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Well, maybe not the entire world. However, you can definitely take your business to a new level. If it’s in trouble, business lines of credit could be just the thing you need to get you over the hump. But what makes this a better option than any other type of business funding? Furthermore, where do you find a business line of credit? Never fear. We have the answers you seek.
A business line of credit is similar to a credit card, so many think they work exactly the same. They really do not. There are some major distinctions between the two. These distinctions make each one better suited for specific situations. For this reason, it is not a bad idea to have both at your disposal for use as needed.
Find out why so many companies use our proven methods to get business loans.
Surprisingly, business owners often do not understand what business lines of credit really are. The simplest explanation is that they are a revolving line of credit. In fact, they are very much like credit cards. For example, like a credit card, you have a limit and continuous access to that limit. At the same time, you make payments only on the portion you use each month.
Consider the following example. You have a $1,000 line of credit. You can use however much of those funds you need each month for whatever you want, unless your lender restricts use. If you use $200, then when you get your statement you will have to pay $200 plus the interest. You will not owe or pay interest on the whole $1,000 loan.
If you were to spend the $200, then spend another $50, you would pay on the $250, minus any payment already made, the next month. Your payments change as your balance changes. Just like with a credit card.
Access is generally granted through checks or a debit card connected to the line of credit account.
Business owners often ask what the difference is between business lines of credit and credit cards. Why is one better than the other? Truthfully, sometimes a credit card may work better. It just depends on your specific situation and needs.
The main differences you need to know are that a business line of credit typically has lower consistent interest rates. Also, there are none of the perks like 0% interest or cash back that you sometimes see with credit cards.
Unsecured Line of Credit vs Secured Line of Credit
There are two types of business lines of credit. You can get either an unsecured line or a secured line.
The fact is, an unsecured line of credit is harder to get. Also, it usually costs more than a secured line of credit.
This is due to the increased risk to the lender with an unsecured business line of credit. A secured business line of credit has the safety net of collateral. Therefore, if you cannot or do not pay, the lender can still use the collateral to recover.
Some business owners either do not have collateral to offer, or they have no interest in tying up their assets with financing. In this case, an unsecured line of credit may be an option.
An unsecured line of credit typically has strict approval guidelines and qualifications. Due to the increase in credit risk, they will also likely have higher interest rates and less favorable repayment terms.
While nothing is a guarantee, there are some things you can do to help ensure you get the best possible business lines of credit for your business. Start by asking yourself these questions.
This is the basis of finding the best business line of credit for your needs. You have to actually know what your needs are. Here are some examples of how a business may use a line of credit.
Another example of this is a seasonal line of credit for a business that does the majority of its sales during a certain time of the year. A florist does a large percentage of sales during Valentine’s day, so a seasonal line of credit can come in handy to bridge the cash gap during other times of the year.
Shop around with different lenders to figure out which ones offer the best business lines of credit. You will want to look at factors such as interest rate and credit limit in relation to what you need and can afford.
Check with various types of lenders to get a feel for which ones offer what you need. Research larger banks, as well as small local institutions and credit unions. Don’t forget about online lenders either.
Your ability to get approval for the best business line of credit will be directly related to your business credit. While lenders may also consider income and cash flow, they are going to rely most heavily on your business credit score when making an approval decision about a line of credit.
A lower business credit score does not necessarily mean you can’t get approval, but it could greatly affect your interest rate and credit limit.
Find out why so many companies use our proven methods to get business loans.
Consider signing up for a credit monitoring service that lets you keep tabs on your business credit and what is affecting it each month.
Once you have a handle on why you need a business line of credit, what is available, and what you may actually be eligible for, you can make a decision as to where you are going to apply and which product you are going to apply for.
Determining which of these lenders offers the best business lines of credit for your business goes back to knowing what you need, who has it, and who will approve you for it.
If you are going to need to make payments, a line of credit is a better option. The reason is pretty simple. The credit rate is almost always lower. The few exceptions are those cards that offer 0% APR for a short period of time.
If you are going to use a credit card to make regular purchases that you are going to pay off immediately, and you qualify for a card with perks such as cash back, then you may find that you can benefit from using a credit card over a line of credit.
An example would be if you wanted to use your business credit card to make your monthly supplies purchase each month and then pay it off in the following month so that you could take advantage of the cash back.
To float a cash flow gap or make significant purchases that you will need pay out over a short amount of time, a line of credit is almost always the best choice.
Not all lenders offer them, but there are options available at many traditional and alternative type lenders. Which one you go with depends, again, on your specific situation.
Traditional lenders typically have the lowest interest rates. However, their repayment terms may be less flexible. They will also have harder to meet qualifications and a longer approval process. In addition, it can take several days after approval to have access to the funds.
An alternative lender will usually have easier to meet qualifications and more flexible repayment terms. The tradeoff is interest rates are much higher. The approval process is faster however, and in some cases, you can access funds in as little as 24 hours.
Since most small businesses will have a hard time getting approval from a traditional lender due to poor credit or a lack of sufficient credit history, here are some examples of what some alternative lenders are offering currently.
Kabbage offers a credit line of up to $150,000 with no credit score required. The catch is that the interest rate is between 32 and 108%. The business must have been in existence for at least one year and have revenue of at least $50,000.
Due to the extremely high interest rate, this is really only an option for those businesses that cannot get financing due to a low or nonexistent credit score and need something immediately.
There is a credit line available at StreetShares of up to $100,000 for those who have a business credit score of at least 600, have been in business for at least one year, and have at least $25,000 in revenue.
It requires weekly repayment.
Due to the lower revenue requirement, this is a good option for smaller businesses that are okay in the credit department but have trouble meeting higher revenue criteria. Also, the interest rate minimum is lower, with the low end at 9%.
If you have a credit score of at least 500 you can get a credit line of up to $100,000 with OnDeck. There is a $20 per month maintenance fee, and weekly repayment. The interest rate is a little higher here than with those that require a higher credit score minimum. It ranges from 13.99 to 39.99 percent.
Again, due to the higher interest rate, this should only be an option if you cannot meet the higher credit score requirement.
Find out why so many companies use our proven methods to get business loans.
The credit line offer from Lending Club goes up to a limit of $300,000. It requires a credit score of 600, at least one year in business, and at least $50,000 in revenue. The repayment term is 25 months. Also, they require collateral for limits over $100,000.
This is a good option for those who meet the requirement as there is a higher limit available with collateral, and the interest rate can go as low as 6.25%. The repayment terms are much friendlier as well.
A business line of credit can be a great option for funding, depending on your specific needs. Ask yourself first if you need a credit card or a line of credit. The truth is, it doesn’t hurt to have both. Then, do your research. Start with the list above, but don’t stop there. Do some research and find a product that will really give you what you are looking for.
In doing so, don’t forget to take other funding options into account. Not only are there various types of loans available, but crowdfunding and grant opportunities exist as well. Find out more about the various options available for funding a business and you just might find that at this point, you really need something other than a business line of credit. At the very least, you’ll have the knowledge going forward, which can only aid in your ability to make better funding decisions for your business.
The post You Could Take Over the World with Business Lines of Credit appeared first on Credit Suite.
Check out the best business credit cards!
We researched a number of company credit cards for you. So, here are our picks.
Per the SBA, small business credit card limits are a whopping 10 – 100 times that of consumer credit cards!
This reveals you can get a lot more money with small business credit. And it also shows you can have personal credit cards at retail stores. So, you would now have an additional card at the same retail stores for your company.
And you will not need collateral, cash flow, or financial data to get small business credit.
Benefits can vary. So, make certain to select the perk you prefer from this selection of options.
The Bank of America® Business Advantage Travel Rewards World Mastercard® credit card has no yearly fee and comes with a 0% introductory APR on purchases for the initial nine months. Afterwards, the card has a 13.24 – 23.24% variable APR
Earn 3 points/dollar spent when you book travel through the Bank of America Travel Center and 1.5 points/dollar on all other purchases. You can earn unlimited points and points will never expire.
There is a 25,000-point sign-up bonus when you spend $1,000 in the first 60 days of starting the account. Cardholders get travel accident insurance, and lost luggage reimbursement.
They additionally get trip cancellation coverage, trip delay reimbursement and other advantages.
There is no introductory rate for balance transfers. Also, bonus categories are limited.
Get it here: https://www.bankofamerica.com/smallbusiness/credit-cards/products/travel-rewards-business-credit-card/
Consider the JetBlue Plus Card for yet another offer of a 0% introductory APR
Get six points/dollar on JetBlue purchases, two points/dollar at dining establishments and grocery stores. And get one point/dollar on all other purchases.
Spend $1,000 in the first 90 days and pay the annual fee. So, then you can get 40,000 bonus points. New cardholders receive a 12-month, 0% introductory APR on balance transfers made in 45 days of account opening.
Thereafter, the variable APR on purchases and balance transfers is 17.99%, 21.99% or 26.99%, based on creditworthiness. Benefits include a free first checked bag and 50% savings on in-flight purchases.
There is a $99 yearly fee for this card.
Get it here: https://cards.barclaycardus.com/cards/jetblue-card/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Check out the Uber Visa Card. Uber is the first ride-sharing service to offer a credit card, in a partnership with Visa and Barclays.
The card offers 4% back per dollar spent at restaurants, takeout and bars, including UberEATS. Also, earn 3% back on hotel, airfare and vacation home rentals. And get 2% back on online purchases.
So, this includes retailers and subscription services like Uber and Netflix. And get 1% back on all other purchases. Each percent/point has a value of 1 cent. Redeem points for cash back, gift cards or Uber credits directly within the app.
By spending at least $500 in the first 90 days, users can earn a $100 sign-up bonus. Cardholders spending at least $5,000 yearly are eligible to receive a $50 credit toward online subscription services.
