ProCard Inc., the Golden, Colo.-based marketer of procurement card programs, has introduced what it calls the first guarantee on systems, software, and service.
The guarantee covers price, quality of service, and knowledge of the market, said Stanley W. Anderson, president and chief executive of the privately held company, who helped develop the nation's first procurement card in 1985.
"I don't think you'll find anybody who has come out with a guarantee," he said. "A guarantee is unheard of in the procurement card industry."
Units of NationsBank Corp. and First Chicago Corp. have issued 16,000 procurement cards using the ProCard Purchasing System, which has been endorsed by MasterCard International. ProCard projects it will have its 150th user by the fourth quarter.
The announcement, made during last week's Corporate Card conference in Chicago, comes as ProCard expands its business. A wholly owned subsidiary, ProCard Inc., opened an office in Dublin, Ireland, with sales support staff in the United Kingdom.
ProCard plans to relocate its headquarters to Denver this fall, into a larger space to accommodate a staff of 35.
The ProCard system builds on and complements the existing MasterCard and Visa infrastructures, said Mr. Anderson, adding that either brand of card can be used for payments. But only MasterCard has certified ProCard as a third-party service and processing provider.
At one time, ProCard had an exclusive relationship with MasterCard for all its programs to use the MasterCard logo. The New York-based association ended that agreement last year when it introduced the MasterCard purchasing card.
Procurement cards allow corporations and governments to reduce administrative costs of low-dollar transactions by 50% or more. Cards account for only 1% of such payments.
Mr. Anderson said ProCard will unveil the fourth generation of its proprietary software for personal computers, ProValue Services, in the fourth quarter. The software allows for custom daily electronic transmissions.
ProCard said it will sponsor three seminars for bankers in September in Washington, Dallas, and Denver, followed by a series of open forums for the private and public sectors in five U.S. cities.