For small business owners and start-ups, rental costs are one of the largest overhead expenses incurred each month. Office spaces and small business establishments rental cost can be as high as Rs 200 Per square feet in a city like Mumbai and if footfall is essential for your business you may end up paying a premium for prime business spaces.
The cost of office rent in Tier 1 & 2 cities also remains more expensive as compared to the rest of India, averaging at Rs 1-1.5 Lacs per month. That is a lot of cash over the course of a year, especially for fledgling businesses or those that are seasonal.
So, what exactly is the answer to such a problem?
Pay Rent Using Credit Cards!!
Yes, I know you might be wondering, why in the right mind would I use a debt instrument to pay up my rent?!, but what if I tell you that your Credit Card is a blessing in disguise for all your rental and business needs? Sounds unrealistic, right?
Well let me explain you, the benefits,
First of all, whether you're juggling the finances as an individual or for a business, using your Credit Card to pay your monthly rent means you get to earn rewards on your Credit Card, while freeing up cash on hand for other expenses or even business growth.
By making your rent payment from your Credit Cards you could be earning enough miles for your next business class trip at less than half the price! Not a mile chaser? Well your Credit Card has got your covered, by simply switching your rent payments to a Credit Card you can unlock rewards and cash backs to get immediate savings on this large, recurring payment!
Secondly, if you already own a Credit Card, you already have a pre-approved line of credit, using this pre-approved limit to free up your cash may be a prudent decision for small business and early-stage start-up owners, for whom every dime needs to be accounted for.
By paying your rent with a Credit Card, you can also free up your cash for your monthly working capital requirements, allowing you to open up more capital to focus on other growth or expansion plans. By putting your rent payment on Credit Cards, your landlord gets paid on time, while you only have to pay up to almost 2 months later when your card bill is due.
In most cases this humble Credit Card simply sits in your pocket without an option for you to use it to pay rent. This is largely because your landlord does not have a POS machine to accept the payment. This is now no longer a problem !
You can simply download the BharatNxt App, add your landlord as the beneficiary and transfer the money to their bank account. Alternatively for landlords, now delayed rent payments are no longer an issue, they can now simply ask all their tenants to download the BharatNxt App and make a payment to them. If they are smart enough, they may start offering you a discount for advance payments of 2 months worth of rent creating a win-win situation for ALL parties involved.
Innovations like BharatNxt for rent payment have now truly arrived and are here to stay !