Advantages of small business credit cards

There are some definite advantages associated with small business credit cards. Here are some of the perks you can expect from a credit card aimed at helping small businesses:

• No annual fee. Many business credit cards have an annual fee. However, there are credit cards out there that are designed for small businesses that do not charge annual fees. Some of them do charge fees, but are willing to waive the annual fee for the first year. Some will even waive the fee for the second year as well. Other small business credit cards will waive the fee every year, so long as you make a certain dollar amount in purchases annually.
• Free additional cards for employees. It can be expensive to have to pay for card issuance to employees. Many small business credit cards will give you a limited number of additional cards for free. These cards are meant to make purchases easier by letting employees make necessary buys on the credit card. Some companies will even provide statements that break out what each employee is spending on his or her card. This is a valuable tool that can help you decide whether or not someone is to lose card privileges.
• Generous credit limits. A small business card issuer knows that you may not have access to all the capital you need. A generous spending limit can help you with your cash flow, and ensure that you can buy the things that will keep your business on the right track. There are some small business credit cards that do not have a pre-set credit limit. This means that you have an open credit cline that allows you to get virtually anything you need.
• Personalized checks. Some business credit cards also come with checks. These allow you to do things other than swipe the plastic credit card. With business checks, you can pay bills, get cash without paying a cash advance fee and do other things. It can be very helpful to have checks along with your credit card.
• Travel perks and help. Another great thing about small business credit cards is that it is possible to enjoy a variety of rewards programs – including travel. Many small business credit cards come with rewards points and travel helps that include such items as rental care discounts and insurance, hotel discounts, airline miles and other travel related perks.
• Specific business bonuses. In some cases, you may want specific rewards opportunities tailored to fit your business. This can mean access to goods and services, as well as to discounts on these items. Many issuers can help you choose features and amenities for your small business credit card that are individually useful for your business.

Small business credit cards and your credit history

It is important to note that your credit history will play a role in your small business credit card. This is because your business has its own report, separate from your personal credit report. It is very important that you understand that your business credit history will have an impact on the kind of small business credit cards and programs that you will have access to.

If you have a start up company, or if your small business has had credit trouble in the past, you may find it difficult to get a credit card. Or, you may have to pay higher interest charges or even a higher annual fee if your business is not up to scratch. However, even with these higher rates and fees, it can be worth it to have a small business credit card.

Here are some of the things to consider when looking at small business credit cards:

• Interest rate (including intro rate).
• Fees charged (balance transfer, service, over the limit, late payment, etc.).
• Rewards program.
• Credit limit.
• Payment flexibility.

When choosing a business credit card, you should be discerning, and do your best to get the card that best fits your business needs, as well as one that offers you a good deal.