If you pay your cellular phone bill with this card, you are insured up to $600 for cellphone damage or theft.
Cardholders are eligible for exclusive access to specific events and offers. Uber anticipates the majority of these offers to be available in major cities like New York, San Francisco, Los Angeles, Chicago and DC. There is no foreign transaction fee.
But there is no introductory rate. So, the APR is a variable 16.99%, 22.74% or 25.74%, based on your creditworthiness. Cardholders with less than stellar credit will be on the higher end of the range.
Also, there are restrictions on Uber credits. To redeem points as credits in the Uber app, accumulate a minimum of 500 points, or $5. Cardholders can convert a maximum of 50,000 points, or $500, per day.
Get it here: https://www.uber.com/c/uber-credit-card/
Not taking Uber? Then you’ll want to fill your gas tank someway. Why not do so with the Costco Anywhere Visa® Business Card by Citi?
This credit card earns cash back with every purchase. Get 4% cash back on the first $7,000 spent on eligible gas purchases annually (1% after that). Get 3% cash back at restaurants and on eligible travel purchases. Also, earn 2% cash back at Costco and Costco.com. And earn 1% cash back on all other purchases.
So, keep in mind: the $0 yearly fee is only for Costco members. And an active Costco membership is required. Cardholders will get access to damage and theft purchase protection, extended warranty coverage and travel accident insurance.
Also, there is no sign-up bonus offered with this card.
Get it here: https://www.citi.com/credit-cards/credit-card-details/citi.action?ID=Citi-costco-anywhere-visa-business-credit-card
Have a look at the Ink Business Cash ℠ Credit Card. Businesses can get cash back with every single purchase. Spend $3,000 in the initial three months from account opening. And you’ll earn a $500 bonus cash back.
There is a $0 yearly fee with a 0% introductory APR for 12 months on purchases and balance transfers. Afterwards, the APR is a 15.24 – 21.24% variable.
The card features travel and purchase coverage benefits. So, this includes an auto rental collision damage waiver and extended warranty protection.
Earn extra cash back on business categories. So, these include office supply stores, telecommunications, gas stations and restaurants.
Note: this credit card has a balance transfer fee. Pay 5% of the amount transferred or $5, whichever is more. Also, there is a foreign transaction fee of 3%.
Get it here: https://creditcards.chase.com/small-business-credit-cards/ink-cash
Get a good look at the United MileagePlus Explorer Business Card.
Get 2 miles/dollar with United and at restaurants, filling stations and office supply stores. All other purchases get 1 mile/dollar. Earn a 50,000-mile sign-up bonus after spending $3,000 in the first three months from account opening.
Benefits include priority boarding, a free first checked bag for you and a companion on the same reservation.
Also, get two United Club passes annually. And get hotel and resort perks including upgrades. On top of that, get early check-in and late checkout. And get an auto rental collision damage waiver.
Also, get baggage delay insurance, lost luggage reimbursement, trip cancellation and interruption insurance. Finally, get trip delay reimbursement, purchase protection, price protection and concierge service.
After the first year, the card has an annual fee of $95. APR of 17.99% – 24.99%, based on creditworthiness.
Get it here: https://creditcards.chase.com/small-business-credit-cards/united-mileageplus-explorer-business
Another alternative is the Starwood Preferred Guest Business Credit Card from American Express.
This card is for those who stay at Starwood Preferred Guest and Marriott hotels often. Get six points per dollar of eligible purchases at participating SPG and Marriott Rewards hotels.
And get four points per dollar at American restaurants, American filling stations, and on American purchases for shipping.
Also, earn four points to the dollar on wireless telephone services purchased directly from US service providers. For all other eligible purchases, earn two points per dollar.
Get 75,000 bonus points when you spend $3,000 in the first three months of account opening. Benefits include free in-room premium internet access, Sheraton Club lounge access, and purchase protection.
Plus, you get car rental loss and damage insurance. And you get baggage insurance. There is also a global assistance hotline. And there is a roadside assistance hotline. And get travel accident insurance and extended warranty coverage.
The most significant issue is the yearly fee. There is a $0 introductory annual fee for the first year, then it’s $95 after that. Plus, there is no 0% introductory APR. Instead, there is a 17.74 – 26.74% variable APR
Get it here: https://www.americanexpress.com/us/credit-cards/business/business-credit-cards/spg-amex-starwood-credit-card
For fair credit, we like the Capital One Spark Classic for Business. It has no yearly fee. There are cash-back rewards. The card earns an unlimited 1% cash back on all purchases. There is an annual fee of $0.
With this card, you will get benefits including an auto rental collision damage waiver, and purchase security. And you also get extended warranty coverage. And you get travel and emergency assistance services.
But REMEMBER: the ongoing APR is 24.74% variable APR. And the penalty APR is even higher, 31.15%. Also, there is no sign-up bonus. In addition, this card reports monthly to personal credit. It does report to business credit as well, but they generally require a personal credit check and will always report to personal credit.
Get it here: https://www.capitalone.com/small-business/credit-cards/spark-classic/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Consider the IHG ® Rewards Club Premier Credit Card. it earns hotel rewards worldwide. For each dollar spent at participating IHG hotels, earn 10 points. Get two points per dollar spent at gas stations, grocery stores and restaurants.
Plus, all other purchases earn one point. New cardholders can earn an 80,000-point sign-up bonus when they spend $2,000 in the first three months of account opening.
This card offers a free one-night hotel stay per year. Plus, there is a variety of benefits like travel and purchase coverage and an upgrade to Platinum Elite status with the IHG Rewards Club. The club offers complimentary room upgrades when available and guaranteed room availability.
The biggest issue is that the card does not offer a zero percent APR introductory rate. And the standard APR is 17.99 – 24.99% variable. Also, the annual fee is $89.
Get it here: https://creditcards.chase.com/a1/ihg/premiernaep
This card earns six points/dollar spent at participating Marriott and SPG hotels. And get two points/dollar on all other purchases.
Spend $3,000 in the first three months from account opening and get two free night awards (each valued up to 35,000 points).
Cardholders get access to perks including a free one-night stay annually after account anniversary. Also get travel and purchase protection. So, this includes free standard in-room Wi-Fi and priority late checkout.
Perks include baggage delay reimbursement, and lost luggage reimbursement. There is also trip delay reimbursement. And there is purchase protection. Plus, there are concierge service and automatic Silver Elite status, which includes a 20% bonus on points.
Spend $35,000 each account year and get an upgrade to Gold Elite status. So, that includes a complimentary room upgrade, free daily breakfast and 4 PM late checkout.
There is an annual fee of $95. The APR is a 17.99– 24.99% variable.
Get it here: https://creditcards.chase.com/marriott/apply
Look at the Discover it® Cash Back card. There is a 10.99% introductory APR for six months from date of first transfer. So, this is for transfers under this offer which post to your account by January 10, 2019.
After the introductory APR expires, your APR will be 14.99% to 23.99%. So, this is based on your creditworthiness. Your APR will vary with the market, which is based upon the Prime Rate.
You can get 5% cash back at different places every quarter. So, these are places like gas stations, grocery stores, restaurants, Amazon.com, or wholesale clubs. But this is up to the quarterly maximum each time you activate. Also, automatically earn unlimited 1% cash back on all other purchases.
You will get an unlimited dollar-for-dollar match of all the cash back you have earned at the end of your first year, automatically.
Get it here: https://www.discover.com/credit-cards/cash-back/it-card.html
Be sure to look at the Discover it® Student Cash Back card. It has no yearly fee. The card also offers a six-month introductory period of 0% APR on purchases. And there is an APR of 14.99 – 23.99% variable on all purchases after that period.
One one-of-a-kind feature is that it offers an incentive for scholars to maintain good grades with a $20 statement credit. If students earn a GPA of 3.0 or better each school year, the card will award the $20 statement credit each year for up to five years.
Use this credit card to build personal credit. While this is a personal card versus a business credit card, for new credit users, their FICO scores will matter. And this credit card provides an excellent way to raise FICO while also getting rewards. Better personal credit can also, often, be the key to unlocking online lending.
You can earn 5% cash back at different places each quarter such as grocery stores, gas stations, restaurants or Amazon.com up to the quarterly maximum. After that, this card offers unlimited 1% cash back on all purchases.
In the initial year, all cash back rewards are matched 100%.
Downsides include a cash advance fee of either $10 or 5% of the amount of each cash advance, whichever is more. And though they waive the first late payment fee, a fee of up to $37 applies on all other late payments. There is also a returned payment fee of up to $37.
Get it here: https://www.discover.com/credit-cards/cash-back/it-card.html
Look at the SimplyCash Plus Business Credit Card from American Express. There is a $0 yearly fee. And there is a 0% APR on purchases. So this is for the first 15 months an account is open.
But when the introductory period runs out, the APR for purchases is 14.24 to 21.24%. So, this is variable and based on creditworthiness.
This credit card has several benefits. These include purchase protection, car rental loss and damage insurance. And they also include a baggage insurance plan, extended warranty coverage and a global assist hotline.
Also, earn 5% cash back at US office supply stores and on wireless phone services. So, these must be bought from US service providers. But this applies to the initial $50,000 of annual spending. Then, you get 1% cash back.
You also earn 3% cash back on spending category of your choice. So, this is from eight distinct categories. They include airfare, gas, advertising and computer purchases. But it applies to the first $50,000 of yearly spending. Then, you earn 1% cash back.
Cash-back bonuses are automatically credited to the customer’s billing statement.
Note: you cannot use this card for balance transfers. There is a foreign transaction fee of 2.7%. The card charges up to $38 in late fees. And the returned check fee is also $38. The penalty APR is 29.99%.
