Prepaid business cards have become increasingly popular among small businesses and SMEs in the UK. These cards offer a convenient and secure way to manage business expenses, without the need for a traditional credit or debit card. In this article, we will delve into what exactly a prepaid business card is, its advantages and disadvantages, and the top 13 prepaid cards available in the market.
A prepaid business card works just like a regular debit card, but with one major difference – it is not linked to a bank account. Instead, it is loaded with a specific amount of money, which can then be used to make purchases or withdraw cash. This means that businesses can only spend the amount that has been loaded onto the card, making it a great budgeting tool.
One of the main advantages of a prepaid business card is that it offers businesses a level of control and flexibility over their expenses. As the card is not linked to a bank account, there is no risk of overspending or going into debt. This is especially useful for small businesses and SMEs, who may have limited funds and need to carefully manage their expenses.
Another benefit of prepaid business cards is that they are widely accepted, just like regular debit or credit cards. This means that businesses can use them to make purchases online, in-store, or even when traveling abroad. This eliminates the need to carry large amounts of cash or rely on personal credit cards for business expenses.
Moreover, prepaid business cards also offer added security. As they are not linked to a bank account, there is no risk of sensitive financial information being compromised in case of theft or fraud. Additionally, some prepaid cards come with features such as the ability to block certain merchants or set spending limits, giving businesses even more control over their expenses.
However, like any financial product, prepaid business cards also have their drawbacks. One of the main disadvantages is the fees associated with these cards. Most prepaid cards charge a fee for loading money onto the card, ATM withdrawals, and even for inactivity. It is important for businesses to carefully compare fees and choose a card that best suits their needs.
Another potential downside is that prepaid business cards do not offer the same level of protection as credit cards. In case of a dispute with a merchant, businesses may not have the same rights and protections as they would with a credit card. This is something to keep in mind when using a prepaid card for large purchases or transactions.
Now that we have discussed the pros and cons of prepaid business cards, let’s take a look at some of the best options available in the market.
1. Revolut for Business
Revolut for Business offers a prepaid card that comes with a range of features, including the ability to hold multiple currencies, make international transfers, and set spending limits. It also offers real-time expense tracking and the option to freeze and unfreeze cards instantly.
2. Soldo
Soldo is a prepaid card designed specifically for businesses. It offers features such as real-time expense tracking, budgeting tools, and the ability to create multiple cards for employees with individual spending limits. It also integrates with popular accounting software, making expense management even easier.
3. Pockit Business
Pockit Business offers a prepaid card that comes with no monthly fees and no minimum balance requirements. It also offers cashback on purchases made with the card and the ability to set spending limits for employees.
4. Monese for Business
Monese for Business offers a prepaid card that is linked to a business account. It offers features such as real-time notifications, budgeting tools, and the ability to make international transfers. It also offers a free plan for businesses with up to 2 employees.
5. Starling Bank
Starling Bank offers a prepaid card that is linked to a business account. It offers features such as real-time notifications, budgeting tools, and the ability to make international transfers. It also offers a free plan for businesses with up to 2 employees.
6. Cashplus Business
Cashplus Business offers a prepaid card that comes with no credit checks or monthly fees. It also offers features such as real-time notifications, budgeting tools, and the ability to set spending limits for employees.
7. Tide
Tide offers a prepaid card that is linked to a business account. It offers features such as real-time notifications, budgeting tools, and the ability to make international transfers. It also offers a free plan for businesses with up to 2 employees.
8. Transfer