A fleet fuel card is also known as a fuel card or a fleet card, it has many great benefits for small and large fleet operators. Fleet fuel cards provide an easy and convenient way for drivers to fill up their vehicles with fuel which the business pays for through a regular invoice which collates together all of their drivers’ fuel spend. Fuel expenditure is a large cost which cannot be avoided when running a business which operates using one or several vehicles. Drivers need convenient and easy ways to pay for fuel without having to use their own resources. Fuel cards offer just that, in this article we look at exactly how fleet fuel cards are able to provide benefits to fleet managers and drivers.
Fleet fuel cards provide convenience for businesses and drivers. Drivers have the benefit of being able to easily carry a method of fuel payment without needing to use their own cash or card. This is also very convenient for businesses, once they sign up for a fleet fuel card they do not need to worry about processing receipts, instead all of the driver fuel spend is collated into one easy payment which is managed online.
A fleet fuel card allows business to gain insight into fuel expenditure and driver activity. A fleet manager can view details of which driver has used their fuel card to fill up, how much they have purchased and the location of the petrol station they have used. This provides key insights into driver behaviour, routes and fuel efficiency. By analysing such data fleet managers are able to gain valuable insight which can be used to improve efficiencies and reduce costs.
A fleet fuel card provides savings for businesses who use fuel as part of their business operations. fuelGenie provides businesses with the opportunity to save by sending drivers to low cost supermarket petrol stations. fuelGenie can be used at Tesco, Morrisons and Sainsbury’s forecourts.
A fleet fuel card not only improves the accuracy of reporting but also helps improve the accuracy of tax reclaims. fuelGenie provides a single HMRC approved invoice for easy VAT reclaim. Avoid potential mistakes and issues when processing fuel receipts or analysing credit card spend with a dedicated fuel invoice. The invoice shows a comprehensive VAT breakdown which can be used to claim back VAT from the HMRC.
Fleet fuel cards provide the fleet manager with added control, drivers can be limited to buying only fuel with their fuel card and limits can be put in place. This provides additional safety and security measures for business. Other methods of payment such as a credit card could be used for personal purchases, this type of activity can be avoided when a business uses a fuel card.
A fleet fuel card isn't the only way a fleet can manage and pay for business fuel but it is arguably one of the easiest and most convenient options. Businesses can also use a credit card that is passed from driver to driver, this however can be dangerous, if abused the credit card can rack up a serious amount of debt. Credit cards also do not provide as much detailed data on where a driver is choosing to fill up and which transaction relates to which driver.
Another alternative solution is a pay and reclaim method of payment, this requires the drivers to pay for fuel themselves and claim back the cost. This requires far more administration and time spent on calculating payments from both the driver and the fleet manager. Drivers may also not be prepared to pay for fuel out of their own pocket. This method on the whole can get very complicated, if drivers are late at submitting receipts paying them back could cause a cash flow issue.
For more help and information with fleet fuel cards, take a look at our complete guide to business fuel cards. We have articles which span a range of topics and areas so you can make the best possible decision for your business.