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Mike M
05-08-2008, 05:04 PM
my cpa wants me to chose between credit card or checks, just wondering what others prefer for business purchases???

Eden Lights
05-08-2008, 06:04 PM
Checks, Checks, or Checks. 3% Surcharge for Credit Cards. I did offer to take a $2500 gift certificate for a down payment from a local restaurant yesterday.

Chris J
05-08-2008, 06:10 PM
What kind of problem does your CPA have with your using both? What's the big deal?
I use checks and debit card mostly, but I'll use a credit card for the protection it provides should you have a discrepancy with your purchase.

Chris J
05-08-2008, 06:12 PM
You do know that it is illegal to place an up-charge for the use of credit cards. You can offer a discount for cash, but you can't raise the price for the CC use.

Lite4
05-08-2008, 06:14 PM
I think he is talking about purchases here for his own record keeping. I am going through the same thing here as well. I am going to checks. It is easier to track.

Mike M
05-08-2008, 07:11 PM
Yeah, Tim got it.

He wants me to choose one or the other for purchases, something to do with duplicate receipts, etc., and easier book keeping.

He says if I pick one, ultimately I won't need paper receipts. This would make my life easier.

I like checks, since I can make notes on the stubs.

Advantages for cc include that I order my lighting materials by phone. Also, I can run into any hardware store or irrigation store or electrical store if I need something in the middle of a job, plus I'm still doing other landscape services this year and I need equipment parts, supplies, etc.

Not to mention gas purchases, or if I go out of town for training, etc.

I really don't buy a lot, so it doesn't really matter now, but I'm sure it will as my biz grows.

Eden Lights
05-08-2008, 10:01 PM
Sorry, I should have read this a little closer, Duh!

INTEGRA Bespoke Lighting
05-08-2008, 10:43 PM
I use a Visa Card with an awesome travel awards program for about 90% of all my biz purchases... The points send my family on an awesome vacation every year. The accountant has NO issues with this at all and processing bills is a snap for me as I have one payment a month to make.

Just be organized and keep every receipt. Then produce a report on excel each month, attach the receipts and pay the card off. Hand the envelope to the accountant. Done.

My main vendor even extends a 6% discount off my net pricing if I pay with my Visa... even more cash in my pocket.

Enjoy your vacation.... it is free!

Pro-Scapes
05-09-2008, 09:43 AM
amex gold and platnuim here. Gold is for everyday purchases and stock orders. Platnuim is used when it may not be something I will be able to pay off in full each month like new equip. Only issue is not everyone takes amex.

I do write checks still to my local nursery then enter thoes into quickbooks and save the recipts.

Mike M
05-09-2008, 12:19 PM
Billy, do you keep receipts for the credit card, too, or just the statements?

A lot of my receipts end up wet and muddy and gone.

seolatlanta
05-09-2008, 05:37 PM
Mike

The bigger banks have a business debit VISA or MC that comes straight out of the account. That way your accountant doesnt have to keep up with it in the books, it all comes out of the business account and it is very easy to assign funds as expenses , materials, etc.