How to Choose the Best Credit Card for Your Small Business

The number of businesses affected by the credit crunch has been decreasing, but a third of small firms are still finding it hard to get adequate financing. Does your business fall into that group?  If so, STRADA Capital can help you to get financing.  However, you’ll still need to ascertain which type of credit card will suit your business best.

What are your business needs?

Businesses vary and no card can be suitable for all. It is important to narrow your search by first understanding what your needs are exactly. Depending on your requirements, you can choose from four card types:

Corporate credit cards

These are designed with large businesses in mind. They can be government entities, charitable organizations, or corporations. A good number of corporate accounts also issue employee credit cards for free.

Special interest credit cards

These cards are meant to meet a particular need. For example, some cards work with specified airlines, and this is only beneficial if you or your employees fly often with that airline.

Charge cards

This is the card to go for if you can manage to pay your bill in full monthly.  Although they have stricter payment requirements, charge cards offer the same features as an ordinary business card.

Low-interest credit

Low-interest credit cards allow you to carry your credit over to the next billing cycle with minimal interest. Some even charge you zero interest for a specified number of months. They are good for your business if you can’t afford to pay your bills monthly.

Check your credit scores

Knowing your credit score allows you to zoom in on only those credit cards you are eligible for. Blindly applying for a card when you have a bad score may trigger a hard inquiry into your credit report. When determining the creditworthiness of a company, the credit scores of both the business owner and the company itself are considered.

Choose wisely

It’s difficult to predict whether you application for a credit card will be accepted. However, come research can give you a fair idea.

For example, some issuers won’t even state what their minimum credit score requirement is. To make a calculated guess, ask Google and you will get answers from credit experts.

Even if you need to secure a credit card by means of a loan or by going the secured credit card route, it is worth it in the long run.  Contact STRADA Capital today to acquire the working capital you need to get your business’s credit back on track.

  1. Hello, im a fresh start up company , do you work with fresh startups? do you need our business plan and projections? letters of intent? or just going on personal credit scores? i wish to consolidate all of our credit and purchase a commercial property and 2 trucks and 2 trailers? personal credit scores are 1 is in the 595 to 650 range and 1 is in the 650-680 range.

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