Could you do with an extra several hundred dollars every year? That’s how much you could save per semi truck if you use a fuel card.
Fuel cards can bring multiple benefits to your owner-operator business. The most prominent of them is smart budgeting, which can in turn increase your business’s profitability. Read on to find out how fuel cards outstrip cash and credit cards.
If you have a fleet, a fuel card can enable you to have some spending control. It allows you to set limits in terms of the transaction amount and what quantity can be bought on a daily or weekly basis. You could also determine the gallon limit.
If you have drivers working for you, you can specify that the card can be used only on duty or that it can only be used to purchase fuel.
Talking about spending control, here’s something to consider about using a credit card to buy fuel. When you use a credit card, the price of fuel is actually a few cents higher than what is posted outside. That might not sound much, but think about how much fuel a truck guzzles, and you’ll see how much money is wasted with credit card purchases.
No Out-Of-Pocket Expenses
With fuel cards, owner-operators don’t need to have cash on hand. Again, if you have semi truck drivers driving for you, giving them a fuel card to use relieves you from handling fuel receipts and reimbursement.
Manage IFTA taxes more easily
A credit card slip tells you the transaction amount, the name of the merchant, as well as the time and date. However, fuel cards require more data with each swipe, which gives you access to much more useful statistics and accounting information. For example, drivers also have to enter odometer readings and their PIN. With all the collected information, filing the IFTA tax return is way less time-consuming.
Enjoy discounts and rebates
Fuel cards are widely accepted coast to coast. At around 90 per cent of fuel stops, to be precise. There are various discount and rebate programs that you could make use of. Some will also provide you with low to no transaction fees.
Fuel cards are the safest when it comes to purchasing fuel. Every point-of-sale will require the driver’s PIN and the information from the card is only accessible to the fleet manager, in the case you have drivers working for you. Should a fuel card get lost, it can be deactivated immediately.
Some fuel card providers allow withdrawing cash from an ATM, cash advance on participating fuel stops and transferring money. Bear in mind, however, that these options have transaction fees that could prove not so effective over time.
Fuel cards are one means of managing your business wisely. If you need financing to boost your owner-operator business, feel free to contact Go Capital, an established financing company that specializes in semi-truck financing with bad credit. Go Capital can be your partner for success – call (855) 396-3600 and find out more.