| Lender | Description | More Information |
|---|---|---|
| Chase | Chase has been offering very health credit limits to small business owners, plus you can apply online! Their Ink Cards offer very competitive points/rewards options. | Visit Site |
| Wellsfargo | WellsFargo is the best option for obtaining a business credit card. This is because they have recently expanded to the east coast (of the US) and are aggressively lending. They have three options including a secured card that is great for building or re-building business credit! | Visit Site |
| PNC | PNC has 5 credit cards they offer to small businesses. Points Card, Travel Rewards Card, Visa Business (lowest APR), and the Business Options Card (your choice of 3 rewards programs). | Visit Site |
| TD Bank | Has a card that is called Simply Flexible Business. The more you pay each month, the lower your APR! The other card they offer is the Easy Rewards Business (accumulates points) with no annual fee. | Visit Site |
| US Bank | Offers 4 different options, ranging from Cash Rewards to points to regular platinum card with lower APR (no point accumulation) | Visit Site |
| Navy Federal Credit Union | Navy has some really great business lending options. They look at your business credit utilization though to help determine your credit limit, so make sure your cards are not all maxed out! As with most Credit Unions, you have to meet special requirements to join. | Visit Site |
| American Express | Offers a Charge Card (must pay balance in full at end of the month) and a revolving card. These cards are usually grouped together, so if you’re reviewing business credit cards at americanexpress.com, simply look at the payment term to determine if it’s a charge card or revolving card. The charge card has no pre-set spending limit and has a great points/rewards program. The revolving card has been approving business owners with smaller credit lines than other banks (like WellsFargo), but has some perks. For example with the platinum American Express Card; you’ll receive Lounge access in airports and concierge service from American Express. | Visit Site |
When searching for the best business credit cards for your small business, it is crucial to be aware of what is currently happening right now in today’s business lending environment. Frequently, advice offered today is no longer valid in many aspects of current business because so much has changed from years ago in the business lending environment. Even six months can make a difference in the world of business lending and the best routes to take. For example months ago, it was suggested to visit Bank of America for unsecured business loans of credit if you are trying to get a new business started. However, this is only a valid option today if you have an established business that can show income verification (tax returns) from the past two years or more.
Connect with National Banks and Local Community Banks
The good news is that there are plenty of banks you can expect to find some of the best business credit cards from, even though the list is constantly changing. Today, more money is being lent from smaller, local banks than ever before. Most Local Banks are portfolio lenders, meaning they lend their own money and do their own underwriting. So in today’s market, they are some of the best resources for local business owners.
To put it simply; the easiest method to find business credit cards and lines of credit is to be on the look-out and keep a log of banks you see during your commute. When you see a bank that you have not heard of before; they are usually lending. On one trip to your office, you could compile a list of seven or eight banks!
A little preparation goes a long way
When you obtain a current list of banks and lenders, do not simply apply to everything right away. There are tricks of the trade that can help you build your business credit profile the right way and get approved.
It’s important you understand what the terms/conditions of the cards are. You should read the fees and disclosures of the card and interview the bank on how much typically is lent for a business of your stature. Check to see the APR, annual fee and if it’s a variable or fixed rate.
One great benefit of business credit cards is that they are lines of credit with the name of your corporation attached to them and they do not reflect upon your personal credit. What you do with your finances on a personal level and what you do for your business are completely separated with the use of a business credit card. This is as it should be. In fact, utilizing a business line of credit can help you pay off personal debt and help you appear virtually “debt-free” to lenders as a result. Just make sure the business credit card company does not report to your personal credit report. This is a rare occurrence, but one that Capital One and TD Bank adopted. These cards are still good to consider but just be aware of your usage.
How to get lenders to offer you business credit cards
Other than applying for the best cards, it is a wise idea to learn how to attract companies to offer you unsecured lines of credit. You can accomplish this without income verification, seeing as a new business will not have any income to show yet. The process of attracting business credit card lenders is the similar as personal credit cards. If your personal credit score is 730, you will get many offers for a new credit card in the mail. If it is closer to 520, there will be no offers in your mailbox. By building your business credit score, you will receive more offers and increase the likeliness of getting approved. You can establish good business credit the same way as personal credit: make payments on time and build positive trade lines. Once you have established 3-5 (reported) business trade lines of credit, regardless of amounts, you will start to “attract” other lending companies. Similar to how you may be receiving pre-approved offers in your mail box solicited to you personally; your business will receive pre-approved offers as well.
There are a few credible companies that you must be invited to in order to become a business credit card customer. But banks like Chase, Fulton Bank, PNC, TD Bank and Wells Fargo are still offering low APR Business Credit Cards to the general business owner.
Keep in mind that in today’s market, it is more important than ever before to structure your company correctly to get approved in today’s market. By building positive trade lines (beefing up your business credit score) and networking with local banks and credit unions, you will be on your way to obtain the best business credit cards.