The psychology of your business and managing it

Do you have a business? If you do, then managing your spending is a must know how skill. A business credit card is a must apart from your personal credit cards.

First of all, it separates your personal money from your business funds. It gives you the option to distribute business credit cards to your employees to keep track and control spending on all your business purchases. It also provides you with an annual report, detailing all purchases that are made on your account. This is a great help when reviewing your accounting and tax payments. More importantly, a business credit card can be used to temporarily fund a business and get it started without waiting for a bulk of cash to come in hand.

But one need to be warn of using multiple credit cards. Having a credit card can be a boon or a bane depending on how you manage it. With multiple cards, people tend to swipe unwisely. Maintaining a credit card helps meet emergencies and make online payments. However, it’s advisable not to keep too many credit cards just because banks provide them free of cost. It’s better to have one card if not two since it becomes easy to control expenses. This is a genuine advise from my financial advisor.

The most common mistake people make when they opt for a card is they don’t understand their credit profile, number of cards they need, the terms and conditions and how to handle the billing cycle. A credit card is an unsecured loan with a high interest rate. Unplanned credit card usage affects monthly cash flows adversely. If the due amount is not cleared on time one ends up paying unnecessary and exorbitant interest.

Certainly business credit cards are a convenient way to handle your business resources. A vital point to bear in mind always is that managing your finances requires self-discipline and a proper view of money. Using your business credit card to its full potential is up to you. Take advantage of all your privileges but never abuse them.

Remind yourself daily that money or a lack of it doesn't determine who you are. Your worth as a person has nothing to do with how much money you have. Once you truly believe this, and money is no longer connected to your sense of self-worth, you open up the psychological barriers that were keeping you from wisely handling the money you do have and limiting your ability to make more.

Right now, your unconscious limiting beliefs may be keeping you from being financially successful, but as you begin to build up your feelings of self-worth and develop a positive attitude about yourself and about money, you'll attract positive things into your life. As you do so, you'll feel less of a need to generate positive feelings by purchasing things, and you'll find it easier to stop buying items you don't really need.

There are hundreds of books, magazine articles, and Internet web sites about getting rid of credit card debt. Some of them offer sound advice about the psychological aspects of money and spending that you'd do well to consider. Working on the psychological aspects while taking steps to reduce debt will greatly increase your chances of long-term success.

Get more tips by reading inspirations books from Suze Orman and Olivia Mellan at Amazon.com,