How to Apply for a Business Credit Card So You’ll Get Approved

3 min read

Executive Summary

Access to a sustainable line of credit is the lifeline of a business, regardless of size. Having a business credit card is a convenient way to give your company the financial boost it needs to cover its day-to-day expenses when cash is short.  Sole proprietors and small businesses, especially, may be hesitant to add this liability to its balance sheet but it can be the first step towards taking your business further and creating a business credit history. The benefits of a business credit card include the ease of managing cash flow, earning rewards, and establishing a business credit score for future business loans. Since information on business credit cards is vast and inundating, this guide streamlines the how-to process of applying for a business credit card and the benefits it will bring you. Ready to apply for a card? Check out the best credit cards for small business as rated by MoneyCrashers.

Disclaimer: Our first priority is giving you the best financial advice for your business. Tillful may receive compensation from our partners, but that doesn’t affect our editors’ opinions or recommendations in the content on our website. Editorial note

As a business owner, you are spoiled for choice when it comes to business credit cards. Each business credit card has its own competitive edge offering different annual fees and varied rewards. Find one that best suits your business spending habits.

Once you’ve settled for the business credit card that fits your company needs, it simply boils down to completing an application form and awaiting approval. Most credit card companies offer online applications and provide approval decisions within minutes.

To ensure a smooth application process, take extra care to ensure all information you provide is accurate and error-free. Here is the information you’ll be required to provide for a business credit card application.

  1. Business name

  2. The name of your registered business. If you run a sole-proprietorship, enter your legal name.

  3. Business contact information

  4. This is the phone number and mailing address of your business office. If you work from home, you can enter your personal address and phone number.

  5. Industry type

  6. Select the industry your business falls under or most closely applies to your business.

  7. Business type

  8. The company structure to indicate whether it is a corporation, a partnership, limited liability, sole proprietorship, etc. If you are registered as a partnership or corporation, you may be asked to list basic information about the business owners.

  9. Tax identification number

  10. This is your employer identification number (EIN) which is used to verify your business. If you are a sole proprietorship without an EIN, you can provide your social security number (SSN) instead.

  11. Years in business and number of employees

  12. How long the business has been in operation and the number of employees that are part of the company.

  13. Annual business revenue

  14. The amount of money your business makes annually. It is prudent to ensure this number is not exaggerated as you may be requested to provide supporting documentation to verify its accuracy.

  15. Personal information

  16. This may include your home address, contact information, total annual income and monthly expenses, etc.

Benefits of having a business credit card

  1. Keep personal and business expenses separate

  2. Ideally, there should be a distinct line of separation between personal and business finances. When tax season comes knocking, this distinction is particularly helpful since the tedious manual work of identifying business expenses from personal transactions is done away with. More importantly, it protects your personal finances from scrutiny should any legal trouble arise from doing business.

  3. Build business credit

  4. As a business owner, your business credit is directly linked to your EIN. Creating a history of spending for your business profile is important to establish the creditworthiness of your business. Paying for expenses with your business credit card is an easy way to establish a business credit score.

    If you are on the lookout for business financing to grow your business in the future, your business credit history is a vital point of consideration in granting financing approval. It indicates your trustworthiness as a paymaster and manager of funds. The stronger your credit score, the better your chances at securing larger loans at better rates, since lenders will feel more confident in you.

  5. Credit card reward

  6. One exciting incentive of using business credit cards is the reward schemes it offers. Business credit cards give you the chance to earn rewards for the frequent purchases your business makes. These rewards can be travel miles, cashback, discounts on office supplies, and other rewards in popular business categories.

If you are a small business owner, using a business credit card can be the key to unlocking better business prospects and opportunities. As long as you are disciplined in your spending habits and pay off your credit card bill in full every month, a business credit card can be an important business resource.

About the author

Ken So

Written by Ken So

Ken is the Founder and CEO of Flowcast and Tillful. Having spent most of his career before Tillful in tech and investment banking, he covers all things business credit and finance with a twist of insider knowledge.

You may also like

Is your business getting the credit it deserves?

Sign up to take control of your business’s financial health today.

Get Your Free Score

Tillful Advertiser Disclosure

Our first priority is giving you the best financial advice for your business. Tillful may receive compensation from our partners, but that doesn’t affect our editors’ opinions or recommendations in the below content or content throughout our website unless expressly stated. Our partners cannot pay for favorable reviews, and they don’t review, approve or endorse our editorial content.

Tillful may receive compensation from third-party advertisers, but that doesn’t affect our editors’ opinions on the services or products we cover in our content. Our marketing partners don’t review, approve or endorse our editorial content. It’s accurate to the best of our knowledge when posted.

Any personal views and opinions expressed are the author's alone, and do not necessarily reflect the viewpoint of Tillful. Editorial content is not those of the companies mentioned, and has not been reviewed, approved or otherwise endorsed by any of these entities.

Reviews are not provided or commissioned by the credit card, financing and service companies that appear in this site. Reviews have not been reviewed, approved or otherwise endorsed by the credit card, financing and service companies and it is not their responsibility to ensure all posts and/or questions are answered.

Your business’ success, future and financial well-being is our first priority.

Every time.

We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free.

So how do we make money? Our partners compensate us. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services.

Back to Top

cross