Find out all about Purchasing Cards and how to start accepting them.
What is a Purchasing Card?
A Purchasing Card is a special type of payment card that is used when making business to business purchases.
In addition to the standard financial details, Purchasing Cards also allow enhanced transaction information, including HM Revenue and Customs approved commodity codes and product details, to be sent through to the banks electronically.
This extra information cuts out the time-consuming paperwork of purchase order and invoice preparation. As a result, it saves both the supplier and the purchaser time and money.
Purchasing Card Benefits for Buyers:
- Faster payment improves your cashflow, as payments are normally made within 4 business days
- Win more business with companies spending on purchasing cards when you appear on supplier listings as able to capture Level 3 data
- No need to issue invoices to your customers, saving you time chasing payments
- Take orders over the phone or by e-mail, your customer only needs to quote their purchasing card number
- Embedded cards maximise spend by preventing customers spending with unauthorised suppliers
- Reduce the risk of bad debt by taking payment on order
Purchasing Card Benefits for Suppliers:
- Order over the phone or by e-mail, for fast and efficient purchasing
- Consolidate your suppliers and minimise maverick spending by embedding cards with approved merchants
- Replace paper purchase orders and invoices with electronic data feeds, increasing efficiency and saving costs
- Empower employees to make appropriate purchases whilst maintaining individual accountability and spend control
- Pay suppliers quickly by eliminating the time spent approving paper invoices