Business Credit Card Reviews

Small Business Credit Card – Things to Consider

In order to effectively using Small Business Credit Card, one must understand the perks and benefits it offers. Here are the list of things need to consider in looking for the best card thats suits your needs.

Despite all the hype about business credit cards, not all of them give the best deals.  What they tell you in the advertisements may not be the exact terms included in the credit card contract.  Therefore, every business owner must be cautious when it comes to choosing a credit card for business.  In this article, we will discuss the things you should consider to get the right business credit card.

A credit card that matches your company’s needs. Make sure that the business credit card is suited for the size, type and needs of your business.  These are just some of the questions you should ask about a business credit card:

  • Do you need a business credit card with a rewards program?
  • Do you want a business credit card that enables you to distribute multiple employee credit cards for free?
  • What particular feature of the business credit card can help you in managing your business?
  • Do you have the option to access your account online?
  • Will you be given yearly summary reports aside from the monthly billing statements?
  • Does the business credit card provide you with a fraud liability protection?
  • Is it a business credit card that particularly caters to small businesses
  • Is it designed for medium-sized or larger business?

A business credit card with low or fair interest rate. Although your goal should be to pay off your balances in full each month, you can’t really guarantee that your submission of payments will be perfect at all times.  There may be instances where you need to carry over your balance and if your credit card has high interest rate, it will definitely make a big difference.  Naturally, you’ll want to go with a business credit card that has a low or reasonable APR.

Choose your rewards. If you want a business credit card with reward, what type of rewards program best matches your company?  There are a couple of reward programs you can choose from such as Travel Rewards, Gas Rewards or Cash Back Rewards business credit card.  Aside from these basic reward  programs, what other privileges and perks does the business credit card offer?

Credit Requirements. Does the business credit card require excellent credit history?  If you haven’t started building your business’s credit history, your personal credit history will be used instead.  Therefore, have you checked the status of your personal credit?  Is your credit score good enough to get you approved or do you need to improve it before applying for a business credit card?

If you want, you can also apply for a secured business credit card.  A secured business credit card requires the submission of cash deposit in your account.  The amount of your security deposit will often determine your credit limit. Although it guarantees approval, secured business credit cards usually have a higher rate of interest compared to business credit cards that require good or excellent credit.  Nevertheless, they can be used for rebuilding or improving bad credit.

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