How I Use My Small Business Credit Card for Assisted Living

assisted living business assisted living facilities assisted living financial management assisted living investing business credit card tips business credit cards credit card rewards managing expenses remotely Nov 01, 2024

Running an assisted living business can be tricky, especially when it comes to money. It's even harder when you're managing your business from far away. For my facilities, I've found that small business credit cards are super helpful. In this blog, I'll share how we use these cards to make our business run smoothly.

Check out the video too:

Why Use a Business Credit Card?

Business credit cards are great for assisted living facilities because:

You can earn rewards
It's easier to track spending
You don't have to worry about cash all the time

For us, with many facilities in different states, credit cards make buying things much easier.

Setting Up Credit Cards for Each Facility

Here's how we do it:

Each facility has its own credit card
Only the facility manager can use the card
We set clear rules about how to use the card

At first, one of our facilities had a card with a low spending limit. This caused problems when we needed to buy a lot of stuff. So, we got a second card to solve this issue. You can also work with the creditor to raise your limits if needed.

Managing Credit Cards from Far Away

You might wonder how we keep track of all these cards when we're not there. Here's our secret:

We have clear rules (like asking permission for purchases over $300)
We check the card statements often (at least once a month)
If we see something weird, we ask about it right away

Keeping Track of Receipts and Payments

To stay organized:

Managers scan and upload all receipts to Google Drive (you could use any software for this though)
We set up automatic payments to pay off the full balance each month, or if you want more control, you can check it yourself often
This helps us avoid interest and is good for our business credit

Using Credit Card Rewards

One of the best things about business credit cards is the rewards. We've earned lots of points over the years. We use these for:

Travel expenses
Cash back at stores like Sam's Club and Costco
Paying the card balance
Other business costs

These rewards have helped us save a lot of money!

Building Business Credit

Using credit cards responsibly helps build our business credit. This is important because:

It can help us get loans in the future
We might get better interest rates
It shows that our business is trustworthy

To build good business credit, we:

Pay our bills on time
Keep our credit utilization low
Regularly check our credit reports

Wrapping Up

Using small business credit cards for our assisted living facilities has been really helpful. It makes managing money easier, even when we're far away. With clear rules, regular checks, and smart spending, we've made it work well for us. Plus, the rewards are a great bonus!

If you’re ready to take your assisted living business to the next level, I recommend downloading our Business Plan Checklist. It’s a comprehensive tool that will guide you through creating a solid business plan, which is essential for securing financing, finding the right property, and ultimately running a successful assisted living facility. If you need help launching your business, apply to the Assisted Living Investing Mastermind program to get expert guidance on building your business plan, finding property, securing funding, obtaining licenses, and running and scaling your business.

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