hi all i am 1099 and when i went to do my taxes this year the tax specalist put me down as Sole Propietor. when i talked to multiple people about this they all recommended i switch to S-Corp (even my tax specialist recommended i switch aswell).
the only problem with switching is that most of my business expenses (Gas and Food mostly), i've put on my own personal credit cards and so now i've been looking at Business Credit Cards like the Chase Ink brands.
my questions are:
1) If i switch to S-Corp will i still be able to use my personal cards? i don't mind doing the extra sorting through statements. besides most of my spending is business related anyway (i would say 90% is business spending) so it's pretty easy to sort personal from business.
2) If i do get a Business Credit Card such as one of the Chase Ink Credit Cards can i still transfer UR points over to my personal points and vice versa?
3) I've heard that the Chase Ink CC do not count as part of their 5/24 rule, is this true?
4) Since most of my spending is business related wouldn't this mean i would also be at risk of CLD on my personal credit cards since they will see less and less spending? This is my main concern because i've work really hard on my Credit Profile.
5) Would a Business Credit Card show up on my Personal Credit Profile? meaning if i get a CLI on my Business CC would that improve my Credit Ultilization on my Personal Credit Profile.
most of my concerns for switching to S-Corp involve how it would affect my Personal Credit Profile why is why i figured i'd ask here before i decide what to do.
4) Not really, some creditors are touchy about that like Amex, but we have accounts we use a couple times a year with 5k+ limits and no issues. Also, if you're putting it all on personal the bank can't decipher which is business and which is personal. But I would definitely recommend a business card.
no i mean let's say i spend $1,000 a month for both personal and business across all my CC and then i get a Business CC this would lower the spending on my Personal CC which in turn could lead to CLD for less spending, even though the spending is still there it's just on a different card which happens to be business.