- Small business owners can use business credit cards to increase cash flow and have flexible working capital when they need it.
- It’s no wonder they’re asking about the easiest business credit cards to get.
- Let’s explore easy approval business credit cards, what you need to get approved, and which cards you can apply for today.
Which Business Credit Card Is Easiest to Get Approved For?
The business credit cards that you can qualify for depends on your specific details, but there are some that are generally easier to qualify for. These include:
- Secured business credit cards: Some banks offer secured business or personal credit cards that are designed to help business owners establish or rebuild credit. These cards typically require a security deposit, which serves as your credit limit. As a result, they may be more accessible for those with lower credit scores.
- Instant-approval cards: Some credit card companies don’t check your credit score before approving your application. These cards may rely on your business’s information, like annual business revenue and time in business, to decide on your application. If your creditworthiness is a problem, these cards may be easier for you to get.
- Store-branded business credit cards: Certain retail stores offer business credit cards that might be easier to get approved for, especially if you have a business relationship with that store. These cards might even come with rewards or discounts specific to eligible purchases at that store.
Remember that the approval criteria can vary widely based on individual circumstances.
What Is the Fastest Way to Get Business Credit for an LLC?
It’s important to know how to establish business credit, but it does take time. You’ll need to take a combination of strategic steps and manage your finances responsibly. Here’s a step-by-step guide:
- Incorporate your LLC: Start by officially forming your LLC and obtaining all necessary legal documents and registrations. Using a business formation service can make the process much faster and easier. A well-established business entity is a fundamental requirement for building business credit. (A sole proprietor may qualify for a business credit card as well).
- Get an EIN: An employer identification number (EIN) is a tax ID for your business. You can get a free EIN from the IRS, which is essential for separating your business’s finances from your personal finances.
- Register with business credit bureaus: Make sure that your business information is registered with major business credit bureaus. These bureaus track and report your business’s credit activity.
- Open a business bank account: Choose a reputable bank and open a dedicated business bank account. This will help you track business expenses in your business name and lay the foundation for building business credit.
- Establish tradelines: Work with suppliers, vendors, and service providers — like Nav — who extend trade credit or report payments to the business credit bureaus. These tradelines allow you to make purchases on credit and pay within a specified period. Your monthly Nav payment is reported as a tradeline, which makes it the easiest way to help establish business credit.
- Monitor and manage cash flow: Maintain consistent cash flow and make payments on time to suppliers, vendors, and creditors. Timely payments contribute positively to your business credit profile.
- Regularly review your credit reports: Periodically check your business credit reports from different bureaus to ensure accuracy and address any discrepancies right away.
Remember, building good credit is a gradual process that requires responsible financial management. It’s essential to pay bills on time, manage your finances wisely, and nurture positive relationships with creditors and suppliers.
Can I Get a Credit Card for My LLC If I Have Bad Credit?
You may be able to get a business credit card for your LLC, even if you have bad credit or are new to credit.
Your business credit score may not impact your eligibility since personal credit is one of the biggest considerations on a business credit card application. So you may want to consider a personal credit card until you build up your personal credit score, but there may be business credit card options that would work.
Here are some personal and business card options that might work for businesses with bad credit.
Can You Get a Credit Card With an EIN?
Yes, you can get a credit card with an EIN. An EIN is a unique nine-digit number assigned by the IRS to identify your business for tax purposes. It’s essentially a business’s equivalent to a Social Security Number for individuals.
Many financial institutions offer business credit cards that can be obtained using an EIN. These cards are designed to help businesses manage their expenses, build credit, and access various rewards and benefits. Here’s how you can go about getting a credit card with an EIN:
- Apply for an EIN: If you haven’t already done so, apply for an EIN from the IRS. This number is required for tax reporting and is often requested by credit card issuers when you apply for a business credit card.
- Choose a credit card issuer: Use Nav to find the best business credit cards for you. Look for cards that line up with your business needs and give you favorable terms, rewards, perks, and an affordable annual fee and interest rate.
