How To Get Approved For Business Credit Cards | Summary and Q&A

TL;DR

Business credit cards offer numerous benefits and can positively impact various aspects of your financial life, including higher credit limits, increased welcome bonuses, expanded cashback categories, and the ability to separate personal and business expenses.

Key Insights

• 💳 Business credit cards offer a range of benefits, including higher credit limits, increased welcome bonuses, and expanded cashback categories.
• 💳 Personal credit score plays a significant role in obtaining approval for a business credit card.
• 🙂 Banks have become more cautious due to the economic impact of COVID-19, making approval slightly more challenging.
• 🇦🇸 American Express is recommended for easier approval, while Chase offers flexibility and generous rewards.
• 👨‍💼 Having an established business and projected revenue can increase approval chances.
• 🥶 Applying for your EIN (Employer Identification Number) is essential for starting a business and is a free and straightforward process through the IRS.

Transcript

so business credit cards are one of the most highly underrated benefits out in this world whether you're a points and miles credit card enthusiast or you're someone who's just trying to take advantage of all the great things in life this video is going to be one of the most valuable things that you can watch for this year so just a brief introducti... Read More

Questions & Answers

Q: Why are business credit cards important?

Business credit cards offer numerous benefits such as higher credit limits, increased welcome bonuses, and expanded cashback categories, making them valuable for both personal finance and points and miles enthusiasts.

Q: Do you need prior business credit history to get a business credit card?

No, you don't need prior business credit history to get approved for a business credit card. Having an excellent personal credit score is the most important factor in obtaining approval.

Q: What are the best business credit cards to consider?

Two highly recommended lenders for business credit cards are Chase and American Express. Chase offers flexibility with their Ultimate Rewards points, while American Express provides ease of approval and generous credit limits.

Q: How has COVID-19 impacted the market for business credit cards?

COVID-19 has made it more challenging to get approved for business credit cards due to increased risk for lenders. However, as the situation stabilizes, approval rates are expected to improve.

Summary & Key Takeaways

• Business credit cards provide a wide range of benefits, including higher credit limits and increased welcome bonuses.

• These cards allow for expanded cashback categories, making it easier to earn rewards on business expenses.

• Business credit cards also help to separate personal and business expenses, making accounting and tax preparation easier.