Small-business credit card applications ask for details about both you and your business. But what you actually need to apply and qualify for a business credit card — and what isn’t strictly required — may surprise you.
Here’s a high-level breakdown of typical business credit card requirements:
Needed get a business card | Not needed to get a business card |
|---|
Good to excellent personal credit. | |
Proof of your identity (e.g. Social Security number or Individual Taxpayer Identification Number). | |
| Employer Identification Number. |
| |
Yes, you’re applying for a business credit card, but your personal finances play a pivotal role in the approval process. You'll need to provide your SSN or ITIN so card issuers check your creditworthiness and verify your identity.
The scope of your business matters, too. However, it mostly helps determine factors like your credit limit — not whether you can get a business credit card at all.
» MORE: Best business credit cards
Chase
Ink Business Cash® Credit Card
Read ReviewApply now
Requirements to get a business credit card
While the bar for approval varies by card and issuer, the following requirements for a business credit card are typically the same across the board:
Personal information
Most business credit card issuers do a hard credit check when you apply, and you’ll typically need good to excellent personal credit (generally a FICO score of 690 or above) to qualify. This is especially true for startups, which can’t lean on years of business success to bolster their application.
» MORE: Best business credit cards for startups
Expect to provide the following personal details in your business credit card application:
Name.
Date of birth.
Social Security number. (You generally can’t get a business credit card without your SSN or Individual Taxpayer Identification Number.)
Address, email and phone number.
Annual income (include all income, not just what you derive from your business).
As part of the application process, you’ll also most likely have to provide a personal guarantee. This is a promise that, if your business can’t pay the bill for your business credit card, you’ll be on the hook for it personally.
Advertisem*nt
Ink Business Cash® Credit Card | Capital One Spark Cash Plus | The Blue Business® Plus Credit Card from American Express |
|---|
| | |
| | |
Regular APR 18.49%-24.49% Variable APR | | Regular APR 18.49%-26.49% Variable APR
|
Intro APR 0% intro APR on Purchases for 12 months | | Intro APR 0% intro APR on purchases for 12 months from the date of account opening |
| | |
| | |
Business information
You need a business to apply for a business credit card. But that doesn’t mean you need a formal business entity or history of business income — a side hustle or hobby that occasionally brings in revenue may be enough to qualify.
» MORE: Can you get a business credit card without a business?
Plan to provide the following information about your business:
Business name and contact information: Give the full legal name of your business, along with the address and phone number used to register your business. Sole proprietors can use their own name, and home-based businesses can use the home address.
Time in business: Applications will ask for the date your business was established or the number of years in business.
Number of employees: Don’t count yourself.
Business category and type: This is typically a dropdown menu. Choose what most closely aligns with your business.
Business structure: Note whether you’re a corporation, partnership, sole proprietorship, limited liability corporation or nonprofit organization.
Federal tax ID: Your employer identification number, individual tax identification number or Social Security number, depending on your business.
Business revenue and expenses: List your annual business revenue (put $0 if you don’t have any yet) and provide an estimate of how much you would charge to the card each month.
Frequently asked questions
Who can get a business credit card?
You don’t need a business license to get a business credit card. But you typically do need to be engaged in some sort of business activity, whether that’s full-fledged self-employment, freelancing or a side hustle. Basically, if you have business expenses, you can get a business credit card, provided you have sufficient income and credit history to qualify.
You are not required to use a business credit card for business expenses, but there are benefits to doing so. Small-business credit cards typically have higher credit limits and a wider variety of spending categories for rewards and bonuses. Using a separate credit card for business expenses also keeps things streamlined and makes it easier to find deductions come tax time.
FAQs
You need a personal credit score of 700 or higher to qualify for the best business credit cards. The exception to this rule is corporate cards, which usually don't check your credit score. Instead, these cards require that you have a certain amount of capital in a business bank account.
What do banks look for when applying for a business credit card? ›
To qualify a business, many issuers consider factors such as the owner's personal credit score, the amount of cash in the business's bank account and the company's profitability. While the application and approval process is fairly simple, doing some prep work ahead of time can help speed up the process.
