Near the end of SleeterCon 2015 (now Accountex), Dash came on-stage and provided an offer. If we signed up for their Dash card, they would provide a “free” $100. My firm has been looking for an easier way to manage our inventory purchases (we resell software licenses and some IT equipment). Currently, we have to be careful about hitting the credit limit of our corporate credit card if several employees make large purchases at one time. The employee who hits the limit has to wait for us to post a payment to the account before he or she can complete their transaction. Dash appeared to give us a way around this, so we decided to give it a try.
Donny Shimamoto will be presenting the sessions, Modernizing Accounting Services: Architecting Your Strategy and 8 Keys to Optimizing Your Tax Practice, at Accountex 2016.
The Dash card is a prepaid MasterCard. The basic premise of the card is simple. The company (your business or your client’s business) transfers cash into a “Funding Account” and issues Dash Cards (debit cards) to each employee who makes business purchases. You can either schedule regular funding of the card (i.e., automatic transfers), for example $500 each month, or you can require employees to request funds via the Dash app. As you fund cards, money is moved from the “Funding Account” to each Dash Card.
The requesting of funds is pretty simple. Log in to the Dash app, press “Request Funds,” and then fill out a simple form with the dollar amount and a reason for the request. In our case, we’ve instructed our staff to put the purchase(s) that they want to make with the card in the Comments so that we can tie the request back to our approvals process for purchases.
When an employee submits a request, the approver receives an e-mail letting them know the amount requested and reason:
From there I can go into the Dash app or website to approve or decline the request. If I approve the request, then funds are immediately transferred to the Dash card of the requesting employee and they can make their purchase. An e-mail notification is also sent to let them know their request was approved.
If I decline the request, it simply disappears, and neither the requesting employee nor myself could figure out how to see the declined request in the app. The requesting employee also didn’t receive any notification that I had declined her request.
Making purchases with the Dash card is just the same as using any other card. However, unlike many other bank debit cards that can operate in both debit and credit card modes, the Dash card appears to be truly only a debit card. We received invalid card messages on several sites (ones that were probably set up to only accept credit cards). So you need to ensure that the vendors with whom you plan to use the card actually accept debit cards.
The Dash app does keep track of transactions well (see screenshot). I can see if a transaction was declined (due to lack of funds), if it was authorized (transaction completed but funds not released yet), and if it has been settled (funds released to vendor).
Once a transaction is authorized, the available balance on my card is reduced, so there is protection from overdrafts. I’m also able to go in and categorize and put comments on a transaction, as well as upload or capture an image of a receipt.