And, it kicks in if you have two or more late payments within 12 months. It can also apply if you fail to make the minimum payment on time or have a returned payment.
Get it here: https://www.americanexpress.com/us/small-business/credit-cards/simply-cash-plus-business-credit-card/44279
Look at the Capital One® Quicksilver® Card. It offers flat-rate rewards of 1.5% on all purchases. There are no limits to the amount of cash back rewards that cardholders can earn. Also, the card has a $0 annual fee.
New cardholders have a 0% APR on purchases and balance transfers for the first 15 months after opening the account. Then afterwards they have a 14.74 – 24.74% (variable) APR after that.
A cash bonus of $150 is available for those who make at least $500 in purchases in 3 months of account opening.
Also, cash back rewards do not expire for the life of the account. And there is no limit to how much you can earn.
This credit card also offers travel accident insurance. And you get an auto rental collision damage waiver. There are no foreign transaction fees. And there is extended warranty coverage.
Downsides are the flat reward rate, not allowing for any more than that. And the higher APR after the first 15 months.
Get it here: https://www.capitalone.com/credit-cards/quicksilver/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Check out the Wells Fargo Business Secured Credit Card. It charges a $25 yearly fee per credit card (up to 10 employee cards). It also requires a minimum security deposit of $500 (up to $25,000) and it is designed to help cardholders develop or rebuild their credit.
Choose this card if you wish to get 1.5% per dollar in purchases without any limits or get one point for every dollar in purchases. You also get 1,000 bonus points for every month your company makes $1,000 in purchases on the card.
Also, you get free FICO scores every month. There are no foreign transaction fees. It is possible to upgrade to unsecured credit. Your account is regularly reviewed. And you may become eligible for an upgrade to an unsecured card with responsible use over time. Approval is not guaranteed and depends on factors including how you manage this and your other accounts.
APR is the current prime rate plus 11.90%. There is no introductory APR period and no sign-up bonus. This is not a card for balance transfers.
Get it here: https://www.wellsfargo.com/biz/business-credit/credit-cards/secured-card/
Get a look at the Ink Business Preferred Credit Card from Chase. Cardholders earn 3 points for every dollar spent on travel, shipping, internet, cable, phone and qualifying advertising with the card. So, this is up to $150,000 each year. And all other purchases earn an unlimited one point per dollar spent.
This is a Visa card.
Cardholders get benefits like purchase protection, trip cancellation or interruption insurance. They also get cellphone protection. And they get extended warranty coverage. And they get an auto rental collision damage waiver.
Earn 80,000 bonus points when you spend $5,000 in the first 3 months from account opening. There is an annual fee of $95. You can add employee credit cards at no additional cost.
This credit card only offers 3 points per dollar to a limit of $150,000 a year. So, this is for travel, shipping, internet, cable, phone and qualifying advertising. All other purchases get an unlimited flat rate of one point per dollar. And there is no introductory APR
Get it here: https://creditcards.chase.com/small-business-credit-cards/ink-business-preferred
Your absolute best company credit cards hinge on your credit history and scores.
Only you can pick which features you want and need. So, be sure to do your homework. What is excellent for you could be disastrous for another person.
And, as always, be sure to establish credit in the recommended order for the best, fastest benefits.
The post Best Business Credit Cards appeared first on Credit Suite.
Need a business credit card balance transfer? Then look no further.
We researched a lot of company credit cards for you. So, here are our top picks, and more than a business credit card balance transfer.
Per the SBA, company credit card limits are a whopping 10 – 100 times that of personal cards!
This demonstrates you can get a lot more funds with business credit. And it also shows you can have personal credit cards at retailers. So, you would now have an extra card at the same retail stores for your company.
And you will not need collateral, cash flow, or financial data to get company credit.
Perks can differ. So, make sure to pick the perk you would prefer from this variety of options.
Have a look at the Discover it® Cash Back card. There is a 10.99% introductory APR for six months from date of first business credit card balance transfer. So, this is for any business credit card transfer under this offer which post to your account by January 10, 2019.
After the introductory APR expires, your APR will be 14.99% to 23.99%. So, this is based on your creditworthiness. Your APR will vary with the market, which is based on the Prime Rate.
You can earn 5% cash back at different places each quarter. So, these are establishments like gas stations, grocery stores, restaurants, Amazon.com, or wholesale clubs. But this is up to the quarterly maximum each time you activate. Also, automatically get unlimited 1% cash back on all other purchases.
You will get an unlimited dollar-for-dollar match of all the cash back you have earned at the end of your first year, automatically.
Get it here: https://www.discover.com/credit-cards/cash-back/it-card.html
Check out the Uber Visa Card. Uber is the very first ride-sharing service to offer a credit card, in a partnership with Visa and Barclays.
The card offers 4% back per dollar spent at restaurants, takeout and bars, including UberEATS. Also, get 3% back on hotel, airfare and vacation home rentals. And get 2% back on online purchases.
So, this includes retailers and subscription services like Uber and Netflix. And get 1% back on all other purchases. Each percent/point has a value of 1 cent. Redeem points for cash back, gift cards or Uber credits directly within the app.
By spending at least $500 in the initial 90 days, users can earn a $100 sign-up bonus. Cardholders spending a minimum of $5,000 yearly are eligible to receive a $50 credit toward online subscription services.
If you pay your cellular phone bill with this card, you are insured up to $600 for cellphone damage or theft.
Cardholders are eligible for exclusive access to specific events and offers. Uber anticipates most of these offers will be available in major cities like New York, San Francisco, Los Angeles, Chicago and DC. There is no foreign transaction fee.
But there is no introductory rate. So, the APR is a variable 16.99%, 22.74% or 25.74%, based on your creditworthiness. Cardholders with less than stellar credit will be on the higher end of the range.
Also, there are restrictions on Uber credits. To redeem points as credits within the Uber app, accrue at least 500 points, or $5. Cardholders can convert a maximum of 50,000 points, or $500, per day.
Get it here: https://www.uber.com/c/uber-credit-card/
Not taking Uber? Then you’ll want to fill your gas tank somehow. Why not do so with the Costco Anywhere Visa® Business Card by Citi?
This card earns cash back with every purchase. Earn 4% cash back on the first $7,000 spent on eligible gas purchases annually (1% after that). Get 3% cash back at restaurants and on eligible travel purchases. Also, earn 2% cash back at Costco and Costco.com. And earn 1% cash back on all other purchases.
So, keep in mind: the $0 annual fee is only for Costco members. And an active Costco membership is required. Cardholders will get access to damage and theft purchase protection, extended warranty coverage and travel accident insurance.
Also, there is no sign-up bonus available with this card.
Get it here: https://www.citi.com/credit-cards/credit-card-details/citi.action?ID=Citi-costco-anywhere-visa-business-credit-card
Check out the Ink Business Cash ℠ Credit Card. Companies can get cash back with each purchase. Spend $3,000 in the initial three months from account opening. And you’ll get a $500 bonus cash back.
There is a $0 yearly fee with a 0% introductory APR for 12 months on purchases and business credit card balance transfer. Thereafter, the APR is a 15.24 – 21.24% variable.
The card features travel and purchase coverage benefits. So, this includes an auto rental collision damage waiver and extended warranty protection.
Earn extra cash back on business categories. So, these include office supply stores, telecommunications, gas stations and restaurants.
Note: this card has a business credit card balance transfer fee. Pay 5% of the amount transferred or $5, whichever is greater. Also, there is a foreign transaction fee of 3%.
Get it here: https://creditcards.chase.com/small-business-credit-cards/ink-cash
Get a good look at the United MileagePlus Explorer Business Card.
Earn 2 miles/dollar with United and at restaurants, gas stations and office supply stores. All other purchases earn 1 mile/dollar. Earn a 50,000-mile sign-up bonus after spending $3,000 in the initial three months from account opening.
Benefits include priority boarding, a free first checked bag for you and a companion on the same reservation.
Also, get two United Club passes annually. And get hotel and resort perks including upgrades. On top of that, get early check-in and late checkout. And get an auto rental collision damage waiver.
And also, get baggage delay insurance, lost luggage reimbursement, trip cancellation and interruption insurance. Finally, get trip delay reimbursement, purchase protection, price protection and concierge service.
After the first year, the card has an annual fee of $95. APR of 17.99% – 24.99%, based on creditworthiness.
Get it here: https://creditcards.chase.com/small-business-credit-cards/united-mileageplus-explorer-business
Another possibility is the Starwood Preferred Guest Business Credit Card from American Express.
This credit card is for those who stay at Starwood Preferred Guest and Marriott hotels often. Get six points per dollar of eligible purchases at participating SPG and Marriott Rewards hotels.
And get four points per dollar at American restaurants, American gas stations, and on American purchases for shipping.
Also, get four points to the dollar on wireless telephone services purchased directly from US service providers. For all other eligible purchases, earn two points per dollar.
Earn 75,000 bonus points when you spend $3,000 in the first three months of account opening. Benefits include free in-room premium internet access, Sheraton Club lounge access, and purchase protection.
Plus, you get car rental loss and damage insurance. And you get baggage insurance. There is also a global assistance hotline. And there is a roadside assistance hotline. And get travel accident insurance and extended warranty coverage.
The biggest issue is the yearly fee. There is a $0 introductory annual fee for the first year, then it’s $95 thereafter. Plus, there is no 0% introductory APR. Instead, there is a 17.74 – 26.74% variable APR
Get it here: https://www.americanexpress.com/us/credit-cards/business/business-credit-cards/spg-amex-starwood-credit-card
Check out the JetBlue Plus Card for yet another offer of a 0% introductory APR
Earn six points/dollar on JetBlue purchases, two points/dollar at eating establishments and grocery stores. And get one point/dollar on all other purchases.
