• Scotiabank Now Offers Cash Back Credit Card For Small Business Owners

TORONTO, May 9, 2013 /CNW/ - With spring in the air, it's time for small business owners to review their balance sheets and find opportunities to improve the life blood of their business: cash flow. Scotiabank has now launched the Scotia Momentum^® for business VISA*card, a credit card designed exclusively for small business owners that includes up to 3% cash back on eligible business purchases and recurring bills, 1% cash back on all other eligible business purchases, and an extended interest-free grace period of at least 25 days on purchases.

"Successful entrepreneurs know that while their business may be profitable, cash is still king when it comes to growing their enterprise," said John Roberts, Vice President for Small Business at Scotiabank. "Putting a solid cash flow plan in place gives entrepreneurs control of what flows in and out, and a credit card that gives you cash back rewards for your business purchases, and an additional 4-day grace period, provides strong new options that can help bolster cash reserves and ensure your business can prosper."

Scotiabank offers five tips for making the most of your cash flow:

1. Understand Your Business Situation: Cash flow is an essential aspect of your business and its future success. You need a full picture of the factors that will impact your cash flow - including sales volume, payment terms, and business expenses. Scotiabank offers a Scotia Cash Flow for business Tool that can help you assess your current cash flow and create projections.
   
   
2.  Be Prepared to Adapt: Your cash flow projection is something that will constantly evolve. Keep your accounting records up to date and create cash flow reports frequently to see what the impact of the changes could be. Whether you are expecting your cash flow to grow or shrink, knowing any change in projected cash flow gives you the time to create a financial strategy.
   
   
3. Identify Your Cash Flow Killers: Every business is going to have expenses, but there are methods to keep them under control. Regularly review your expenses and suppliers to look for ways to lower costs. For example, negotiating with your suppliers for early payment discounts or extended penalty-free payment terms. Using a credit card with an extended grace period can be an effective way to slow the payment process.
   
   
4. Take Advantage of Cash Flow Boosters: Consider loyalty credit cards that reward you for your everyday business transactions like purchasing office supplies, entertaining clients at restaurants and filling up at the gas station.  Even small savings can add up to a large cash reward at the end of the year that you can reinvest into your company.
   
   
5. Avoid Unnecessary Expenses:  Take advantage of credit cards that include a comprehensive suite of insurance benefits including travel insurance, rental car collision, and purchase security and extended warranty for you and your small business so you don't have to make an extra payment every month.
   
   

"With the growing popularity of rewards cards, we saw an opportunity to create a credit card for the unique needs of Canada's small business owners," said Jennifer Douglas, Vice President of Credit Cards at Scotiabank. "In addition to getting cash back on their everyday business purchases, small business owners now have at least 4 more days to free up that all-important cash flow with the extended grace period of 25 days available with the Scotia Momentum for business VISA card."

Please refer to the Backgrounder for more information on the features of the Scotia Momentum for business VISA card.

Canadians interested in learning more about the Scotia Momentum for business Visa card can visit their local Scotiabank branch, call 1-888-660-6161 or go to www.scotiabank.com/cashbackforbusiness.

About Scotiabank

Scotiabank is a leading multinational financial services provider and Canada's most international bank. With more than 82,000 employees, Scotiabank and its affiliates serve some 19 million customers in more than 55 countries around the world. Scotiabank offers a broad range of products and services including personal, commercial, corporate and investment banking. In December 2012, Scotiabank became the first Canadian bank to be named Global Bank of the Year and Bank of the Year in the Americas by The Banker magazine, a Financial Times publication. With assets of $736 billion (as at January 31, 2013), Scotiabank trades on the Toronto (BNS) and New York Exchanges (BNS). For more information please visit www.scotiabank.com.

BACKGROUNDER: Scotia Momentum^® for business VISA* card

Feature highlights:

• 3% cash back on purchases at gas stations, restaurants, and on office supplies and recurring bill payments up to an annual maximum purchase amount of $50,000. 1% cash back for purchases within these business categories that exceed $50,000. 1% cash back on all other eligible purchases.
  
• Maximize cash flow with 4 more days added to the traditional 21-day interest-free grace period for a total 25-day grace period on purchases, provided balance is paid in full by the payment due date. Cash advances, balance transfers and credit card cheques are excluded.
• Card holders can access www.scotiabank.com/cashbackforbusiness to help with the tracking and reporting of business expenses for tax filing, and keep business expenses separate from personal expenses.
• Insurance features relevant to small business owners such as: Travel Emergency Medical Insurance; Rental Car Collision/Loss Damage Insurance; Purchase Security and Extended Warranty; Commercial Creditor Life Insurance (optional).
• An annual fee of $49 and a $29 annual fee for supplementary cards.
  
  

SOURCE: Scotiabank - Products & Services