06 October 2021
Managing travel costs, keeping track of payments and controlling cash flow can be difficult when you don't know how much your construction business is spending on fuel costs.
There are many ways in which you can benefit from using a fuel card in business and the beauty of them is that they're highly transferable between different industries. This is possible as their application is universal, meaning that anybody can use them and enjoy a life with less business admin. One of the industries in which businesses can benefit from using a fuel card the most is construction.
As teams can travel several miles away to meet clients and complete projects, fuel costs can very quickly become out of control and affect your bottom line.
Allstar’s range of fuel cards can support your business and make the whole process easier for everyone involved. By using a fuel card, employees can easily pay for fuel, with the business being charged directly. This eradicates the need for hoarding receipts and working out how much staff need to be repaid. It also allows you to account for fuel costs in your monthly expenses, making for a smoother cash flow.
Benefits of fuel cards for construction businesses
If you're a business owner with a fleet of vans driven by a large number of employees, you'll understand the importance of managing operational costs and ensuring that every aspect is accounted for.
Having multiple staff each driving their own vehicles and filling up with fuel at multiple times throughout the day can create a financial nightmare in terms of tracking your costs. However, our fuel cards cut out the middleman and bill your business directly, meaning you know exactly how much the fuel costs and when the transaction was completed. This makes fuel management much easier and allows you to collate your own data on fuel usage across your entire fleet. This can help you streamline your fuel consumption and potentially even reduce costs moving forward.
As the business is billed directly, all transactions are compiled on one account, for easy management. There is also an option for flexible payment terms, helping you manage costs much more easily. This can also prevent multiple employees from overspending on fuel at once, which could potentially disrupt your cash flow or leave your staff out of pocket.
The chances of excessive spending are also reduced as a result of our fuel network, which you'll have access to as a result of using our fuel cards, meaning you can benefit from the most competitive fuel pricing on the market.
As a VAT registered business, you're entitled to claim back VAT on any fuel costs, however, you must be able to prove to HMRC that the fuel has been used completely for business purposes. Normally, this can be difficult if the correct receipts aren’t collected, but with a fuel card, the whole process is much smoother. With all fuel transactions in one place, your monthly fuel costs are consolidated onto one HMRC-compliant invoice, meaning you're ready and organised when it comes to claiming back VAT.
Employee benefits of fuel cards in the construction industry
Not only can fuel cards benefit the business as a whole, but they also offer direct benefits to the employees using them too. As an employee, if there is no efficient system in place for managing costs, it can become stressful trying to keep track of costs, especially if they have to pay for it out of their own pocket to be reimbursed later. Either the employee will be out of pocket until they are repaid or they will have to hold onto receipts to ensure the business can pay the correct amount. By introducing a fuel card, there is no longer any hassle and paying for fuel is as simple as it should be.
Fuel cards can also cover other costs too, such as bridge tolls or other expenses. Without fuel cards, employees may not be prepared for these costs, which can disrupt their journey, or force them to pay the toll on their own. This requires them to record their costs and have the business reimburse them, which again creates the hassle of keeping receipts or remembering the costs.
With a card that is already set up to cover these costs, additional travel expenses aren't an issue and as a business owner you’re able to look out for your employees and ensure they’re not left out of pocket.
Get your fuel card from Allstar
If you'd like to apply for one of our products or have any questions surrounding our fuel cards, you can contact our team directly by calling 0345 266 5101 or emailing via the contact form on our website with your message. Our team will respond as soon as possible and will offer as much assistance as possible. We're able to service customers nationwide, including clients from cities such as Manchester, Sheffield and Leicester, to name just a few.
Managing travel costs, keeping track of payments and controlling cash flow can be difficult when you don't know how much your business is spending on fuel costs.