Getting a business credit card without using your personal credit to back it is important. It isn’t just for people who do not have good personal credit, although it is important for them, too. Not using your personal credit to get a business credit card makes good financial sense for anyone.
Risking Your Personal Financial Future
No one goes into business thinking it will fail--but it can. It happens a lot. The first five years of any business are shaky at best, and when you use your personal credit to get loans or business credit cards, it can have a serious impact on your financial ability to provide important things for yourself and your family.
How to Get Business Cards without Personal Guarantees
It is easier for established businesses to get a credit card without using their owner’s personal credit as security. They have had the time to establish good business fundability. If you are just starting out with your business and are looking for credit in your business’ name, make sure you have the key aspects in place to make it possible.
Get an Identity
Your business has to have its own identity, separate from yours. The most important step to creating a business identity is getting an EIN number. This is available from the IRS. You can find the application right on their website, and complete the entire process online in a few minutes.
The next step is to have a dedicated phone number for your business. Even if you work out of your home, you need to have a phone number that isn’t your own. You should have a land line installed, even if you do most of your business on a cell phone. Land lines are more credible, however if you must use a cell phone as your business contact number, make sure it is a contract phone that will show up in a search. No contract phones are convenient, but do not provide identity information when searched.
Set up and account at Dunn & Bradstreet. This is a powerful resource for businesses of all sizes. They can really help you create your business fundability quickly. Along with having many helpful articles and tools you can use to improve your business credit scores, they are also the top business credit reporting agency.
Business Credit Cards