An unsecured credit card can provide you with a lot of value in the form of rewards and benefits, especially if your credit score is in great shape. As you consider these and other options, consider your spending habits, credit score and feature preferences to determine which card is the best option for you. United’s top-tier card offering ups its game with 4 miles per dollar earnings on United purchases. A suite of travel perks makes the card an even better value, with the United Club membership alone worth more than the annual fee. Just as every person’s credit card needs and spending habits are unique, so are every business’. The first distinction you should make when choosing a credit card for your business is whether you’re planning to carry a balance or pay in full each month.
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This Is the Only Scenario Where I’d Open a Store Credit Card.
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While these fees are often justified by the substantial rewards and perks offered, it’s still a consideration when applying. Business credit card issuers don’t publicly disclose their credit limits. However, if you have a well-established business with a lot of expenses, you may consider a charge card with no pre-set spending limit.
What is the easiest business credit card to get?
The Capital One Spark 1% Classic is best for business owners who have fair or average credit. It’s often difficult to find an unsecured credit card that accepts applicants with less-than-ideal credit scores, making the Spark 1% Classic stand out. Most unsecured credit cards can help you build credit by reporting your account activity to the three credit bureaus. However, some unsecured credit cards for bad credit may only report to one or two of the credit bureaus, which can limit your potential. If your credit is in poor shape, it’s crucial to check to see how a card can help you build credit before you apply. The Business Platinum Card® from American Express offers bonus rewards on transactions over $5,000, making it good for higher spenders (Terms apply, see rates & fees).
Packed with perks, this card is an ideal travel companion with an easy rewards structure. Those that can use the travel-focused benefits and charge enough to earn the early spend bonus will fare best. If you anticipate using your business credit card to pay for purchases over time, the APR should be top of mind. The difference between a low interest rate and a high rate can mean thousands of dollars, outweighing the cost of any rewards earnings or perks. It’s possible to get a business credit card if your credit score falls outside the good-to-excellent range, but your options are limited.
How to make the most of your business credit card
This relationship could give you an edge, but may not be necessary if you have excellent personal credit. Don’t be alarmed if the application is sent through a review process rather than giving you an instant response; this is a normal part of fraud protection. Also, if your credit score lives in the basement, you may not qualify for a small business credit card. Remember, card issuers will run your personal credit to approve you for a business card. By the same token, if you caught your credit card routinely leaning on a shovel instead of contributing to your business, you’d fire it.
- Since 2010, TPG has been dedicated to helping you make informed credit card and travel decisions.
- Small businesses, even startups, can be eligible for business credit cards, so this is often step number one for businesses looking to build a credit history.
- If your FICO Score isn’t as good as your business idea, there’s a small handful of secured credit cards for businesses that can help you improve your credit while you build your brand.
- Compared to business credit cards for people with good or excellent credit, secured business cards won’t have as many benefits and will require a security deposit.
- If your business spends less than that spending cap, then you could earn 2% all year.
Having business credit helps keep your business and personal finances from affecting each other in the long run. Whether you have a structured company, LLC or partnership, or you operate without a formal or legal business structure, you’re still perfectly eligible to apply. Or, what is business credit cards if you plan on paying your balance each month in full, then you might consider going for a card that has the biggest sign-up bonus and the most lucrative rewards. The information for the CitiBusiness Platinum Select card has been collected independently by The Points Guy.
JetBlue Business Credit Card
Usually, the cards that don’t require a personal guarantee come with a different requirement, like linking a corporate bank account with a large balance or offering collateral. When you apply for a business credit card, you usually need to sign a personal guarantee, which acknowledges that you (instead of your business) are personally responsible for any debt accrued on the card. Business owners of all types—from Etsy sellers to CEOs of million-dollar enterprises—are eligible for business credit cards. You don’t need to be bringing in thousands of dollars a month with your business, and you don’t even need to have a formal business designation such as an LLC. If your business is not officially registered, you can simply list it as a sole proprietorship on your business credit card application.