Spend $1,000 in the first 90 days and pay the yearly fee. So, then you can get 40,000 bonus points. New cardholders get a 12-month, 0% initial APR on any business credit card balance transfer made within 45 days of account opening.
After that, the variable APR on purchases and any business credit card balance transfer is 17.99%, 21.99% or 26.99%, based upon creditworthiness. Benefits include a free first checked bag and 50% savings on in-flight purchases.
There is a $99 yearly fee for this card.
Get it here: https://cards.barclaycardus.com/cards/jetblue-card/
For average credit, we like the Capital One Spark Classic for Business. It has no yearly fee. There are cash-back rewards. The card gets an unlimited 1% cash back on all purchases. There is an annual fee of $0.
With this card, you will get benefits including an auto rental collision damage waiver, and purchase security. And you also get extended warranty coverage. And you get travel and emergency assistance services.
But KEEP IN MIND: the ongoing APR is 24.74% variable APR. And the penalty APR is even higher, 31.15%. Also, there is no sign-up bonus. In addition, this card reports monthly to personal credit. It does report to business credit as well, but they generally require a personal credit check and will always report to personal credit.
Get it here: https://www.capitalone.com/small-business/credit-cards/spark-classic/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Look at the Capital One® Quicksilver® Card. It offers flat-rate rewards of 1.5% on all purchases. There are no limits to the amount of cash back rewards which cardholders can earn. Also, the card has a $0 yearly fee.
New cardholders have a 0% APR on purchases and any business credit card balance transfer for the first 15 months after opening the account. And then they have a 14.74 – 24.74% (variable) APR after that.
A cash bonus of $150 is on offer for those who make at the very least $500 in purchases within 3 months of account opening.
Also, cash back rewards do not expire for the life of the account. And there is no limit to how much you can earn.
This credit card also offers travel accident insurance. And you get an auto rental collision damage waiver. There are no foreign transaction fees. And there is extended warranty coverage.
Downsides are the flat reward rate, not allowing for any more than that. And the higher APR after the first 15 months.
Get it here: https://www.capitalone.com/credit-cards/quicksilver/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Be sure to look at the Discover it® Student Cash Back card. It has no yearly fee. The credit card also offers a six-month introductory period of 0% APR on purchases. And there is an APR of 14.99 – 23.99% variable on all purchases after that period.
One distinct feature is that it provides an incentive for students to maintain good grades with a $20 statement credit. If scholars earn a GPA of 3.0 or better each school year, the card will award the $20 statement credit annually for up to five years.
Use this credit card to build personal credit. While this is a personal credit card versus a company credit card, for new credit users, their FICO scores will be vital. And this card provides an excellent way to raise FICO while also getting rewards. Better personal credit can also, often, be the key to unlocking online lending.
You can earn 5% cash back at different places each quarter such as grocery stores, gas stations, restaurants or Amazon.com up to the quarterly maximum. After that, this credit card offers unlimited 1% cash back on all purchases.
In the initial year, all cash back rewards are matched 100%.
Downsides include a cash advance fee of either $10 or 5% of the amount of each cash advance, whichever is greater. And though they waive the first late payment fee, a fee of up to $37 applies on all other late payments. There is also a returned payment fee of up to $37.
Get it here: https://www.discover.com/credit-cards/cash-back/it-card.html
Consider the IHG ® Rewards Club Premier Credit Card. it gets hotel rewards worldwide. For each dollar spent at participating IHG hotels, earn 10 points. Get two points per dollar spent at gas stations, grocery stores and restaurants.
Plus, all other purchases earn one point. New cardholders can get an 80,000-point sign-up bonus when they spend $2,000 in the first three months of account opening.
This card provides a free one-night hotel stay annually. Plus, there is a variety of benefits like travel and purchase coverage and an upgrade to Platinum Elite status with the IHG Rewards Club. The club offers complimentary room upgrades when available and guaranteed room availability.
The biggest issue is that the card does not offer a zero percent APR introductory rate. And the standard APR is 17.99 – 24.99% variable. Also, the annual fee is $89.
Get it here: https://creditcards.chase.com/a1/ihg/premiernaep
This card earns six points/dollar spent at participating Marriott and SPG hotels. And get two points/dollar on all other purchases.
Spend $3,000 in the first three months from account opening and get two free night awards (each has a value of up to 35,000 points).
Cardholders get access to perks including a free one-night stay every year after account anniversary. Also get travel and purchase protection. So, this includes free standard in-room Wi-Fi and priority late checkout.
Perks include baggage delay reimbursement, and lost luggage reimbursement. There is also trip delay reimbursement. And there is purchase protection. Plus, there are concierge service and automatic Silver Elite status, which includes a 20% bonus on points.
Spend $35,000 each account year and be upgraded to Gold Elite status. So, that includes a complimentary room upgrade, free daily breakfast and 4 PM late checkout.
There is an annual fee of $95. The APR is a 17.99– 24.99% variable.
Get it here: https://creditcards.chase.com/marriott/apply
Get a look at the Ink Business Preferred Credit Card from Chase. Cardholders earn 3 points for every dollar spent on travel, shipping, internet, cable, phone and qualifying advertising with the card. So, this is up to $150,000 each year. And all other purchases earn an unlimited one point per dollar spent.
This is a Visa credit card.
Cardholders get benefits like purchase protection, trip cancellation or interruption insurance. They also get cellphone protection. And they get extended warranty coverage. And they get an auto rental collision damage waiver.
Get 80,000 bonus points when you spend $5,000 in the first 3 months from account opening. There is an annual fee of $95. You can add employee cards at no additional cost.
This card only offers 3 points per dollar to a limit of $150,000 a year. So, this is for travel, shipping, internet, cable, phone and qualifying advertising. All other purchases earn an unlimited flat rate of one point per dollar. And there is no introductory APR
Get it here: https://creditcards.chase.com/small-business-credit-cards/ink-business-preferred
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Your outright best business credit cards hinge on your credit history and scores.
Only you can choose which features you want and need. So, make sure to do your homework. What is excellent for you could be disastrous for somebody else.
And, as always, make certain to establish credit in the recommended order for the best, quickest benefits.
The post Business Credit Card Balance Transfer appeared first on Credit Suite.
Building business credit is not like building personal credit. When building personal credit, you simply do the things you do every day and your credit score builds passively. You do not have to do anything special to start or build personal credit. You can just open accounts, make purchases, pay them off, and your score builds from there. Business credit is different however. You have to actively work at it, and it takes vendors to build business credit.
Building business credit is a process. There are many steps in the process. Using vendors to build business credit is actually one of the last steps. There are many steps you will need to take to ensure you can properly use vendors to build business credit.
Check out our best webinar with its trustworthy list of seven vendors to help you build business credit.
You absolutely cannot start to use vendors to build business credit if your business does not have a foundation of fundability. Here’s why. Vendors will report to the business credit reporting agencies, but those agencies will not be able to tell you from your business. Wondering how you ensure your business is set up to be fundable? We’ll tell you.
A small business has to be fundable to lenders and merchants. The first step in this process, the one that allows vendors to report payments to your business credit report rather than your personal credit, is to separate your business from yourself. The business needs to be recognizable as an entity separate from the owner, and thus have financial transactions that are not related to the owner’s personal finances. Here is how you start.
First, you have to ensure your business has its own phone number, fax number, and address. Now don’t panic. That doesn’t mean you have to get a separate phone line, or even a separate location. You can still run your business from your home or on your computer if that is what you want. You do not even have to have a fax machine.
In fact, you can get a business phone number and fax number pretty easily that will work over the internet instead of phone lines. In addition, the phone number will forward to any phone you want it too so you can simply use your personal cell phone or landline if you want. Whenever someone calls your business number it will ring straight to you.
Faxes can be sent to an online fax service, if anyone ever happens to actually fax you. This part may seem outdated, but it does help your business appear legitimate to lenders.
You can use a virtual office for a business address. How do you get a virtual office? What is that? It’s not what you may think. This is a business that offers a physical address for a fee, and sometimes they even offer mail service and live receptionist services. In addition, there are some that offer meeting spaces for those times you may need to meet a client or customer in person.
You will also need a separate email address. Make sure it has the same URL as your business website. It shouldn’t be from a free service.
The next thing you need to do is get an EIN for your business. This is an identifying number for your business that works in a way similar to how your SSN works for you personally. Some business owners used their SSN for their business. This is what a lot of sole proprietors and partnerships do. However, it really doesn’t look professional to lenders, and it can cause your personal and business credit to get all mixed up. When you are looking to increase fundability, you need to apply for and use an EIN. Get one for free from the IRS.
This is the most important step in fundability thus far. Incorporating your business as an LLC, S-corp, or corporation is essential. It lends credence to your business as one that is legitimate. It also offers some protection from liability. For business credit building, it is a necessary step in separating your business from yourself.
Which option you choose does not matter as much building credit as it does for your budget and needs for liability protection. The best thing to do is talk to your attorney or a tax professional. What is going to happen is that you are going to lose the time in business that you have. When you incorporate, you become a new entity. You basically have to start over. You’ll also lose any positive payment history you may have accumulated as well.
This is why you have to incorporate as soon as possible. Not only is it necessary for fundability and for building business credit, but so is time in business. The longer you have been in business the more fundable you appear to be. That starts on the date of incorporation, regardless of when you actually started doing business.
You have to open a separate, dedicated business bank account. There are a few reasons for this. First, it will help you keep track of business finances. It will also help you keep them separate from personal finances for tax purposes.
There’s more to it however. There are several types of funding you cannot get without a business bank account. Many lenders and credit cards want to see one with a minimum average balance. In addition, you cannot get a merchant account without a business account at a bank. That means, you cannot take credit card payments. Studies show consumers tend to spend more when they can pay by credit card.
