 the channel. If you haven't yet make sure you subscribe to stay up to date with all the content that we put out on a regular basis. So if you want to get in contact with me to discuss or talk about your business there's two ways that you can do that. First one if you visit my calendar link in the description of this video you can book a free 15 to 20 minute call with me and we can get on the call talk about your business and I can show you some actionable steps to take this week to grow your business or if you would rather just send me a question then you can email me to makemoneycoachingsportsatgmail.com. I check my emails every single day so I will respond to every email that comes my way. So today I want to talk about credit cards. Now over the last couple of weeks I've spoken to a lot of coaches who are at a point now where they're looking to grow their business and expand it. Now something that a lot of coaches start to do once they start to scale is they look for credit. A lot of them look to start using business credit cards. So personally in my business I've never used a credit card and that isn't because I don't want to it's just because I've never had the need to use a credit card. My mentality has always been to sell, sell, sell and to drive revenue into the company and as that's worked at this point I've never had to go out and use or get a business credit card to expand and to grow the business. Now what I want to share with you is ways that business owners are currently using credit cards and why using a business credit card is can become a disadvantage and can hurt your business in the long term. Now again there are a lot of advantages to using a credit card and if you're very smart with it it can help to grow and expand the business but what I have noticed and doing a lot of research in this industry is that a lot of trainers don't know how to manage their money let alone use a credit card to their advantage right to grow their business and use a credit card responsibly. So I want to share with you three things that I know will help you. It will increase your awareness and if this is something that you have been thinking about then it might put you off but what I want you to do is I want you to expand your mindset into looking at the positives when I'm going to share with you the disadvantages okay. So when I tell you a disadvantage I want you to think in your mind right how can I turn that into a positive so I can use the credit card or I can use credit to my advantage to grow my business. Now what I would recommend is once you finish watching and if this is something you want to talk about or to get more specialist knowledge on then I would definitely recommend getting in contact with someone that is an expert in finances okay. So I'm going to share with you the very basics of the risks involved in using a business credit card but I would like you if this is something you want to do to grow the business then speak to a financial advisor or a financial expert and they will be able to guide you in a better direction okay. So first disadvantage of using a business credit card is it can be expensive. Now some coaches what they do is over time they build up great credit and when they go to their bank to get out a credit card for their business right they normally accept it. They get accepted and sometimes depending on what type of credit card there might be a limit to ten thousand dollars there might be a limit to fifteen thousand dollars it might be twenty thousand okay. It depends how good your credit score is will depend on how what your limit for a business will be right. So what sometimes happens is because you're getting out a business credit card sometimes the amount you can spend is going to be higher than a personal credit card okay. So a personal credit card the limit might be five thousand dollars if you get a business one it might be more it could be fifteen k it could be twenty k etc right because it's it's normally seen as the as to grow and invest into the company okay. So what tends to happen though is coaches when they see twenty k when they see fifteen k when they see twenty five k the temptation to spend it becomes big right because ultimately what you have with you is you've got a card with kind of unlimited amount of money to spend. So what coaches start to do they start to buy things for the business it might be equipment it might be they start to spend money on advertising on promoting on buying new merchandise and what they start to see is that yes it gives you that that opportunity to invest into your business but when you start to pay off it or when you start to pay it back it does become expensive right and credit cards are expensive depending on what interest rates you get for that credit card. So ultimately if you spend five k of credit on your card you will be paying back seven or eight k in return right. So when you finish off paying it all back you're going to pay back more than what you actually spent okay. So ultimately it's going to become more expensive in the long term in the short term it helps because you can invest in small things such as equipment such as marketing advertising buying new training gear etc but then in the long term when you have to start to pay that credit card off okay it does get expensive and you're going to pay more than what you actually used okay. So number one the disadvantage is ultimately it is expensive to use a business credit card right. Second one is it can lead to temptations right. As I mentioned at the beginning most trainers in this industry are number one very very bad at organization and number two they're very bad with their finances but most coaches don't know how to spend and invest into their business. So when you have someone a trainer which is bad at money management bad at organization bad at financial discipline and you're giving them a credit card with five ten twenty k to spend the temptation to waste that money and to blow it on stupid things is huge and I have seen it where coaches have spent money that they don't need to spend on and what's like ultimately happened is that instead of spending money to make money back so instead of investing into marketing advertising which you're going to hopefully get a return back on your investment coaches are spending money on gear or equipment that ultimately doesn't make money back for them. So what ends up happening is they're spending money on on stupid things and those stupid things aren't creating revenue back into the business. Okay so ultimately what you want to do is if you do use your business credit card you want to use it so that that money is generating or creating revenue back into your business. Okay but again if if a trainer is bad at financial discipline if they're bad at money management if they don't know how to track their expenses their income then what chances do they have of using a business credit card responsibly. The chances are very low so a disadvantage is that there's a lot of temptations to waste and blow money on a credit card. Okay now the third one is it does take a lot of time to apply for a business credit card and sometimes it can become very time consuming. So when you apply okay the process isn't a quick one. Okay ultimately the the bank is going to ask you a lot of questions they're going to do their their research on your business okay and all of that consumes a lot of time and what I've seen a lot of coaches do is that they don't invest their own time into finding ways to grow the business instead what they do is they're waiting for that credit card application to go through and then they start to work on the business of getting new clients. So a typical credit card process can take between three to six weeks until it's all processed accepted and you you receive the card so it is very very time consuming and if you are waiting three to six weeks on an application also you're wasting money and time where you could have spent that elsewhere to grow and scale your business to get more clients or do some more prospecting generate more leads okay put on more free training sessions for for for clients instead instead what coaches are doing they're waiting three to six weeks and then they decide right once I have that credit card then I'm going to invest into branding marketing advertising okay and it's all time wasted okay so again if this is something you want more help talking about I am not a financial expert okay but I have spoken and I have worked with coaches who have used business credit cards before and I can tell you and I can share with you some of their experiences and some of their obstacles that they have faced using those credit cards but if you do want to and if you want to use one in the future then what I would recommend is go and talk to a financial expert who will be able to lead you in the in a better direction and give you more financial advice on the benefits and the disadvantages of using a business credit card okay hopefully this video has helped you if it has make sure you subscribe to the channel to stay up to date with the latest content that we're putting out and if you want to speak to me if you want to jump on a three 15 to 20 minute call to talk about your business you can do that as well visit the cannelly link in the description okay you can book your call there or if you want to send me an email with any questions with regards to what I've discussed you can do that as well send it to make money coaching sports at gmail.com thank you for watching and I'll see you on the next video