Applying for a business credit card is a straightforward process just like with a personal credit card. The method is especially more straightforward when you are doing it online. However, you will realize there are some few more requirements when it comes to a business credit card than with the particular credit card application. No matter the size of your business deciding on getting a business credit card is one of the best things that you can ever do. Therefore, you need to know about these requirements that will get you qualified for the credit card.
The first requirement is that there is a minimum credit score that you need to have to qualify for a business credit card. This is because there are risks involved when you are getting approved for a business credit card just like when you are applying for a small business loan. The issuer wants to ensure that you will be able to repay the credit card bills on time and in full. Through the social security number and the name on your application, the issuer of the card will be able to find out about your credit score. Therefore, ensure that you only apply for a business credit card that you are sure you will not be rejected.
The good thing is that responsibly using your business credit card will be able to increase your credit score hence becoming eligible for a better one. Depending on your business set up, your legal business name or the one you registered it with the state is another requirement that is needed to get approved for a business credit card. You will need to provide your phone number and mailing address of your business as well. You can also use your home address if you operate your business from home.
Another business card requirement that will get you approved or not is your annual business revenue and your estimated monthly expenses. This will help the issuer in determining whether you will be able to repay for your credit card bills. Through the use of you are estimated monthly spend and your revenue, the issuer will also get to determine your credit line size. Having large annual business revenue is generally what will give you high chances of getting approved for a business credit card. If there is much income that is being generated through your business, the issuer of a business credit card will then consider your application as less risky.