Best Use Of Business Credit Cards: Networking Monday!!
Peace Family: Thought I'd share this info. I have actively been networking with folks looking at fix n' flips and facing the same challenges many of us do when it comes to funding the rehabs. Hope this is useful... Love n' Light to our community. π¨π¨π¨Make Sure You Use Your Business Credit Cards de Right Way π¨π¨π¨ . Over the past 13 months, we've had the privilege of helping many fix-and-flip business owners secure 0% interest capital for their LLCs. Through this journey, I've learned some valuable lessons that I believe can greatly benefit our community. . π₯ Real Estate Entrepreneurs: A Guide to Proper Use of Business Credit Cards . When we first receive 0% interest business credit cards (BCCs) for funding our ventures, it can be both exciting and daunting. Many of us feel a bit lost on how to best utilize this newfound capital. It's essential to understand that to make the most out of these cards, we DON'T need to liquidate them (convert them to cash) to lend or use for our real estate businesses. . βββ The Wrong Turns:βββ Let me share a few stories about the mistakes some of us have made, so you can avoid the same pitfalls: βThe POS Pitfall: One of our fellow entrepreneurs tried using his own Point of Sale (POS) system to liquidate his business credit card. Unfortunately, this is considered fraud by most banks. His bank detected the activity, canceled his card, and he lost the 0% introductory offer. It's a risky move that almost never ends well. βThe Casino Cash Trap: Another business owner thought he could outsmart the system by buying chips at a casino and then cashing them out. He ended up paying over 15% in fees, which ate into his capital significantly. It was an expensive lesson that we can all learn from. βThe Cash Advance Quagmire: Some tried using apps like Venmo or Cash App, or even ATMs, to get cash. These methods are treated as "cash advances," and most BCCs only offer 0% interest on new purchases, not cash advances. This mistake can lead to hefty fees and higher interest rates.