What exactly is a fleet card anyway?
February 20th, 2008There are so many different types of fuel cards these days, that it can be difficult to determine which one is best for your company. There is often some confusion around what a fleet card is and what it does, and how it could be of benefit to your business.
Explaining fleet cards
Essentially, a fleet card is a corporate gas card. Now, that doesn’t mean that they’re only applicable to Presidents and CEOs of major corporations. In fact, fleet cards are beneficial to any organization that owns and operates a fleet of vehicles.
What do fleet cards do?
A fleet card helps an organization keep track of their operating expenses, and since gas prices often fluctuate, it allows them to budget their variable costs more effectively. In addition, companies can be assured of more security, as they are able to place security controls on the card which makes drivers accountable for when, where and how they purchase fuel. Furthermore, a fleet card can help an organization manage their fuel expense budget, because by using a fleet card, they no longer have to deal with the hassle of employee reimbursement and cash transactions.
Fueling transactions
Eliminating employee reimbursements by using the fleet card helps protect companies against fraudulent fueling transactions. Your employees can no longer request reimbursement for an expense and claim a lost receipt. If you adopt a fleet card program for your company, you’ll be able to go through a wide range of fuel management options and choose which are most suitable for your business. So, if you need stricter controls on the cards, you can choose that.
Fleet cards also come with a wide variety of reporting options. Your company can choose to get maintenance and vehicle reports, (which will help you schedule and budget for vehicle repair.) You can also get account activity and summary reports so you can track total expenditures for your company. All in a convenient package, without the irritation of dealing with reconciling your balance sheet with missing receipts and with unexpected and unexplained costs.
How do fleet cards work?
Simply decide which options are best for you, issue cards to your employees and enjoy the freedom of a stress free operating structure.
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