I’m a third-generation owner of a family business, Mammoth Roofing Services, a thriving, 30-year-old commercial and industrial roofing company with locations in San Angelo and Houston, Texas; Lake Charles, Louisiana; and Guaynabo, Puerto Rico. By taking care of our employees and vendors, and giving clients the best in workmanship, quality and customer service, we’ve grown more than 400% in the last two years and expect 2023 to be our best year yet.
Like other owners of fast-growing businesses, I’m always looking for strategies that can make our company more competitive. Two years ago, our Hancock Whitney banker proposed just such a solution: a purchasing card program.
A solution for T&E and Accounts Payable
Hancock Whitney issued purchasing cards to me and six other team members, which we use for travel and entertainment (T&E) and an array of general accounts payable (AP) expenses.
We use our cards to pay for things like equipment rentals, marketing, IT services, professional association memberships and building materials. We even use the cards to make tax payments. Our card transactions can range from a few dollars to tens of thousands of dollars.
Our Hancock Whitney Purchasing Card program allows us to issue fewer paper checks, which reduces our banking costs and fraud risk. It also eliminates the need for staff to pay for T&E expenses with a personal credit card and provides more insight and control into managing our business expenses. Our vendors get available funds faster too. And those benefits are just for starters.
Points well taken
One of the most exciting advantages of our card program is the rewards points we earn with each purchase. We can easily redeem points online or by phone for travel, merchandise, gift cards or cash back.
We redeem some of our points for employee perks and awards. Our employees are essential to meeting the standards we set for our business. Being able to give them something extra through our card program is not only very satisfying but also smart business.
These benefits incent us to use our cards whenever we can.
Valuable short-term financing
In today’s rising rate environment, the financial float and working capital boost we get from the program is more valuable than ever. This short-term financing benefit allows us to fund expenses like materials, labor and inventory until customers remit payment. We can get up to 55 days to pay for card purchases based on the 30-day billing cycle and 25-day payment terms.
Using the purchasing card to float upfront business expenses also allows us to extend the benefit of credit terms to our customers.
Easy to start and maintain
Setting up the program was easy. Using the Visa Supplier Match tool, Hancock Whitney helped us identify which of our suppliers currently accept card as a payment method and provided the tools to help engage our suppliers.
Paying for card purchases is simple as well. Our payments are automatically debited from our business account each month. That way we never have to worry about remembering to pay the bill and never incur interest charges or fees for late payments.
Our easy-to-manage Hancock Whitney Purchasing Card program is helping us reward employees and make their lives easier, pay vendors faster, and provide us with a working capital advantage. It’s a solution from our banking partner that’s helping us grow.
To learn more about the benefits of payment cards, complete the form below, visit www.hancockwhitney.com/payment-card-solutions or contact your banker.