How to apply for a business credit card

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Do you qualify as a business owner? Here's what you need to know before applying for a business credit card.

for your needs, you can start the application process. Applying for a business credit card isn't that different from applying for a personal credit card. You'll still be required to enter contact information, revenue and other details.The name of your company. If you freelance or have a sole proprietorship, enter your name.Where your business is located, which can be your personal address. And you can list a work or personal phone.

The amount of money your business makes each year. Report your total annual business revenue; not your business profit. Don't exaggerate this number since you may be required to provide documentation verifying it.Tax identification number:Personal information:How a business card affects your personal credit

When you open a business credit card, your personal credit will typically be reviewed by the card issuer, resulting in a hard inquiry on your personal credit report. This often causes your personalto drop a few points, but it can bounce back in a few months with responsible card use. When you use a business card, the actions you take with your card may be reflected on your personal credit report. That means any balances and payment history can affect your personal credit. Some card issuers only report negative information to personal credit bureaus, while others may report both the good and the bad.

You should always use your business credit card responsibly, with a plan to pay it off on time and in full each month, so you avoid damaging your personal credit.Opinions, analyses, reviews or recommendations expressed in this article are those of the CNBC Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.

 

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