Managing fuel expenses across a fleet of vehicles can be a significant challenge for businesses of any size. Whether you operate a small delivery service or manage a large transportation company, choosing the right gas card can help streamline your operations and control costs.
Use these proven tips and strategies to find the best gas card for your business.
What are fleet fuel cards?
Fleet fuel cards are specialized payment cards designed specifically for purchasing fuel and managing vehicle-related expenses. These cards typically work only at gas stations and some vehicle maintenance facilities, helping businesses track fuel expenses, mileage, and other fleet-specific metrics.
Unlike general corporate cards, a fleet card may provide more granular data about each fuel transaction, including the type of fuel purchased, price per gallon, and vehicle odometer readings. This specialized focus can be valuable for businesses that need to track fuel efficiency and vehicle performance closely, especially over large fleets of vehicles.
Are fuel cards worth it for small businesses?
For small businesses, the value of fuel cards depends largely on each company’s specific needs and operating model. While these cards offer detailed fuel tracking capabilities, they may come with monthly fees, network restrictions (so they can only be used at certain gas stations), or minimum purchase requirements that may not make economic sense for businesses with smaller fleets.
These hidden fees, restrictions, and requirements can also make it difficult to determine the true value of any business fuel discounts and/or rewards programs that the gas card might offer.
Small businesses should carefully evaluate their monthly fuel spending, number of vehicles, and geographic operating area before committing to a traditional fleet fuel card program.
In many cases, a more flexible business credit card solution might better serve small business needs while providing enhanced expense tracking capabilities.
How gas cards benefit your business
Under some circumstances, gas cards can provide significant advantages and save money for businesses that manage large vehicle fleets. Understanding these benefits can help you determine whether a dedicated fuel card program aligns with your business needs.
Improved fleet management
Gas cards provide detailed insights into fuel consumption patterns and vehicle usage. By tracking metrics such as miles per gallon and fuel costs per vehicle, businesses can identify inefficiencies and optimize their fleet operations. This data helps fleet managers make informed decisions about vehicle maintenance schedules and replacement timing.
Enhanced security and fraud protection
Fleet fuel cards typically offer robust security features designed specifically for vehicle-related purchases. Each card can be assigned to a specific driver or vehicle, with restrictions on the types of purchases allowed. Real-time monitoring and instant alerts for unusual activity help prevent unauthorized use and protect against fuel card fraud.
Efficient fuel expense reporting
One of the most significant advantages of gas cards is their ability to generate detailed expense reports automatically. These reports can include information about purchase location, fuel grade, price per gallon, and vehicle identification. This level of detail simplifies accounting processes and makes it easier to track and manage fuel expenses across the entire fleet.
Choosing the right gas card for your business
Selecting the right gas card requires careful consideration of several key factors that can significantly impact your business operations and bottom line. Understanding these factors will help you make an informed decision that aligns with your company's needs.
Card acceptance and coverage
Network coverage is crucial when choosing a gas card. Some fleet cards are limited to specific fuel brands or stations, which could force drivers to go out of their way to find an acceptable location.
Consider your operating area and ensure the card you choose provides adequate coverage where your vehicles typically travel—as well as coverage for other needs like food and lodging.
Flexible payment options
Payment terms and flexibility can vary significantly between different fuel card programs. Some require payment in full each month, while others offer various credit options.
Consider your cash flow needs and choose a program that aligns with your business's financial operations.
Customizable spending controls
The ability to set and adjust spending controls is essential for effective fleet management. Look for cards that allow you to set limits by driver or vehicle, and consider virtual card options for greater security.
These controls help prevent unauthorized purchases and ensure compliance with company policies.
Rewards and rebates
The rewards structure of a gas card can significantly impact your overall fuel costs. While traditional fleet cards often advertise high rebate rates, these may be limited to specific brands or require substantial monthly purchase volumes to qualify.
Consider whether the rewards program aligns with your actual fueling patterns and whether any program fees or restrictions might offset the benefits you receive.
Finally, evaluate all of the rewards that might benefit your company, not just fuel rewards. If you’re paying for expenses like meals and lodging on the road, a more general corporate card might offer better rewards overall for your specific needs and spending patterns.
The BILL Divvy Card as your alternative to fleet fuel cards
The BILL Divvy Card* offers several advantages over traditional fleet fuel cards:
- Broad acceptance anywhere that takes credit cards (not just gas stations)
- Real-time expense tracking and automated receipt capture
- Customizable spending limits for each driver or vehicle
- Virtual card options for enhanced security
- Significant rewards bonuses on restaurants and hotels
- Integration with major accounting software and ERPs
See why our customers love the BILL Divvy Card
“With BILL Spend & Expense, I can expand card usage myself—and with that kind of flexibility, I’m going to give everybody a card who needs one because I can control it. … BILL Spend & Expense ties together spending, receipt management, expense reporting, and the approval process all in one package. And it allows us to review more real-time information as we make decisions about the business.” — Protomet
“I have not seen a better platform yet for corporate credit cards that is both loved by the cardholders and the accounting team.” — Five Nines
FAQs about gas cards (fuel cards)
Here are quick, easy answers to some commonly asked questions about gas cards (fuel cards).
How do fuel cards differ from regular credit cards?
Fuel cards are specialized payment cards designed specifically for purchasing fuel and tracking vehicle-related expenses. While they offer detailed fuel purchase reporting, they typically have more restricted acceptance and may come with additional fees compared to regular business credit cards.
Can I control where and when fuel cards are used?
Most fuel card programs offer controls for purchase location, time of day, and spending limits. However, the level of control varies by provider. Some cards restrict purchases to specific stations or brands, while more general corporate cards that integrate expense management, like the BILL Divvy Card, offer broader acceptance with customizable spending controls.
What information do fuel cards track?
Fuel cards typically track transaction details, including purchase location, fuel grade, price per gallon, vehicle identification, and driver information. This data helps businesses monitor fuel consumption, track expenses, and identify potential issues or irregular spending patterns.
*The BILL Divvy Card is issued by Cross River Bank, member FDIC, and is not a deposit product.
