Did you know you could earn a free trip to Europe, Hawaii or another destination daily? I recently spoke with Eli “The Travel Guy” Facenda, founder of Freedom Travel Systems, Austin, Texas, about maximizing credit card points and perks through business purchases. While earning credit card points may not be top of mind with the other aspects of running a business or managing a project, it doesn’t take any more work to earn perks that can benefit you and your employees outside of work.

Think about what day-to-day expenses are already going on a credit card. Maybe these include utilities such as internet and cellphone service. Perhaps fuel for vehicles, or business meetings such as lunches with prospective customers. You might even pay for materials or equipment rentals with a credit card. For many people, using a credit card for these purchases is out of convenience, making it easier to track receipts and giving a 30-day grace period before payment is due.

Travel perks

For some, travel is a part of work life. You travel to meet with customers, check on out-of-town projects or attend meetings and conventions. For others, travel is to get away from the daily grind for a while, to relax and recharge. Maybe you travel regularly and the last thing you want to do is get on an airplane or sleep in another hotel, but your employees might like a few days away from home. Wouldn’t the three-hour layover be more enjoyable in an airport lounge than battling for an outlet to charge your phone in the uncomfortable seats by the gate? How about more legroom on the flight home after a week on the road at meetings? I know firsthand that these perks can help make traveling less of a drag and more enjoyable.

During my conversation with Facenda, I learned that getting started earning points, upgrades and free trips is easy. Even if travel isn’t your thing, your credit cards might offer several other perks, such as cash back, points that can be redeemed for merchandise, gift cards and other discounts. Facenda said the key to finding the right card is to maximize points based on spending habits. For example, finding a card that offers a five-times bonus on fuel purchases is better for a business owner than one that offers a bonus on grocery purchases.

He also suggested that, when shopping around for a business credit card, look for those that offer bonuses upon sign-up or after spending a certain amount. These cards can help you get to free travel faster.

One question I had for Facenda was whether it is better to use personal or business cards for company purchases. His recommendation is to always use a business credit card. One big reason is that there is no effect on your personal credit, and it helps maintain separation between business and personal expenses. He also mentioned that most business credit cards maximize point multipliers for categories related to such purchases.

Getting started

I asked Facenda what the best way is to get started earning points and maximizing perks. He recommends first looking at what you want to accomplish with the points. Is it earning free travel and upgrades, or cash back? While cash back rewards can be used for any type of purchase, the “cash back point currency” has less value per dollar spent when compared to travel rewards. In other words, you aren’t getting the same bang for your buck.

With travel rewards, Facenda said you need to look at how to leverage your credit card points and loyalty programs with airlines and hotels to maximize rewards. He explained that the goal is to achieve top-tier status to cash in on all available perks. When you reach top tier status, you receive upgraded rooms for the price of standard rooms and complimentary upgrades to business or first class on flights. Facenda also shared how, by converting credit card points to airline miles, he could fly first class round trip to Europe for less than buying an economy ticket.

While there is more to learn about maximizing the points we can earn using credit cards for daily business purchases, Facenda shared some great tips for getting started. My takeaway is that if you are paying with cash or check, why not pay with a credit card and get some additional benefits? Then instead of writing multiple checks each month, write just one to the credit card company, and always pay off the balance so you aren’t accruing interest. You can find more tips from Facenda online and at @elitravelguy.

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