Editor’s Note: American Express is a partner of Fundera.
So, small business owner, you want a business credit card…
Great idea! Whether you’re using one to backup your business financing or just to have in your pocket for a rainy day, you’ll benefit from building your business credit and bringing in valuable rewards.
If you know that you want a business credit card but don’t know how to apply for a business credit card, we’re here to help.
Here’s your 2-step guide to how to apply for a business credit card.
If you want to apply for a business credit card, first you need to know which business credit card to apply to—that’s a no-brainer.
But knowing which business credit card is right for your small business isn’t so simple. There are a lot of things you need to consider to find the right fit:
There are a lot of questions, we know, but these are all things you need to consider before you apply for a business credit card.
If you haven’t shopped your options yet, we’ll quickly run through some of the cards that we think are best for each consideration a small business owner might have in mind.
(If you’ve already browsed your options and are ready to apply for a business credit card, skip on to the next step.)
If you prefer to bring in your business credit card rewards as cash savings for your business, then using a cash back business credit card is a smart move.
There are a lot of great cash back business credit card options on the market, but here’s one of the best:
The SimplyCash Plus Business Credit Card from American Express.
With the SimplyCash Plus, you’ll get 5% cash back on purchases at wireless telephone services and office supply stores (up to $50,000 spent per year), 3% cash back on your choice of 8 categories (up to $50,000 spent per year), and 1% cash back on everything else.
If you’re a big spending in the 5% cash back or the 3% cash back category of your choice, then using this business credit card makes a lot of sense. Plus, this card comes with no annual fee, so you won’t have to dish out your cash back savings to an annual fee.
Some business credit cards will let you earn rewards points that you can redeem for purchases at eligible partners. If this sounds like your ideal way to earn rewards, then you have a lot of great business credit cards to consider.
The points rewards on Chase’s Ink Plus Business Credit Card is pretty hard to beat. Here’s what you’ll get: 5 points per dollar spent on purchases on office supplies, cell phones, landlines, Internet, and cable TV (up to the first $50,000 spent in purchases each year), 2 points per dollar spent at gas stations and hotels (up to the first $50,000 spent in purchases each year), and 1 point per dollar spent on everything else.
If you’re always on-the-go for your small business, you should be earning rewards that you can redeem on your travel expenses.
All small business owners that frequently travel should be using the Enhanced Business Platinum Card from American Express.
The Business Platinum Card from American Express is one of the best business credit cards on the market. With a great signup bonus, you can earn up to 75,000 Membership Rewards points in 3 months (if you spend a total of $20,000 in the first 3 months of Card Membership), and enjoy a much bigger points rewards rate on your regular spending.
But besides the welcome offer on the Enhanced Business Platinum Card, here’s why it’s great for frequent travelers: You get a new 50% Airline Bonus, meaning you’ll get half of your points back when you spend them on qualifying travel purchases and first and business class flights. Plus, you’ll have access to a number of travel perks like airport lounges, in-flight services, and more.
When it comes to how to apply for a business credit card, there really are only 2 steps. That’s because once you know which business credit card to apply for, actually applying is so simple.
When it’s time to apply for a business credit card, you have 3 ways to do it: Apply online, at a local branch of a bank, or over the phone.
If you’re someone who likes to make your financial decisions in person and shake hands when the deal is done, you might prefer going into a local branch or calling a representative to apply for a business credit card.
You’ll have the comfort of talking to a real person who knows the business credit card like the back of their hands, so you can ask any last-minute questions if they come up.
When it all comes down to it, the bank uses the same process whether or not you apply or a business credit card online or in person. All your information will be processed through their electronic system in the end. But the whole process will be faster if you choose to apply for a business credit card online.
All you have to do is go on the site that offers the business credit card and enter some basic personal and business information. Most credit card issuers will ask for your personal and business financials (like annual revenue, estimated monthly spend, personal outstanding debt, and so on) and general information (contact information, time in business, Federal Tax ID, and social security number).
Once you hit “submit,” you can hear back almost instantly. If you’re approved, activate it as soon as you get it, and you’re all set to start using it for your business!
With just a 2-step guide, you’re ready to apply for a business credit card.
Once you’ve shopped around and found the best business credit card for you, your next step is to apply. Whether you apply in person or online is a matter of convenience and personal preference. But if you want to keep the process as simple as possible, we recommend you apply online.
Ready to get the ball rolling?
Awesome guide, Georgia. I actually hadn't heard of Amex's new business card!