What criteria is evaluated for a business to obtain a credit card? ›
A business credit card application will usually ask for information such as:
- Business name.
- Business address.
- Annual business revenue.
- Number of employees.
- Estimated monthly spending on the credit card.
- Employer Identification Number (EIN) and/or owner's SSN.
- Business structure.
- Business description.
You can use an EIN to get a business credit card, but it may be difficult. If your business doesn't have established credit, you'll need to meet additional requirements to get approved for a card using just your EIN.
What credit score does an LLC start with? ›
LLCs are started at the state level, and there is no credit check involved. All you need to do to form an LLC is submit the appropriate state formation documents (usually called Articles of Organization) and filing fees to your state's Secretary of State.
Is it hard to get a business credit card with an LLC? ›
Corporate cards generally only require that your LLC is a registered business with a certain amount of money in the bank, with no credit or personal guarantee requirements.
Is it difficult to get a business credit card? ›
Getting a business credit card for a new business, startup or side hustle is easier than you may think. You don't need a business plan, or even any business income; if you have good personal credit (a FICO score of 690 or higher), you can qualify for most business credit cards.
Do business credit cards ask for proof of income? ›
Issuers can ask for proof of income, though many do not. If you estimate your income based on what you earned the year before, you're not likely to run into trouble.
Do they run your personal credit for a business credit card? ›
Applying for your first business card often requires a hard inquiry into your personal credit history. With nowhere else to draw from, potential lenders may look at anything you've used to prove yourself as a worthy (or unworthy) borrower — personal credit being the most obvious source.
Can you get a business credit card with no revenue? ›
Not having any business revenue yet is not necessarily a deal-breaker on a business credit card application. Applicants can enter $0 as revenue as long as they are able to list personal income later in the application.
Eight steps to establishing your business credit
- Incorporate your business. ...
- Obtain an EIN. ...
- Open a business bank account. ...
- Establish a business phone number. ...
- Open a business credit file. ...
- Obtain business credit card(s) ...
- Establish a line of credit with vendors or suppliers. ...
- Pay your bills on time.
To qualify for Chase's Ink business cards, you must have good to excellent credit, which is defined as a FICO credit score of 670 or above. Although these are business cards, Chase will use your personal credit score when considering your application.
Does my EIN have a credit score? ›
While your personal credit score is tied to your Social Security number, your business credit score is tied to an Employer Identification Number — or EIN. This helps you keep your personal financial information private while you build and maintain your business credit score.
How do I build business credit with an EIN? ›
If you want to build business credit quickly here are five simple steps.
- Step 1 – Choose the Right Business Structure. ...
- Step 2 – Obtain a Federal Tax ID Number (EIN) ...
- Step 3 – Open a Business Bank Account. ...
- Step 4 – Establish Credit with Vendors/Suppliers Who Report. ...
- Step 5 – Monitor Your Business Credit Reports.
For that reason, banks typically require an applicant to supply a SSN. However, there are a few business credit cards that don't require a personal guarantee. You may be able to use an EIN rather than a SSN when applying for these cards, but all applications are different, and it's up to the individual institution.
What is the minimum credit score to start a business? ›
Minimum credit score by business loan type
| Term loan | While banks and credit unions typically require a score of 670 or above, online lenders may only require a score of 500 |
|---|
| SBA loan | Lenders offering SBA loans require credit scores between 620 and 680 |
4 more rowsOct 13, 2023
Its scores range from one to 100 as well. A score of 76 or above is typically considered to be a good Experian business credit score, and 50 to 75 is still considered fair. FICO Small Business Scoring Service.
Can I get a business credit card with a 640 credit score? ›
As an example, the Capital One Spark 1% Classic* requires at least fair credit — or a FICO score of 580 to 669. For business owners with poor credit, the Revenued Business Card may be an option. This card doesn't require a hard credit check at all, and it offers cash back on all purchases.
What business credit card can I get with a 660 credit score? ›
If you have fair credit and want a credit card for your business, the Capital One® Spark® Classic for Business* is likely to be your best unsecured bet. You can also consider secured business cards, or you may be able to find a local or regional bank with options not available nationwide.
