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Bad Business Credit Cards

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Sometimes we call these ‘sacred cows'. These methods are essentially believed to be off limits to anything other than praise and adulation. These are the traditions that allow us to succeed in life and business. If there is a problem with our business it must be the result of something other than these ‘sacred cows'.



For those who believe in the value of these traditions or methods there can be a feeling that anyone who dares suggest a business problem is due to following one of these practices is out of their mind. They may even utter apologies on behalf of the offender to the ‘cow' of choice.

It may sound a little silly when you put it that way, but there really are practices in business that are difficult to change because they are so infused in the fabric of the entrepreneurial effort.

Every business owner needs to find a place in their business evaluation process where these sacred cows can be reviewed honestly and with a level playing field with respect to new ideas. If it is truly a superior idea you should be able to explain why? It the ‘cow' is no longer superior you should be able to graciously concede the passing of an era.

The problem with these ideas is that they outlive their effectiveness on one hand and yet live on as a supreme standard to which no other idea can be compared. The overall judgment is never fair because the ‘cow' is only viewed with rose-colored glasses. Change can really only come when the business owner agrees that even the best ideas can be kicked to the curb if it is no longer working for the overall benefit of the company.

There is nothing wrong with tradition, but when tradition clouds reasonable judgment it becomes a detriment to the advance of your business.

If your immediate response is to consider a business idea as untouchable it may be that this idea is the first in which you must honestly review the merit and benefit. This can be very hard, but vital in establishing a precedent of forward thinking.

The reason ‘sacred cows' are so easy to honor is there is no guesswork involved. The idea has been established and if there has been even a modicum of success using the idea then it may seem rational to resist upsetting the applecart.

Many businesses rely on the, ‘If it ain't broke don't fix it,' rule. The problem may be a slow business leak that gets faster with each passing day. You work around the problem, but you're still able to do business. You see there is a fear of what it will mean if you do the necessary, but difficult job of trying new ideas that may or may not be as successful as a failing ‘cow' technique.

When you exist in this state you are unintentionally suggesting that your business isn't worth fighting for. Loyal customers may leave and new customers will be hard to find – all that remains are aging business bovines.

Have you reviewed your ‘cows' lately?
Bad Business Credit Cards
Recent research shows that small, medium and large companies have had many bounced cheques. Micro companies, with less than 10 employees, have been less affected.

One way in which this can happen is when someone pays a business by cheque for goods or services. The business pays it into their bank. The prudent business owner checks that the cheque has cleared and writes out new cheques based on the money that is in the business bank account. It later turns out that the cheque hadn't cleared at all and the business owner is now overdrawn and in debt. This means steep bank charges and makes it less likely that business facilities will be extended in the future.

Understanding The Cheque Clearing System

Most people know that a cheque takes anywhere from three to seven working days to clear. The date that a cheque clears depends on:

1. The currency that the cheque is in. Sterling cheques in the UK clear more quickly than cheques in French francs, for example.

2. Whether the bank that has issued the cheque is in the same group of companies as the bank the cheque is being paid into. Cheques usually take longer to clear when paid outside the banking group.

3. Whether the cheque is paid in on a business day.

What most people don't know is that most banks 'clear' cheques when the normal clearing period has elapsed. This sometimes happens before the bank has verified that the funds are available. The bank makes the amount of the cheque available for withdrawal but it hasn't really cleared.

Some unscrupulous people can use this to their advantage. For example, they could pay by cheque for goods or services, write the wrong amount on the cheque, ask for a refund and disappear with the money well before the cheque clearing process is complete. When the original cheque bounces, it is the small business that is left facing an angry bank manager and a large bill.

Payment Help For Businesses

Luckily, there are other ways for businesses to receive money from their customers. The first is the Banks Automated Clearing System (BACS). This is a secure system in which payments take only three days to clear. This system is commonly used to pay salary cheques directly to employee's bank accounts.

A more costly system (with fees around ?25 per transaction) is the Clearing House Automated Payment System (CHAPS). This system allows same day electronic money transfers.

Business owners who are worried about being left with a large debt should consider getting their customers to pay by one of these systems where possible. This will reduce the high business cost of bounced cheques.
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Air Travel Luggage Restrictions
On the other hand you should buy smaller hand-carry luggage instead, which will provide more flexible and comfort
 
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