Lastly, many of the best vendors to build business credit require you to have a business bank account before they will extend credit.
Due to this fact, a small business needs a professional-looking website and email address. And it needs to have site hosting you actually pay for. A free hosting service looks unprofessional.
You will also have to get a D-U-N-S Number from Dun & Bradstreet. It’s free and easy to do on their website, but beware. They will try to sell you other services you do not need. The number is free. You definitely need it to use vendors to build business credit. Without it, you will not have a business credit profile with Dun & Bradstreet. Since they are the largest and most commonly used business CRA, you need a profile with them.
Check out our best webinar with its trustworthy list of seven vendors to help you build business credit.
Here is why you need vendors to build business credit. There is a vicious cycle in which you have to have credit to get credit. Most lenders and credit issuers will not extend credit if you do not have a good business credit score. However, there are certain vendors, known as starter vendors, that will extend credit without even doing a credit check. They break this cycle. Still, they do reduce their risk in other ways. You need to know what they look for.
These vendors that do not check credit are in what we like to call the Vendor Credit Tier. We recognize 4 tiers in the business credit building process, and the vendor credit tier is where you will find vendors to build business credit. Typically, they offer net terms on invoices rather than revolving credit. This means, if you get an approval for $1,000 in vendor credit and use all of it, you must pay that money back in a set term, such as within 30 days on a Net 30 account.
Then, after you make payment, they will report your payment to the business credit reporting agencies.
There are a few such vendors out there. Here are some options to help get you started.
Not every vendor can help in the same way true starter credit can. These are vendors that grant an approval with negligible effort. You also need them to be reporting to one or more of the big three CRAs. These are Dun & Bradstreet, Equifax, and Experian.
Uline sells shipping, packing, and industrial supplies. Also, they report to Dun & Bradstreet. This means you must have a D-U-N-S number.
In addition, they ask for 2 references and a bank reference. The first few orders might need to be paid in advance to get approval for Net 30 terms.
Quill is another true starter vendor. They sell office, packaging, and cleaning supplies. They report to D&B and Experian.
Since Quill reports to two separate credit reporting agencies, you get two credit experiences with them. Place an initial order first unless you already have a D&B score.
Generally, they put you on a 90-day prepayment schedule. If you order items each month for 3 months, they usually approve you for a Net 30 Account.
Grainger Industrial Supply is likewise a true starter vendor. They sell safety equipment, plumbing supplies, and more. Like Uline, they report to D&B. To qualify, you must have a business license, EIN, and of course a D-U-N-S number.
For under a $1000 credit limit they approve almost anybody with a business license.
You need 5 to 8 of these types of accounts to move onto the next step, which is the retail credit tier.
Be sure to check with any vendors you already do business with and ask if they will extend net terms or vendor credit of some sort and report to the business CRAs. They do not have to, but they might since they already have a relationship with you.
Likewise, ask your landlord and utilities companies if they will report your payments to them. Again, they are under no obligation to do so. However, if you ask them, they just might do it. If they do, this will only build your business credit faster.
Check out our best webinar with its trustworthy list of seven vendors to help you build business credit.
Once there are 5 to 8 or more vendor trade accounts reporting to at least one of the CRAs, then progress to the retail credit tier. These are companies like Office Depot and Staples. They offer revolving credit only to be used in their own store or website.
After there are 8 or 10 of these types of account reporting, you can move to the fleet credit tier. These are service providers like BP and Conoco. Use this credit to buy fuel, and to repair, and take care of vehicles. Only use your Social Security Number and date of birth on these applications for verification purposes. For credit checks and guarantees, make certain to apply using the company’s EIN.
If you have been responsibly managing the credit you’ve gotten up to this point, you can start to apply for credit in the cash credit tier. These are companies that extend credit not limited by location or type of purchase. Typically, these accounts have higher limits, better interest rates, and sometimes they even offer rewards!
It is important that you monitor your business credit for many reasons. However, when you are using vendors to build business credit it is even more important. This is how you will keep up with which vendors are reporting. Then, you can know when your score may be strong enough to move on to the next credit tier.
Furthermore, you will be able to keep an eye on the overall health of your credit score and catch any mistakes that may pop up.
Like I said before, not all vendors will work to build business credit. Not only do they have to extend credit relatively easily without a credit check, but they also have to report your payments to the proper agencies. We’ve provided you with a list of a few to start with, and there are more vendors to build business credit out there. Do you research and find the ones that work best for your situation.
The post Why You Need Vendors to Build Business Credit appeared first on Credit Suite.
Producing with Business Credit Cards Service bank card have actually ended up being prominent as a resource of funding for small companies. The financial institutions that provide company bank card and also lots of sector onlookers have actually determined local business charge card as a possible location for considerable development. The individual bank card market …
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Experian is one of the big three credit reporting agencies. Equifax and Dun & Bradstreet are the other two. In fact, Experian keeps business credit profiles on 99.9% of all American companies. Furthermore, it boasts the most in-depth information on small and midsize businesses. Knowing this, it is easy to see why your Experian business credit score is important.
Obviously, the score is important. As a result, it is necessary to know how Experian gets their data on your business. How do they calculate your Experian business credit score? What does their report tell lenders? More than that, can you improve your score if it isn’t great?
Keep your business protected with our professional business credit monitoring.
According to Experian, all their information comes from third parties. This means you cannot add any information to your company credit profile. That said, you can still review your report for mistakes.
You still have to ensure your business is set up properly. If it isn’t, third parties will not recognize your company as a business. You have to establish your business as an entity separate from yourself. Otherwise, your business transactions will get mixed up with personal transactions. They may show up on your personal credit report. This will cause a huge tangle of a mess.
To separate your business from yourself, make sure your business has the following.
You have to set up your business to be separate from yourself so your business accounts will report to the business CRAs. With Experian, the main business credit score and report is the Intelliscore Plus. Along with your Experian business credit score, the report contains the following:
First, there is the standard identifying information. This includes company name and address, in addition to any ownership information. This part also lists important personnel and the type of company you have. Time in business, number of employees, and the amount of yearly sales are also in this section.
After this, there is a section that lists how delinquent payments are, along with how many days late they are. It also provides an overall trend. For example, the lowest and highest balance for the past six months. Current balance is also shown. So it shows the credit limit available to your business. And this is how the report gives an idea of the credit utilization rate for your company.
In addition, this part lists the number of tradelines your business holds. It also includes how many times a company has checked your credit and any UCC filings.
It also shows the percent of businesses doing worse than yours as well. The number of bankruptcies, liens, and judgments are in this section too.
The credit summary shows your business’s Experian credit score. Also, it links to information on what goes into the score and tips on the best ways to improve it.
Next, you see the payment summary. There are line graphs for monthly and quarterly payment trends. Conveniently, it also shows where the numbers come from. There is even a graph that shows the monthly payment trend in relation to the what is average for the industry.
Below this, there are three bar charts showing payment trends for the past 6 months. This is as reported from the tradelines.
The next part is about how your business has done with its payments, broken down by type of account.
Next up are inquiries into your small business’s credit. The list names companies making inquiries and the month the inquiry was made.
If your company has any collection filings, the listing is here by date. It includes collection agency name, status, amounts, and the close date, if appropriate.
The summary is relatively self-explanatory. It is just below the collection filings portion.
Keep your business protected with our professional business credit monitoring.
Here, Experian lists all the data it has on your business relationships. Specifically, this includes relationships with insurance, commercial banking, and leasing companies. For example, how much credit was extended? When did the loan start? What is the remaining balance, if any?
Next is the report on legal information. It includes the court where a judgment was filed, the date, and how much it was for.
Tax lien filing information is similar to judgment filings. The only difference is there is a listing for a filing location instead of court.
In this section you will see the following information related to UCC filings:
Just beneath is the UCC filings summary, broken down by filing period and type of filing.
Experian will also include an entrepreneur profile for smaller companies. The purpose is to show the relationships between you, the person, and your business. This automatically links the credit history of more than 5 million business owners to their business credit report.
It makes it much easier for your creditors to access your personal credit. This aids them in determining your overall creditworthiness. That’s important. It means that you can do the work to establish separate business credit. But your personal credit still matters. But this is in some cases.
The Intelliscore Plus credit score is a credit-risk evaluation based on statistics. The goal is to help businesses, investors, and prospective lenders make decisions about creditworthiness.
It’s similar to how lenders use your personal credit score. Before they decide to lend money to you, they check your credit score. The Intelliscore Plus can provide an idea of the credit risk associated with a specific business.
The scores range from 1 to 100. The higher your score, the lower your risk class. Alternatively, the lower your score, the higher your risk class. The chart below describes each range and what it means to lenders.
Score Range Risk Class
76 – 100 Low
51 – 752 Low – Medium
26 – 503 Medium
11 – 254 High – Medium
1 – 105 High
In the credit world, Intelliscore Plus is one of the best tools for predicting risk. One reason is that they identify key factors that show how likely a business is to pay their debt.
There are over 800 of these factors. However, they can all fit into the following general categories.
Not surprisingly, this is how well you are making payments. It includes the number of times your accounts become delinquent. It also shows the percent of accounts that are currently late. Your overall trade balance is listed too.
Frequency refers to the amount of times your accounts have been sent to collections. It includes the number of liens and judgments you may have. Any bankruptcies related to your business or personal accounts also show up here.
In addition, frequency has to do with your payment patterns. Were you regularly slow or late with payment? Did you start off paying bills late but get better over time?
This specific factor focuses on how you use credit. For example, how much of your available credit is currently in use? Do you have a high ratio of delinquent balances in relation to your credit limits?
