Should your company take a corporate credit card?

Cards make subscriptions, travel and online spend simple. The question is who carries the liability, and how you control spending with a thin team.

Hands typing on a laptop showing a spreadsheet

The short answer

  • Bank corporate credit cards usually need a credit assessment. New companies are often asked for a director's personal guarantee or joint liability.
  • Spend cards from payment platforms are funded from the company's balance, so there is no credit and usually no personal guarantee.
  • Issue one card per person or per purpose, with limits, and never share a card.
  • Connect cards to your accounting software so receipts and coding happen automatically.

Two kinds of company card

Exhibit 1
Two kinds of company card
Bank corporate credit cardPlatform spend card (prepaid or debit-style)
CreditYes, monthly statementNo, spends from your balance
LiabilityCompany, often with a director guarantee for young companiesCompany balance only
ApprovalCredit assessment, track recordUsually quick
ControlsLimits per cardholderPer-card limits, merchant locks, instant freeze, virtual cards
Best forLarger travel and supplier spend, building a banking relationshipSubscriptions, ads, team expenses, online tools

When to take one

  • Yes, when staff incur regular expenses and reimbursements are becoming a burden.
  • Yes, for software subscriptions and ads, through dedicated virtual cards.
  • Wait, if the bank wants a personal guarantee and you have no strong need for credit. A spend card does the job.
  • No, for anything that should go through a purchase order and an invoice.

Controls that work with a thin team

  • One card per person or per vendor, never shared
  • Monthly limits per card, merchant locks where available
  • Receipts captured by photo at the time of spend, matched automatically
  • A written policy: what may be bought, and who approves exceptions
  • Cards cancelled on the employee's last day, and on the access register

Accounting and GST on card spend

  • Receipts are not always tax invoices. A GST-registered company can only claim input tax with a valid tax invoice, so set the receipt app to capture the supplier's GST number.
  • Overseas subscriptions: many foreign software providers now charge Singapore GST. A GST-registered company should give them its GST number where the provider allows it, and account for the GST correctly.
  • FX fees: card spend in foreign currency carries a conversion margin. Large recurring USD subscriptions may be cheaper from a multi-currency account.
  • Personal spend: any personal item on a company card should be repaid at once and recorded. Left alone, it becomes a taxable benefit or a director's loan.

Questions people ask

Should a new company take a corporate credit card?

Only if it needs credit. Banks often ask young companies for a director's personal guarantee; a spend card funded from the company balance usually avoids that.

Talk it through with an adviser

Tell us your structure and deadlines. We reply with what applies to you and a fixed-fee proposal.

Sources

  1. Aspire help: Paying Singapore government bodies from an Aspire account (secondary source)

General information only, last reviewed 11 November 2026. It is not advice for your situation. Laws and practice change, and the official sources linked above prevail. Speak to a qualified adviser before you act.