- Gather documentation: Credit card issuers may require specific documentation to verify your business’s legitimacy. This could include your EIN, business registration documents, and possibly financial statements. (If you’re not an LLC or corporation, don’t worry. Sole proprietorships can qualify for business credit cards, too).
- Submit an application: Apply for the business credit card using your EIN. The application process may be similar to a personal credit card application, but you’ll provide your business information and EIN instead of your personal details like your Social Security Number (SSN).
- Go through a credit check: Some business credit card applications may require a credit check. Depending on the issuer and the card’s terms, your personal credit history could be a factor in the approval process, especially for newer businesses without an established credit history.
- Wait for approval: The credit card issuer will review your application and make a decision. If approved, you’ll receive your business credit card in the mail.
It’s important to note that while an EIN is typically required for business credit card applications, your personal credit history might still play a role in the approval process, especially for small businesses without an extensive credit history.
Note: Most issuers require a personal guarantee, where you as the business owner are personally liable for any outstanding debts on the card.
Which Chase Business Card Is Easiest To Get Approved For?
Your approval for any small business credit card may depend largely on your personal credit score, and all Chase business cards typically require a good to excellent credit score. According to FICO, this is a score of 670 or higher.
That said, Chase business credit cards offer excellent benefits for cardholders, like:
- No or low annual fees
- Rewards on eligible business purchases, like at office supply stores or gas stations, or travel rewards plus no foreign transaction fees. (See Nav’s guide to popular gas card options).
- Welcome bonuses
- 0% intro APR for a certain time after account opening
- Free employee cards that also earn rewards on qualifying purchases
Having a Chase business credit card in your wallet can be helpful for running your business.
Which Amex Business Card Is Easiest To Get Approved For?
The American Express business credit cards are also highly sought after, but Amex also requires good to excellent scores from your personal credit report. Amex is known for its robust rewards programs; although, you may end up paying a higher annual fee than with other card options. The cash back rewards or other rewards programs you would get in return may make Amex cards worth it, however.
Your eligibility for an American Express business card depends on a variety of factors, so it’s easiest to enter your business details into your Nav profile to see what you’re most likely to qualify for before you apply.
Which Online Lending Business Card Is Easiest To Get Approved For?
Approval for a business credit card depends completely on your personal and business circumstances. If you only have fair credit but high annual revenue, for example, a corporate card or secured card may be the fastest since it may not perform a credit check.
On the other hand, if your credit is really good but your revenue is low or you’re still in the startup stage, you may have better luck applying for a more traditional business credit card. Often, this type of credit card offers good rewards, sign-up bonuses, and low introductory APRs.
Can You Get a Business Credit Card Immediately?
Getting a business credit card immediately may be possible, but the application and approval process usually takes some time. While some credit card issuers may offer instant approval decisions, you typically need to go through certain steps before being able to use the card. Here’s what you can expect:
- Application submission: You’ll need to submit an application for the business credit card. You may need to provide your business’s info, like the business name, EIN, type of business, and financial details.
- Application review: The credit card issuer will review your application, which may involve a credit check. They’ll assess your business’s creditworthiness and your personal credit history (especially if your business has limited credit history).
- Verification: Depending on the issuer’s requirements, you might need to provide additional documentation to verify your business’s legitimacy. This could include business registration documents, financial statements, and other relevant paperwork.
- Approval decision: Once the issuer has reviewed your application and supporting documents, they will make an approval decision. In some cases, you might receive an instant approval decision online. Some credit card companies will send you a virtual card that you can start using right away once it’s activated.
- Card activation: Once you receive the physical card, you’ll likely need to activate it. This might involve calling a toll-free number, visiting a website, or following instructions provided by the issuer.
While some issuers offer faster approval processes and even instant decisions, there may still be steps you need to follow before you can actually use the card for transactions. Also, the speed of the process can vary based on factors such as the issuer’s policies, how complete your application is, and the complexity of your business’s financial situation.
If you need access to credit immediately, you might consider alternatives like a personal credit card (if you’re eligible), a line of credit, or a short-term loan.
This article was originally written on December 6, 2023.
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