How Small Businesses Are Using Credit and Smart Tools to Manage Cash Flow During Rising Costs

Keeping a business running smoothly isn’t easy—especially now. With nearly 80% of consumers pulling back on spending, small business owners are feeling the pinch from every side. Costs of supplies, rent, and utilities are rising. So, how are businesses staying afloat? More and more, they’re relying on credit tools, bundled services, and new tech to take charge of their cash flow in tough times.

Why Cash Flow Management Is Harder—and Why Credit Products Matter

Running a business is a lot like managing a household budget—just on a bigger scale. When customers buy less, money comes in more slowly. But bills, payroll, and rent still need to be paid on time. That’s why being strategic with credit tools can keep business operations humming even when cash is tight.

According to eCapital, 40% of small businesses applied for a loan, line of credit, or cash advance in 2022, up from 25% in 2021. The increase shows that many owners are using credit to cover day-to-day expenses and keep their dreams alive.

“Business credit cards give owners a revolving line of credit, flexibility, and a financial cushion for unexpected bumps in the road,” notes a money management expert at First Bank.

But credit isn’t one-size-fits-all. From business credit cards to working capital loans, different products fit different needs. Here’s why these tools matter:

• Business credit cards: Think of these as a safety net. They let you make large or unexpected purchases, track spending, and sometimes even earn rewards (like cash-back or points).
• Working capital loans and lines: These are like borrowing from the future when you need to bridge a gap—say, to pay suppliers while waiting for customers’ payments to arrive.

Recent solutions, such as American Express Business Blueprint, bring banking, credit, and cash flow tracking into one dashboard. That means fewer spreadsheets and less time juggling logins—all helping owners get a clear picture of their money.

Next Steps? If you’re running a business, start by reviewing what credit cards or lines you already have. Are you using their features—like rewards, multiple card numbers, or software integrations? Take thirty minutes to call your bank or check their website for updates, as many now bundle these features in one app.

Smart Tools That Go Beyond Borrowing: Bundles and Bill-Pay Tech

Credit can help in a pinch, but the real game-changer for many companies is the rise of bundled banking services and smarter bill payment technology. These tools can simplify financial chores—and even save money along the way. Leveraging tools that automate and organize payments can free up valuable time and reduce stress.

For example, platforms like Bill.com and American Express Business Blueprint let business owners schedule all their bills from one place, set reminders, and check their cash position instantly. You can often link these services with accounting software, making expense tracking much smoother.

“Consolidated services cut down on the time owners spend juggling multiple bank accounts, checks, and payment portals,” notes a spokesperson from Enterprise Bank & Trust.

Some of the newest tools don’t just pay bills—they analyze them. They offer alerts if your cash is running low, suggest when to pay to maximize cash flow, or help track which clients pay slowly. Some business cards now create digital card numbers for different employees or departments, making it easy to see exactly where your money is going. That means business owners can spot any leak in spending—fast.

It’s also becoming easier for businesses to manage everyday needs with bundled services. Instead of separate providers for payments, checking accounts, and loans, these platforms bring everything under one roof. This “all-in-one” approach reduces the chance of missed bills and can save on banking fees, too.

Looking to get started? Ask your current bank whether they offer any bundled tools or partnerships with fintech (finance technology) companies. Try linking your bank account with an expense-management service—even a free version—to get instant insights. Taking these small steps can make a big difference, especially when the pressure is on.

Pros and Cons: What To Watch For When Using Credit Options and New Tools

Credit and modern money tools bring a lot of benefits—but it’s important to go in with your eyes open. Always check the costs, terms, and your ability to repay before taking on business debt. Not every option will fit your business, so it pays to do your homework.

Here’s what to keep in mind:

• Pros:
  • Credit cards and loans can help smooth out cash flow during slow sales or high expenses.
  • Well-designed services save time by making bill pay, tracking, and reconciliation automatic.
  • Rewards programs on business credit cards offer points, travel perks, or direct cash-back, which can be reinvested into the business.
  • Online dashboards and bundled services show your business’s money health at a glance.
• Cons:
  • Loans, cash advances, and credit cards come with interest rates. If balances aren’t paid off quickly, the costs add up fast.
  • Some new tech platforms charge monthly fees, and not all integrate well with older accounting tools.
  • It’s easy to take on more debt than you can repay, especially if sales remain slow for longer than expected.

“It’s crucial to make sure you can afford a loan at today’s interest rates before signing on,” warns a finance author at Bill.com.

When deciding, compare not just the interest rate but also the ease of use, extra fees, and whether the service fits how your business operates. For example, if you’re a seasonal business, a line of credit may be more flexible than a standard loan. Look for product features like automatic payment options, rewards, and real-time spending alerts.

Next steps? List your top cash flow pressure points (for example, slow-paying clients or big inventory bills). Reach out to your bank or a trusted business advisor and ask which credit products or new technology tools might best solve your biggest worries. A little research upfront can help keep your business healthy and resilient, even when times get tough.