How Can Fleet Fuel Cards Benefit Your Business?
Over the last decade, American trucking companies have been facing higher operating costs than ever. From every single dollar, about 95 cents is spent on trucks maintenance, services, repairs, fuel costs, paperwork and documentation and about only 5 cents are clear profit. The low profitability is one of key reasons fleet owners/managers are looking for new strategies to reduce costs. Thanks to fleet fuel cards, they can now better manage at least one of the major expenses associated with running a trucking business – fuel.
The days of desperately looking for a way to save money and have better control over employees are over. Chances are that you’ve heard a lot of good things about fleet fuel cards that boost profit for many small, medium and large businesses but, you don’t know where to start and if they are the right fit for your company. If you’ve been thinking about it for some time, first you need to better understand how fuel cards work and how they can benefit your business. Fleet fuel cards can help improve fuel efficiency and prevent fraud by tracking and verifying each and every single fuel fill up.
With the technology advancing at an incredible pace, it has become much easier for fleet managers to keep track of fuel use. Aside from the obvious advantage of saving money on fuel, fleet fuel cards can benefit your business in many more ways. Using fleet fuel cards allows fleet managers and owners to receive real time reports and get information about any single expense made. To help you decide if fuel cards are the way to go, we’ve listed 6 great reasons why you should.
Save Money at the Pump
As we mentioned above, trucking companies barely make 5 cents of profit for every dollar, which is utterly unsatisfying. Using fleet fuel cards small business owners can save money at the pump, as by making a deal with a fuel cards services providers, you’re joining a community of truck drivers that benefit from using fuel from approved, high-quality providers. Most fuel card providers work with the brands that provide the lowest fuel prices with the only goal of benefiting your business. By filling up the tank at the lowest fuel price, you can save about 12 cents per gallon. Doesn’t sound much like saving? Just total up the gallons of fuel you used in a month and calculate how much have you saved.
Ensure More Thorough Analysis and Better Control
When drivers need to fuel up, they can fuel up. However, fleet managers need more than a receipt that can easily be forged. Unfortunately, we live in a world where theft and robberies are quite common, so being too careful is not a bad idea. Actually, it’s a great idea and thanks to fleet fuel cards, fleet managers can now have a plenty of data to analyze their employees’ expenses. Fleet managers can find out what kind of fuel they’ve purchased and how many gallons they’ve purchased in each transaction. Knowing where every gallon of fuel is going makes it impossible for an employee to steal.
Cut Unnecessary Labor Cost
Before this revolutionizing solution, drivers were required to get fuel receipts for every transaction and fleet managers used to pay accountants to make a report for each driver every month. With the fleet fuel cards today, you can cut this unnecessary labor costs and let your drivers focus on their primary job. Since they allow online account management, fleet managers have all the information on a single touch.
Most fuel cards providers give discounts to their customers to further stimulate trust and business growth. Whether small or large, every trucking company can benefit from discounts, even if it’s as small as 2%. When you total up the numbers and calculate savings for one gallon, it’s not going to be that small. Also, most fuel card companies keep you updated with the latest promotions, best deals and discounts via SMS, calls, or e-mails. This saves the drivers time in planning routes and saves cash on choosing the lowest fuel price.
Drivers will no longer have to waste time getting in stores to pay for the fuel. They can make their payments outside at the gas pumps by inserting their fuel cards in an ATM. A fleet fuel card is very similar to a credit card: you insert it in, enter the PIN and off you go. Also, drivers will no longer have to carry a lot of cash with them and be at risk all the time. These cards are incredibly convenient.
Cut Down the Paperwork
If the previous 5 steps didn’t convince you to start looking for a fleet fuel cards small business provider, this one definitely will. It is so easy to let paperwork build up, unless you’re using fuel cards and there is no paper to build up. Sorting out all the documents can give you a headache, nevertheless, it is important to have all the paperwork done on time. With fleet fuel cards, you can get a single invoice from your fuel card company and check all the data you want online, while saving yourself the time for more important matters.