Get That Business Credit Card

get-that-business-credit-cardA Business Credit Card Can Help Your Business

I want you to get a business credit card. That’s right, a credit card for your business. I am not saying to go rack up a bunch of credit card debt. As long as you can pay your bill in full, here are some of the advantages to having a business credit card.

  • You get airline miles or points for travel or even cash back.
  • It’s easy to track your business spending. You can download your history into most financial software like Mint or Quicken.
  • You usually can get a larger credit line for your business card than for your personal card.
  • It’s always good to have a business credit card in case of an emergency.
  • It’s an easy way for your employees to spend money on things for your business without you having to sign checks.

Be aware that if you do apply for a business credit card . . .

  • Most of the time you need a high credit score to get a business credit card and there will be a credit check on you.
  • You are personally liable for your business credit card debt.

Business credit cards don’t have the same protections like personal credit cards do. The Federal Trade Commission and the Credit Card Accountability Responsibility and Disclosure (CARD) act regulates consumer credit cards, not business credit cards.

That means:

  • If you carry a balance on your business credit card the rates can go up any time.
  • Your bill doesn’t have to be due on the same date every month. The company can change the date. So pay attention to when your bill is due.

Remember to pay your business credit card from your business bank account. It’s so much cleaner and it makes it easier to track your business finances.

Not sure where you should go to apply for a business credit card? Start with where you are presently banking. I also love the Starwood Preferred Guest Business Credit Card.

And one final perk of having a business credit card. The year end summary statement is gold. It tells you where you are spending your money. Shoot us an email and we can help you understand where all the money went!

Important Disclosures: These blogs are provided for informational and educational purposes only, represents our views as of the date of the posting only, and may change without notice.  Some of the information has been obtained from third parties and believed to be reliable, but is not guaranteed.  We have not considered any investment objectives or financial situations of any investors and we are not responsible for consequences for any decisions made based on the information in the blogs.  There is risk of loss from investing in securities, which varies depending on different types of investments. Forward looking statements are based on assumptions only and no reliance should be placed on such statements.  We do not guarantee the accuracy or completeness of the information displayed.

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