find an alternative payment method.

Some of the most versatile financing options out there allow you to request a credit limit increase with just a few clicks, without the need for a lengthy application process. By doing so you can scale your spending power in real-time to match your business needs, providing you meet the criteria for a credit increase. 

Syncing with your accounting software

Here’s a feature you might not have thought of, but can make a world of difference in streamlining your financial management: integration with your accounting software. Some flexible financing solutions can sync directly with popular platforms like QuickBooks, Sage and Xero.

Your expenses are automatically categorised and reconciled, saving you hours of manual data entry and reducing the risk of errors. Come tax time, you’ll have a clear, accurate picture of your spending without having to dig through a shoebox of receipts. Having access to these types of integrations can be especially useful for smaller businesses that submit their own tax returns without using an accountant. 

Added perks and benefits

Beyond the core features of flexible payments and credit limits, many business financing options also come with a host of additional perks that can add real value to your business. These can range from dedicated account managers to help you navigate your finances, to exclusive discounts on business services.

While these perks shouldn’t be the primary driver of your financing choice, they can certainly sweeten the deal and help you stretch your business budget further. Even incremental gains can help with the overall picture of your business credit card usage. 

Choosing the right financing for your business

With so many business financing options on the market, how do you find the one that offers the right mix of flexibility and features for your unique needs? Start by taking a close look at your spending patterns and cash flow cycles. Then, look for a solution that allows you to align your repayments with your business rhythms.

Consider your growth plans and look for financing options with adjustable credit limits that can scale with your business. If you anticipate needing to make large purchases in the future, prioritise solutions that offer the right type of credit limits and easy processes for requesting an increase.

And don’t forget to factor in those additional perks and benefits. If you want true flexibility with your business credit card, a solution like FlexiPay that gives you several options for how and when you pay can make all the differences. 

More flexibility, better growth

Effective business financing should be a catalyst for growth, not a constraint. It’s about finding a solution that aligns with your company’s unique rhythm and ambitions. The ideal financing option flexes and adapts, much like a skilled business that anticipates its needs.

Consider how your chosen financing method responds to the ebb and flow of your business:

• Does it offer breathing room when you need to manage cash flow during leaner periods?
• Can it quickly scale up to support unexpected opportunities or large purchases?
• How easily does it integrate into your existing financial processes and systems?

Figuring out these aspects will help you decide on a business credit card that offers the flexibility your company needs to thrive.   

Summing up: Flexible credit

Don’t settle for restrictive finance that holds your business back.  Instead, embrace versatile solutions that adapt to your needs. Choosing financing that aligns with your business rhythm increases the chances of your company being better equipped to navigate challenges and capitalise on opportunities. 

Learn more about how FlexiPay works here.

02/10/24: 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.