If you are about to start a business or are somewhat new to this game, the list above may seem a bit overwhelming. But what if your business is not yet in operation? Or you do not have a long history of business transactions? Then how will they rate you?
In this case, a blended model is used to establish your score. That means they consider your personal consumer credit score with your business’s credit score.
Experian offers a number of other products as well. These include reports designed to help you as the owner monitor your business credit.
This one is currently $149 monthly and contains mobile-friendly alerts and score improvement tips.
This report is currently priced at $49.95. It features comprehensive financial payment data and predictive information on payment behavior.
This is the least expensive of the reports, currently priced at $39.95. Basically, it includes comprehensive business and credit information. Also, there is a summary of financial payment data.
This report sells for $99 right now. It shows the value of your company and contains Key Performance Indicators. Additionally, it shows your business’s fair market value.
Keep your business protected with our professional business credit monitoring.
Experian also furnishes premium corporate profiles at an addition cost. The enhanced profiles contain even more detail including:
This is in addition to the data supplied in their basic corporate profiles. They also have information on credit inquiries made in the past nine months.
Not surprisingly, you can subscribe to business credit alerts. Experian’s Business Credit Advantage program serves as a self-monitoring service. You get unlimited access to your business’s business credit report and score. You can make use of this tool for proactively handling your business credit. Alerts are sent for:
There are ways to monitor your Experian business credit score for a fraction of the cost. Be sure to do your research.
If your Experian business credit score isn’t the best, there are a few things you can do to improve it. It takes time, but it is possible.
Paying your bills on time will help establish your small business as one that meets financial obligations. This will eventually help push your score up. As a result, lenders will view your business as low risk.
Keep your debt low. That’s good advice. Still, opening business credit accounts can help raise your credit score. The key is to use all credit responsibly.
By now, you’re aware that your personal credit is fair game when it comes to your Intelliscore Plus score. Running a business is hard work. However, don’t let your personal finances suffer. See to it you stay on top of your personal debt. Steer clear of credit checks that are not necessary. Basically, do not compromise your personal credit for business needs.
Your credit score from all of the business credit reporting agencies is important. Each one can affect your ability to get funding. One isn’t more important than the other. This is because you never know which agency a lender may use.
However, credit score isn’t the only thing that matters. Business credit scores are just one piece of overall business fundability. There is so much more to it. Fundability as a whole is much more complicated than just business credit. The bigger picture is just as important.
What makes up this bigger picture? There are a number of things that go into fundability. For example, you have to have all of the licenses necessary to run your business. In addition, there has to be consistency in your business information across all platforms. Of course, your business has to be set up to be fundable as well. All of this and more comes together to form the complete fundability of your business. Are you wondering if your business is fundable? Take a minute and do an analysis of fundability and see what you find out.
The post Everything You Need to Know About Your Experian Business Credit Score appeared first on Credit Suite.
Building business credit is entirely different from building personal credit. With personal credit, it simply builds passively as you use credit throughout the course of your life. Business credit is a different story. You have to actively take steps to ensure that your business transactions are reported on your business credit report, not your personal credit report.
When you ask yourself how do I build business credit, you have to understand that business credit works differently than personal credit. For example, unlike personal credit, there are at least 3 distinct steps you need to take to build business credit. However, it can be helpful to first understand the relationship between business credit and fundability. This will provide much needed perspective as you work through each step.
Check out our best webinar with its trustworthy list of seven vendors to help you build business credit.
Business credit is important to the fundability of your business. However, it is not the sole source of your business fundability. A foundation of fundability is necessary for business credit, and business credit is necessary for fundability. If you have poor business credit, your business cannot be fundable. Likewise, if your business is not set up to be fundable, you will not be able to build business credit. So, now you are really asking yourself, how do I build business credit?
If you ever want your business to be fundable on its own, apart from you, it must be set up in this way. That’s not to say that your personal credit will not ever affect fundability, but if you do not set your business up to be a separate entity, business credit will never even be on the table.
Like any foundation, it is best to start at the beginning. It will be faster and easier if you do. However, if your business is already up and running, you may not have that option. That’s okay. It’s never too late to start, but start now. The longer you wait the harder it will be, for several reasons. How do you set up a fundable foundation?
The first answer to the question of how do I build business credit, is to separate your business from yourself. One step in this process is to make sure you and your business have separate contact information. Your business needs its own phone number, fax number, and address. That doesn’t mean you have to get a separate phone line, or even a separate location. You can still run your business from your home. You don’t even have to have a fax machine.
In fact, you can easily get a business phone number and fax number that will work over the internet instead of phone lines. Even better, the phone number will forward to any phone you want it too so you can simply use your personal cell phone or landline. Whenever someone calls your business number it will ring straight to you.
Faxes can be sent to an online fax service, if anyone ever happens to actually fax you. This part may seem outdated, but it does help with appearances.
You can use a virtual office for a business address. This isn’t what you may think. it is a business that offers a physical address for a fee, and sometimes they even offer mail service and live receptionist services. Also, there are some that offer meeting spaces for those times you may need to meet a client or customer in person if you do not have a place.
The next thing you need to do is get an EIN for your business. This is an identifying number that works in a way similar to how your SSN works for you personally. Some business owners use their SSN for their business. However, it really doesn’t look professional to lenders, and it can cause your personal and business credit to get all mixed up. When you want to work on fundability and business credit, you need to apply for and use an EIN. You can get one for free from the IRS.
Incorporating your business as an LLC, S-corp, or corporation is necessary to both fundability and business credit. It lends credence to your business as one that is legitimate. It also offers some protection from liability.
Which option you choose does not matter as much for fundability as it does for your budget and needs for liability protection. The best thing to do is talk to your attorney or a tax professional. What is going to happen is that you are going to lose the time in business that you have. When you incorporate, you become a new entity. You basically have to start over. You’ll also lose any positive payment history you may have accumulated..
This is why you have to incorporate as soon as possible. Not only is it necessary for fundability and for building business credit, but so is time in business. The longer you have been in business the more fundable you appear to be. That starts on the date of incorporation, even if you were in business before that time.
You have to open a separate, dedicated business bank account. There are a few reasons for this. First, it will help you keep track of business finances. It will also help you keep them separate from personal finances for tax purposes.
Also, there are several types of funding you cannot if you do not have a business bank account. Many lenders and credit cards want to see one with a minimum average balance. In addition, you cannot get a merchant account without one. That means, you cannot take credit cards payments. Studies show consumers typically spend more when they can pay by credit card.
For a business to be legitimate it has to have all of the necessary licenses it needs to run. If it doesn’t, red flags are going to fly up all over the place. Do the research you need to do to ensure you have all of the licenses necessary to legitimately run your business.
How can a business website can affect you ability to get funding? These days, you do not exist if you do not have a website. However, having a poorly put together website can be even worse. It is the first impression you make on many, and if it appears to be unprofessional it will not bode well for you with consumers or potential lenders.
Spend the time and money necessary to ensure your website is professionally designed and works well. Pay for hosting too. Don’t use a free hosting service. Along these same lines, your business needs a dedicated business email address. Make sure it has the same URL as your Website. Don’t use a free service such as Yahoo or Gmail.
This is the part that a lot of business owners miss the boat on. It isn’t easy to get credit in the name of your business when you don’t have credit to begin with. There are a few tips that can help you jump over this hurdle however. Once you break this wall down, you can work your way up through the credit tiers.
Check out our best webinar with its trustworthy list of seven vendors to help you build business credit.
The other part that is missed by many is that you have to have a D-U-N-S number for this to work. Dun & Bradstreet is the largest and most commonly used business credit reporting agency, and if you do not have a D-U-N-S number, you do not have a file with them. If payments are reporting to them and there is no corresponding D-U-N-S, the payments will not be counted. To build business credit you absolutely have to have this number. Find out more about building business credit with D&B here.
Vendors you already have a relationship with may be willing to extend credit without a credit check. If not, they may offer net 30 terms on invoices. They don’t have to, so you will have to ask. The worst that can happen is they say no. If they say yes, ask them to report the payments to the business credit agencies.
You pay things like utilities, rent, and internet each month anyway. Ask those providers to report your payments to the business credit reporting agencies. If they say yes, make sure your accounts are set up in your business name with your business contact information. Again, the worst they can say is no.
How do I build business credit? Starter vendors are the business credit building secret that most business owners are unaware of. There are certain vendors, known in the business credit building world, as starter vendors. These are part of what we like to call the vendor credit tier. They are certain retailers that will extend Net 30 terms in your business name without a credit check. Then, after you pay, they will report those payments to the business credit report agencies (CRAs).
This is how you can get the ball rolling with business credit. Since they do not check your credit score, it doesn’t matter than you do not have one. Of course, they do have other risk reducing techniques in place. These vary by vendor. Here are a few such starter vendors to help you get started. When you ask yourself how do I build business credit, starter vendors are a huge part of the answer.
Quill sells office supplies as well as cleaning and packaging supplies. Products range from office furniture and printer ink to snacks and coffee.
They report to D&B. If you do not already have a PAYDEX score, you will have to place an initial order first. Generally speaking, they establish a 90-day prepay schedule, and if you order each month for three months, they will most often approve you for a Net 30 account.
Go here to get started with Quill.
Grainger sells power tools, pumps, hardware and other things. In addition, they can handle maintenance of your auto fleet. You need a business license and EIN to quality, as well as a D-U-N-S number.
You can apply by fax or over the phone. If you need less than $1,000 in credit, you only need a business license for approval. For over $1,000, you will need trade and bank references.
If you are just starting out and do not have references, the $1,000 is plenty to get you started building your business credit. Check them out here.
Behalf is way of getting paid through an app, but they also offer funding. The more you have your customers pay you through Behalf, the more likely Behalf is to offer you favorable terms when it comes to funding.
