The biggest problem for budding entrepreneurs and small business owners is to secure credit for their business. The most obvious route they take is to mingle their personal credit with a business loan, a faux pas in totality. They end up spending their creditworthiness through their personal loan cards. But do you know that the same financial institutions which provide your credit cards also issue small business owners with business-credit cards without personal guarantees? Of course, your business needs to be credible for obtaining such credit lines.


Once you have established a credible business entity, it is then your duty to establish its creditworthiness. This is attained by reporting the transactions on your business loan cards to the business credit bureau. Similar to a personal credit report, a business credit report is essential to build the creditworthiness of your business credit report bureaus you should be targeting. Unless and until you have established your credibility with at least three of them, laying your hands-on business credit cards without a personal guarantee is tough. If you are thinking of applying right away, consider the information presented below.


  • If the business loan application of an organization is declined, the organization cannot apply again for the following 6 months.
  • The application will be disqualified if it is made thrice or more within 90 days.
  • Very few or just 5 percent of business lenders care to report your creditworthiness to credit bureaus. Not reporting it impedes the creditworthiness of your business. Thus choose business establishments that regularly report your regular payments to business credit bureaus.

It is possible to get business credit cards without personal guarantees. Such type of application is usually made by small business organizations and entrepreneurs to take care of Sunday expenses.


How to get Business Credits Cards?

To get business credit cards, a few things are of integral importance

A Strong Business Plan

The primary requisite to impress any association into allowing you credit is a great idea. Prepare the plan in a detailed and strong manner focusing on its harvests. It shall empower you to make more money. Be very specific about the areas which are going to need monetary help.

Market Research

Do your research well. Talk to vendors and buyers about the cash flow and other specifics. In some cases, you need not even approach companies for credit cards, because you will be able to find vendors who are ready to hold credit accounts. However, if you do need business credit cards without personal guarantees, a strong knowledge of the functioning of the industry you’re in is essential.


Applying Well

Start small and choose a local vendor for your card. More often than not, your existing finance company would have an offer for business credit cards and it will be easier to secured one from them too. Furnish information such as your company’s contacts and financial documentation to the issuing institution. In the case of small businesses, primary owners also need to present information about personal finances. Legal paperwork like your DBA and employer tax ID might prove necessary for your application for business credit cards without personal guarantees.