Credit News and Advice

Should you get a small business credit card?

If you are an entrepreneur, freelancer, or already a small business-owner, perhaps you have wondered: Is a small business credit card right for me? In a word, probably. Why? Of course, it is smart to separate your business expenses from your personal expenses, but that’s not all. Business credit cards offer some substantial advantages versus consumer, or personal credit cards:

Simple Itemization – Good business credit cards offer quarterly and year-end statements, not just monthly statements. That can save a lot of time and hassle preparing year-end expense summaries for bookkeeping and tax purposes.

Build Business Credit – A business credit card gives your new small business the opportunity to build business credit. As your business grows you will be able to rely more on this business credit for loans or financing and you can avoid using your personal credit history to secure capital.

Tailored Rewards – For consumers, credit card rewards programs are nice, but they are not likely to add up to substantial savings. Not so with business credit cards. With rewards programs that are suited to small businesses you will earn cash back on everything from office supplies to phone services to travel. Depending on how much you charge each year, these rewards can provide a nice boost to your bottom line.

Manage Employee Spending – A final perk to business credit cards is the ability to control employee card use. Not only can you request an unlimited number of employee cards on the same account, you can set individual credit limnits for each employee, and monitor employee spending with individual employee credit card statements.

If you think a business credit card is right for you and your small business, take a moment to compare and apply for a business credit cards now.

Have more questions? Read the business credit card application FAQ.