Funding can be through purchase financing or a virtual Mastercard option. Terms run from Net 30 to 180 days, and they report to Dun & Bradstreet, Experian, and Equifax. This fact alone, that they report to all the major credit reporting agencies, makes them an extremely valuable tool in building business credit.
Find out more here.
After you have 8 or so of these types of accounts reporting payments to your business credit report, you should have a strong enough score to move on to the next tier. We call this the retail credit tier. They are retailers as well, but offer more traditional credit. These are credit cards for use at specific stores such as Office Depot or Lowes. This is also sometimes referred to as store credit.
After you have several of these store credit account reporting, you can apply for cards in the fleet credit tier. These are gas cards with companies such as Shell and Fuelman. They can be used for fuel and auto repair and maintenance only.
Lastly, with accounts reporting from all these tiers, you should have a score strong enough to apply for cards from what we call the cash credit tier. Of course, that is only if you have been making payments consistently on time.
These are traditional credit cards that are not attached to a specific store or tied down to certain types of purchases. They can be used for anything and everything. In addition, they often have better interest rates and nice rewards programs.
The last step in building business credit sounds kind of passive, but it is in fact very active and very important. You must actively monitor your business credit reports for a number of reasons. First, you need to see that all accounts are reporting. Not only that, but you need to see how many you have reporting so you know when to move on to the next tier.
Check out our best webinar with its trustworthy list of seven vendors to help you build business credit.
Other than that, you have to monitor your report to ensure you get any mistakes corrected and that all information is updated as needed. You must request corrections in writing, and send copies of supporting documentation. You can monitor with the CRAs directly, but we can help you monitor with D&B and Experian here for a fraction of the cost.
Business credit is built through a very specific process. It isn’t hard, but it isn’t passive either. It does take effort. You have to ensure your business is set up to be fundable. In addition, you have to know where to go to get accounts reporting initially. After that, it’s all about making wise decisions and managing your credit responsibly.
Don’t forget, business credit is just one part of overall fundability. Learn more about what else can affect fundability here.
The post How Do I Build Business Credit? A Step-by-Step Guide appeared first on Credit Suite.
We researched to find the best startup credit card for you. So, here are our top picks.
Per the SBA, small business credit card limits are a whopping 10 – 100 times that of personal cards!
This demonstrates you can get a lot more money with small business credit. And it also shows you can have personal credit cards at stores. So, you would now have an extra card at the same stores for your company.
And you will not need collateral, cash flow, or financial data to get company credit.
Benefits can vary. So, make certain to pick the perk you like from this array of options.
The Bank of America® Business Advantage Travel Rewards World Mastercard® credit card has no yearly fee and comes with a 0% introductory APR on purchases for the initial nine months. Thereafter, the card has a 13.24 – 23.24% variable APR
Earn 3 points/dollar spent when you book travel via the Bank of America Travel Center and 1.5 points/dollar on all other purchases. You can get unlimited points and points will never expire.
There is a 25,000-point sign-up bonus when you spend $1,000 in the first 60 days of starting the account. Cardholders get travel accident insurance, and lost luggage reimbursement.
They also get trip cancellation coverage, trip delay reimbursement and other perks.
There is no introductory rate for balance transfers. Also, bonus categories are limited.
Get it here: https://www.bankofamerica.com/smallbusiness/credit-cards/products/travel-rewards-business-credit-card/
Consider the JetBlue Plus Card for one more offer of a 0% introductory APR
Earn six points/dollar on JetBlue purchases, two points/dollar at dining establishments and grocery stores. And get one point/dollar on all other purchases.
Spend $1,000 in the first 90 days and pay the annual fee. So, then you can earn 40,000 bonus points. New cardholders get a 12 month, 0% introductory APR on balance transfers made in 45 days of account opening.
Afterwards, the variable APR on purchases and balance transfers is 17.99%, 21.99% or 26.99%, based on creditworthiness. Benefits include a free first checked bag and 50% savings on in-flight purchases.
There is a $99 annual fee for this card.
Get it here: https://cards.barclaycardus.com/cards/jetblue-card/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Check out the Uber Visa Card. Uber is the very first ride-sharing service to offer a credit card, in a partnership with Visa and Barclays.
The card offers 4% back per dollar spent at restaurants, takeout and bars, including UberEATS. Also, get 3% back on hotel, airfare and vacation home rentals. And earn 2% back on online purchases.
So, this includes retailers and subscription services like Uber and Netflix. And get 1% back on all other purchases. Each percent/point has a value of 1 cent. Redeem points for cash back, gift cards or Uber credits directly in the app.
By spending at least $500 in the initial 90 days, users can earn a $100 sign-up bonus. Cardholders spending at least $5,000 yearly are eligible to receive a $50 credit toward online subscription services.
If you pay your cell phone bill with this card, you are insured up to $600 for cellphone damage or theft.
Cardholders are eligible for exclusive access to specific events and offers. Uber anticipates most of these offers will be available in major cities like New York, San Francisco, Los Angeles, Chicago and DC. There is no foreign transaction fee.
But there is no introductory rate. So the APR is a variable 16.99%, 22.74% or 25.74%, based on your creditworthiness. Cardholders with less than stellar credit will be on the higher end of the range.
Also, there are restrictions on Uber credits. To redeem points as credits in the Uber app, accumulate at least 500 points, or $5. Cardholders can convert a maximum of 50,000 points, or $500, per day.
Get it here: https://www.uber.com/c/uber-credit-card/
Not taking Uber? Then you’ll need to fill your gas tank someway. Why not do so with the Costco Anywhere Visa® Business Card by Citi?
This card earns cash back with every purchase. Earn 4% cash back on the first $7,000 spent on eligible gas purchases annually (1% after that). Get 3% cash back at restaurants and on eligible travel purchases. Also, earn 2% cash back at Costco and Costco.com. And earn 1% cash back on all other purchases.
So keep in mind: the $0 yearly fee is only for Costco members. And an active Costco membership is required. Cardholders will get access to damage and theft purchase protection, extended warranty coverage and travel accident insurance.
Also, there is no sign-up bonus offered with this card.
Get it here: https://www.citi.com/credit-cards/credit-card-details/citi.action?ID=Citi-costco-anywhere-visa-business-credit-card
Consider the Ink Business Cash ℠ Credit Card. Small businesses can get cash back with every single purchase. Spend $3,000 in the first three months from account opening. And you’ll get a $500 bonus cash back.
There is a $0 yearly fee with a 0% introductory APR for 12 months on purchases and balance transfers. Thereafter, the APR is a 15.24 – 21.24% variable.
The card includes travel and purchase coverage benefits. So, this includes an auto rental collision damage waiver and extended warranty protection.
Earn bonus cash back on business categories. So, these include office supply stores, telecommunications, gas stations and restaurants.
Note: this card has a balance transfer fee. Pay 5% of the amount transferred or $5, whichever is greater. Also, there is a foreign transaction fee of 3%.
Get it here: https://creditcards.chase.com/small-business-credit-cards/ink-cash
Get a good look at the United MileagePlus Explorer Business Card.
Earn 2 miles/dollar with United and at restaurants, filling stations and office supply stores. All other purchases earn 1 mile/dollar. Earn a 50,000-mile sign-up bonus after spending $3,000 in the initial three months from account opening.
Benefits include priority boarding, a free first checked bag for you and a companion on the same reservation.
Also, get two United Club passes annually. And get hotel and resort perks including upgrades. In addition, get early check-in and late checkout. And get an auto rental collision damage waiver.
Plus, get baggage delay insurance, lost luggage reimbursement, trip cancellation and interruption insurance. Finally, get trip delay reimbursement, purchase protection, price protection and concierge service.
After the first year, the card has an annual fee of $95. APR of 17.99% – 24.99%, based on creditworthiness.
Get it here: https://creditcards.chase.com/small-business-credit-cards/united-mileageplus-explorer-business
Another choice is the Starwood Preferred Guest Business Credit Card from American Express.
This card is for those who stay at Starwood Preferred Guest and Marriott hotels often. Earn six points per dollar of eligible purchases at participating SPG and Marriott Rewards hotels.
And earn four points per dollar at American restaurants, American gas stations, and on US purchases for shipping.
Also, earn four points to the dollar on wireless telephone services purchased directly from US service providers. For all other eligible purchases, earn two points per dollar.
Get 75,000 bonus points when you spend $3,000 in the first three months of account opening. Benefits include free in-room premium internet access, Sheraton Club lounge access, and purchase protection.
Plus, you get car rental loss and damage insurance. And you get baggage insurance. There is also a global assistance hotline. And there is a roadside assistance hotline. And get travel accident insurance and extended warranty coverage.
The most significant issue is the annual fee. There is a $0 introductory annual fee for the first year, then it’s $95 after that. Plus, there is no 0% introductory APR. Instead, there is a 17.74 – 26.74% variable APR
Get it here: https://www.americanexpress.com/us/credit-cards/business/business-credit-cards/spg-amex-starwood-credit-card
For average credit, we like the Capital One Spark Classic for Business. It has no yearly fee. There are cash-back rewards. The card gets an unlimited 1% cash back on all purchases. There is an annual fee of $0.
With this card, you will get benefits including an auto rental collision damage waiver, and purchase security. And you also get extended warranty coverage. And you get travel and emergency assistance services.
But KEEP IN MIND: the ongoing APR is 24.74% variable APR. And the penalty APR is even higher, 31.15%. Also, there is no sign-up bonus. In addition, this card reports monthly to personal credit. It does report to business credit as well, but they generally require a personal credit check and will always report to personal credit.
