would you consider the percentage benefit that you get from a credit card towards the net profit when purchasing
a drop ship online business?
Depending on your business you could theoretically include any cash back earned by purchasing with a credit card as a deduction to offset your purchase cost and therefore part of your profit margins. However, this can be difficult to track based on your buying patterns and potentially variable credit card rewards. You may want to find another way to account for cash back rewards, for instance by including it with rebates and other non-sale revenue items.
If you’re interested in earning cash back on business purchases, you should definitely check out our list of the best small business credit cards for cash back rewards here: https://fitsmallbusiness.com/best-cash-back-business-credit-cards/. You can find our complete list along with a breakdown of rates, costs, and rewards program.
Hope this helps!
You must be logged in to reply to this topic.
Not signed in?
Sign in to participate on our website!
315 Madison Avenue, 24th Floor
New York, NY 10017
Disclaimer: We spend hours researching and writing our articles and strive to provide accurate, up-to-date content. However, our research is meant to aid your own, and we are not acting as licensed professionals. We recommend that you consult with your own lawyer, accountant, or other licensed professional for relevant business decisions. Click here to see our full disclaimer.
Product or company names, logos, and trademarks referred to on this site belong to their respective owners.