How Do You Qualify for a Corporate Credit Card?

Every large or growing company has a variety of business expenses. Whether your employees need to fly to another country, book flight tickets, or book accommodation. These are some of the business-related expenses that are not borne directly by the company but through its employees.

Getting them corporate payment cards, also known as corporate payment cards, is an efficient way to keep a track of expenses and make it easy for the employees to avail services they need.

On one hand, the employees aren’t required to use their own credit/debit card during a business trip while on the other hand, the employer can visibly access all the expenses incurred & pay i.e. reimburse the employees. Thereby, a convenient & hassle-free option for both of them.

What Does a Corporate Payment Card Mean?

A corporate payment card is a type of card issued by an employer to his/her employees for managing business-related expenses. They are generally available only to larger or established companies, meaning those with at least several million/billion dollars in annual revenue. To avail of a corporate payment card service, a concerned company must submit a federal tax ID and undergo a financial audit to qualify.

1. How Can Employees Use a Corporate Credit Card?

2. How Corporate Credit Cards Are Different From Other Business Credit Cards?

3. Are You Eligible For a Corporate Credit Card?

4. What Companies Should Know About Using Corporate Credit Cards?

5. What Users Should Know About Corporate Credit Cards?

6. Why do Businesses Opt For a Corporate Credit Card?

Now you know how significant these corporate credit cards are for both employees and employers. They are an effective way to keep a track of business expenses incurred by the employees and manage business expenses efficiently by the employees without having to spend their own money.

Read more: https://www.emeriobanque.com/blogs/how-do-you-qualify-for-a-corporate-credit-card

Advantages and Disadvantages of Letter of Credit in Global Trade

A letter of credit provides a financial backdrop to both the buyers/importers and overseas suppliers ie. sellers/exporters in cross-border trade transactions by ensuring that the payment will be made on time.

Before using an international letter of credit, it is important to consider its advantages and disadvantages. Let’s find it in detail:

What is a Letter of Credit?

A letter of credit is a legal document issued by a bank or a private institution guaranteeing that a buyer will pay the seller on time and for the correct amount of goods & services ordered. In the event, that the buyer defaults or is unable to pay, the issuing bank will compensate the full or remaining amount to the seller.

It is one of the most & frequently used global trade finance instruments in cross-border trade transactions used by sellers and buyers to avoid payment failure while importing and exporting. It is a highly customizable and effective form that can reduce credit risks. Let’s see how it works.

Read more: https://www.emeriobanque.com/blogs/advantages-and-disadvantages-of-letter-of-credit

All You Need To Know About Trade Finance Gap: Find Effects on SMEs

The pandemic has hurt trade and highlighted a requirement to make productive changes in trade finance service to bridge the gap in the number of those who need it and those receiving it. 

Recently, the USD 1.5 trade finance gap was reported by the Asian Development Bank in 2019 during the Covid pandemic. Besides this, the Manila-based multilateral institution’s latest Trade Finance Gaps, Growth, and Jobs Survey, included 79 banks from 43 countries and 469 firms from 72 nations. Its findings reveal the extent to which this trade finance gap is disrupting the full utilization of trade to facilitate growth, employment, and poverty reduction during the sudden outbreak of the global pandemic. 

All this data efficiently demonstrates the lack of accessibility of global trade finance instruments and the disproportionate impact of a lack of funds on emerging markets businesses, especially SMEs (small- and medium-sized enterprises). However, what trade finance gap exactly, why does it matter, and how can it be decreased or controlled?

What is the Trade Finance Gap?

The trade finance gap is the difference between the trade finance requests made by businesses around the world to empower sales of their goods & services and the actual amount of financial assistance that banks are willing to grant or able to provide. In other words, it is the difference between the supply & demand of trade finance services.

Read more: https://www.emeriobanque.com/blogs/trade-finance-gap-and-its-effects-on-smes