Which Credit Card is Best for My Business
Why Do I Need a Business Credit Card?There are several reasons why having a business credit card is a good idea for small business owners. First and foremost, a dedicated business credit card can help you keep your business and personal finances separate. Not only is this important for accounting purposes, but also for liability protection. If you mix personal and business expenses, it can be difficult to prove which expenses are for the business and which are personal in the event of an audit or lawsuit.
Additionally, having a business credit card can help you establish and build your business credit score. Building your business credit is important if you plan to apply for loans or other forms of credit in the future. By using your business credit card responsibly and making timely payments, you can demonstrate your creditworthiness to potential lenders.
How to Choose the Right Business Credit Card for Your NeedsNow that you know why having a business credit card is important, it's time to choose the right one for your business. Here are some factors to consider:
- Rewards: Many business credit cards offer rewards, such as cash back, points, or miles. Consider which types of perks would be most beneficial to your business and choose a card that offers them.
- Fees: Some business credit cards come with annual fees, balance transfer fees, or foreign transaction fees. Make sure you understand the fees associated with each card and choose one that fits within your budget.
- Interest rates: If you plan to carry a balance on your credit card, the interest rate is an important factor to consider. Choosing a card with a low interest rate can save you money over time.
- Credit limit: Make sure the credit limit on your business credit card is high enough to cover your business expenses, but not so high that you risk overspending.
If you're a small business owner, you know how important it is to manage your expenses and build your credit. By using a business credit card, you can do both. Apply for a business credit card today and start earning rewards, building your credit, and growing your business.
About the Author, Shakeara Elmore: Shakeara Elmore is the Team Lead for the Credit Card Department and is responsible for driving new account sales and revenue growth within the branches. Serving as a key business lead, Shakeara manages our vendor partnership with Elan to ensure strong support of our program and adherence to service level agreements. She is responsible for leadership of assigned projects or initiatives within the department and collaborates with other department personnel to plan and implement sales initiatives related to credit card products and services.