Get it here: https://www.capitalone.com/small-business/credit-cards/spark-classic/
Have a look at the Discover it® Cash Back card. There is a 10.99% introductory APR for six months from date of first transfer. So, this is for transfers under this offer which post to your account by January 10, 2019.
After the introductory APR expires, your APR will be 14.99% to 23.99%. So, this is based on your creditworthiness. Your APR will vary with the market, which is based on the Prime Rate.
You can get 5% cash back at different places every quarter. So, these are establishments like gas stations, grocery stores, restaurants, Amazon.com, or wholesale clubs. But this is up to the quarterly maximum each time you activate. In addition, automatically earn unlimited 1% cash back on all other purchases.
You will earn an unlimited dollar-for-dollar match of all the cash back you have earned at the end of your first year, automatically.
Get it here: https://www.discover.com/credit-cards/cash-back/it-card.html
Be sure to look at the Discover it® Student Cash Back card. It has no yearly fee. The credit card also has a six-month introductory period of 0% APR on purchases. And there is an APR of 14.99 – 23.99% variable on all purchases after that period.
One special feature is that it provides an incentive for scholars to maintain good grades with a $20 statement credit. If scholars earn a GPA of 3.0 or better each school year, the card will award the $20 statement credit annually for up to five years.
Use this credit card to build personal credit. While this is a personal credit card versus a company card, for new credit users, their FICO scores will matter. And this credit card offers an excellent way to raise FICO while also getting rewards. Better personal credit can also, often, be the key to unlocking online lending.
You can get 5% cash back at different places each quarter like grocery stores, gas stations, restaurants or Amazon.com up to the quarterly maximum. After that, this credit card offers unlimited 1% cash back on all purchases.
In the first year, all cash back rewards are matched 100%.
Downsides include a cash advance fee of either $10 or 5% of the amount of each cash advance, whichever is greater. And although they waive the first late payment fee, a fee of up to $37 applies on all other late payments. There is also a returned payment fee of up to $37.
Get it here: https://www.discover.com/credit-cards/cash-back/it-card.html
Have a look at the Wells Fargo Business Secured Credit Card. It charges a $25 annual fee per credit card (up to 10 employee cards). It also requires a minimum security deposit of $500 (up to $25,000) and it is meant to help cardholders build or rebuild their credit.
Select this credit card if you want to get 1.5% per dollar in purchases with no limits or earn one point for every dollar in purchases. You also get 1,000 bonus points for every month your company makes $1,000 in purchases on the card.
Also, you get free FICO scores every month. There are no foreign transaction fees. It is possible to upgrade to unsecured credit. Your account is regularly reviewed. And you may become eligible for an upgrade to an unsecured card with responsible use over time. Approval is not guaranteed and depends on factors including how you manage this and your other accounts.
APR is the current prime rate plus 11.90%. There is no introductory APR period and no sign-up bonus. This is not a credit card for balance transfers.
Get it here: https://www.wellsfargo.com/biz/business-credit/credit-cards/secured-card/
Check out at the Chase Sapphire Preferred® Card for travel points.
You can get two points per dollar spent on travel and dining at restaurants. And you can earn one point per dollar on all other purchases. Points can be redeemed for cash back, gift cards, or travel.
The card’s benefits include trip cancellation insurance, travel and emergency assistance services. They also include an auto rental collision damage waiver, purchase protection and extended warranty protection.
When you spend $4,000 in the first 3 months from account opening, you will earn 50,000 bonus points. These points are worth $625 if you redeem them for travel through Chase Ultimate Rewards.
You can get an unlimited two points per dollar for travel and dining at restaurants. And after that get one point per dollar for all other purchases. Points will transfer equally to 13 leading frequent travel programs with partners. So, these include British Airways, Southwest Airlines, United, and Marriott.
There is no 0% introductory APR on purchases or balance transfers. The card’s standard APR is 17.74 – 24.74% variable. Also, the card has an annual fee of $0 introductory for the first year. And then it skyrockets to $95.
Get it here: https://creditcards.chase.com/rewards-credit-cards/chase-sapphire-preferred
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Get a look at the Ink Business Preferred Credit Card from Chase. Cardholders earn 3 points for every dollar spent on travel, shipping, internet, cable, phone and qualifying advertising with the card. So, this is up to $150,000 each year. And all other purchases earn an unlimited one point per dollar spent.
This is a Visa card.
Cardholders get benefits like purchase protection, trip cancellation or interruption insurance. They also get cellphone protection. And they get extended warranty coverage. And they get an auto rental collision damage waiver.
Get 80,000 bonus points when you spend $5,000 in the first 3 months from account opening. There is an annual fee of $95. You can add employee cards at no additional cost.
This card only offers 3 points per dollar to a limit of $150,000 a year. So, this is for travel, shipping, internet, cable, phone and qualifying advertising. All other purchases earn an unlimited flat rate of one point per dollar. And there is no introductory APR
Get it here: https://creditcards.chase.com/small-business-credit-cards/ink-business-preferred
Check out the SimplyCash Plus Business Credit Card from American Express. There is a $0 yearly fee. And there is a 0% APR on purchases So this is for the first 15 months an account is open.
But when the introductory period runs out, the APR for purchases is 14.24 to 21.24%. So, this is variable and based on creditworthiness.
This credit card has various benefits. These include purchase protection, car rental loss and damage insurance. And they also include a baggage insurance plan, extended warranty coverage and a global assist hotline.
Also, get 5% cash back at US office supply stores and on wireless phone services. So, these must be bought from American providers. But this applies to the initial $50,000 of annual spending. Then, you get 1% cash back.
You also get 3% cash back on spending category of your choice. So, this is from eight distinct categories. They include airfare, gas, advertising and computer purchases. But it applies to the first $50,000 of yearly spending. Then, you get 1% cash back.
Cash-back bonuses are automatically credited to the customer’s billing statement.
Note: you cannot use this card for balance transfers. There is a foreign transaction fee of 2.7%. The card charges up to $38 in late fees. And the returned check fee is also $38. The penalty APR is 29.99%.
And, it kicks in if you have two or more late payments within 12 months. It can also apply if you fail to make the minimum payment on time or have a returned payment.
Get it here: https://www.americanexpress.com/us/small-business/credit-cards/simply-cash-plus-business-credit-card/44279
Check out the Capital One® Quicksilver® Card. It offers flat-rate rewards of 1.5% on all purchases. There are no limits to the amount of cash back rewards which cardholders can earn. Also, the card has a $0 yearly fee.
New cardholders have a 0% APR on purchases and balance transfers for the first 15 months after opening the account. And after that they have a 14.74 – 24.74% (variable) APR after that.
A cash bonus of $150 is available for those who make at the very least $500 in purchases within 3 months of account opening.
Also, cash back rewards do not expire for the life of the account. And there is no limit to how much you can earn.
This credit card also offers travel accident insurance. And you get an auto rental collision damage waiver. There are no foreign transaction fees. And there is extended warranty coverage.
Downsides are the flat reward rate, not allowing for any more than that. And the higher APR after the first 15 months.
Get it here: https://www.capitalone.com/credit-cards/quicksilver/
Establish business credit fast with our research-backed guide to 12 business credit cards and lines.
Be sure to check out the Capital One® Spark® Miles for Business card. With this card, you can get 2 miles per dollar on all purchases. When you spend $4,500 within the first 3 months of opening an account, you can earn 50,000 miles. So, that is worth $500 in travel.
Benefits for cardholders include an auto rental collision damage waiver, and purchase security. And they also include extended warranty coverage. And you get travel and emergency assistance services.
Cardholders will pay $0 introductory for first year. But they will pay $95 after that for the annual fee.
There is no 0% APR for purchases or balance transfers with this card. The APR is 18.74% (variable).
Get it here: https://www.capitalone.com/small-business/credit-cards/spark-miles/
Have a look at the IHG ® Rewards Club Premier Credit Card. it earns hotel rewards worldwide. For each dollar spent at participating IHG hotels, earn 10 points. Earn two points per dollar spent at gas stations, grocery stores and restaurants.
And all, other purchases earn one point. New cardholders can earn an 80,000-point sign-up bonus when they spend $2,000 in the first three months of account opening.
This card offers a free one-night hotel stay annually. Plus, there is a wide array of benefits like travel and purchase coverage and an upgrade to Platinum Elite status with the IHG Rewards Club. The club offers complimentary room upgrades when available and guaranteed room availability.
The biggest issue is that the card does not offer a zero percent APR introductory rate. And the standard APR is 17.99 – 24.99% variable. Also, the annual fee is $89.
Get it here: https://creditcards.chase.com/a1/ihg/premiernaep
This card earns six points/dollar spent at participating Marriott and SPG hotels. And get two points/dollar on all other purchases.
Spend $3,000 in the initial three months from account opening and get two free night awards (each valued up to 35,000 points).
Cardholders get access to perks including a free one-night stay each year after account anniversary. Also get travel and purchase protection. So, this includes free standard in-room Wi-Fi and priority late checkout.
Perks include baggage delay reimbursement, and lost luggage reimbursement. There is also trip delay reimbursement. And there is purchase protection. And also, there are concierge service and automatic Silver Elite status, which includes a 20% bonus on points.
Spend $35,000 each account year, and be upgraded to Gold Elite status. So, that includes a complimentary room upgrade, free daily breakfast and 4 PM late checkout.
There is an annual fee of $95. The APR is a 17.99– 24.99% variable.
Get it here: https://creditcards.chase.com/marriott/apply
Your absolute best startup credit card will hinge on your credit history and scores.
Only you can select which features you want and need. So, make sure to do your homework. What is excellent for you could be disastrous for another person.
And, as always, make sure to build credit in the recommended order for the best, fastest benefits.
The post Best Startup Credit Card appeared first on Credit Suite.