Australian fuel prices are skyrocketing, hitting their highest point in 3 years. If you own a company, you’ll know that rising fuel costs can be a MAJOR expense. Especially if you own company fleet vehicles. Fuel costs are not only unpredictable, but the processing of hundreds of fuel receipts can cause additional costs for admin staff.
The solution to this is simple.
They not only provide a more efficient solution for your business but save a significant amount of money too.
The concept behind fuel cards is simple.
You fill out a short application, enter how many fuel cards you need and that’s it! If you meet the criteria, you’ll be accepted.
Your employees can now use the fuel cards whenever they need to purchase fuel, with the costs being consolidated on one simple invoice at the end of each month. Think of fuel cards as a zero-interest credit card limited to fuel only.
Sounds easy, right?
Besides saving time, what are some of the key benefits of using a fuel card? Let’s discuss that below.
If I told you that I have a surefire way of saving your business money, would you want to know?
Of course you would! Every smart business owner works to try cut costs wherever possible to ensure the success of their business.
And if you haven’t already guessed, fuel cards can save money.
Keeping track of thousands of fuel receipts and fluctuating fuel prices can make for a tricky situation for your accountant.
Fuel cards solve this in one simple fix. With a monthly report that outlines exactly what is spent on fuel costs, budgeting and forecasting each vehicle becomes significantly more accurate.
Drivers record odometer readings while buying fuel, so you can track drivers mileage and identify problematic vehicles. Monthly fuel card reports can also help identify seasonal trends, which can be an invaluable tool for planning ahead and predicting accurate company cash flow.
Without fuel cards, your business setup might look something like this:
When fueling company vehicles, there are two options:
Both of these options are inefficient and require extensive work by both your admin staff and accountants to process and store receipts.
This is an awful WASTE of time and money.
Thankfully, fuel cards offer an easy fix.
Rather than processing thousands of individual receipts, your account receives one organised invoice. A fuel card simplifies the process of buying fuel, reduces money paid to your admin staff and is ultimately a safer solution for you and your drivers.
One of the many perks of having company fuel cards are the reward systems that come along with it. Many supermarkets offer loyalty programs and reward points every time fuel purchases are made using the card. These points can be used for grocery discounts and are a great way of giving back to your employees without additional financial outlay.
Small gestures like this can make a huge impact on your employees, resulting in increased work ethic, company loyalty and a reduced employee turnover.
When choosing the best fuel card for your business, it’s essential to consider any fees and costs that could render them more of a burden than a positive. By using our Fuel Card Comparison online calculator, you can compare the costs, benefits & terms of hundreds of fuel cards in seconds.
If you’re looking to save money and reduce your fuel costs, check out our blog post on reducing fuel usage.