Choosing a Business Credit Card

Help Choosing a Business Credit Card

Corporate Credit Center.com has a business credit card program specifically to help business owners choose a creditor that is right for your business and that you will be approved for. We ask you several questions so that we start selecting vendors that suit your goals and requirements, then we assist you with the application process after making sure your business meets general business credit card lending requirements. Our program has helped entrepreneurs and business owners get their first business credit card and send them on their way to more business credit.

Business Spending

First consider how you spend money and what you’re going to use a business credit card for. Are you going to carry a balance? Where do you spend money? What do you buy? Will you pay off the balance every month? Are employees spending company funds? Are you consolidating so that you pay a single bill every month rather than several? Do you need tracking and reports, monthly or annually? How are you going to use business credit cards?

There are many reasons to get a business credit card – so what’s yours? This is the first step when choosing business credit cards.

Business Expense Tracking

One of the most common benefits of business credit cards is your statement. Many providers offer business expense category tracking and reports. These can be monthly or annually, which makes tax time much easier. This makes it easy to track employee expenses and write a single check every month for all, or most, of your business expenditures.

Merchandise Rewards

If your business spends a lot of money in key areas, such as printing, shipping or fuel, you can choose a business credit card that has a rewards program that you can earn discounts on those expenses, ultimately leading to money savings for your business – which is always a good thing.

Airline Miles

If travel is a big expense for your business, an airline credit card or club miles feature may be a deciding factor when choosing a card for your business. Earning miles or free flights can save your business a lot of money.

Carrying a Balance

If you plan to carry a balance, perhaps purchasing a piece of equipment that you will pay off over the course of a year, for example. This can be done using a business credit card with a low introductory APR, or a 0% APR for the first 12 months and you can make that purchase and pay off the balance, interest free.

Monthly Balance Pay Off

If your business uses a credit card, like a debit card and you put all of your purchases on the business card and pay it off each month, you gain security, fraud protection and simplicity of reporting and payments. This is a consideration that may lean you towards a business card that requires you to pay the balance every month.

Employee Cards

Business credit card programs that offer free employee cards and expense breakdowns for each card makes it simple to track individual’s expenses for your business. This is a factor if you plan to have employees spend money on business expenses.

Interest Rates

You will see almost all business credit card providers offer a low APR or 0% APR, however you should consider what your interest rate will be after the introductory period. These teaser rates always look attractive, however if you wind up with an interest rate above 15% and carry a balance, you will be spending quite a bit on borrowing for your business. Choose an interest rate carefully.

Approval Criteria

Choosing a business credit card that you have a high probability of being approved for is always recommended. Knowing what the lender looks for, what the owner/officer credit requirements are, the age or type of your business entity and its revenue. You don’t want to have a lot of declined applications when seeking business credit.