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Credit Card for a New Startup Business

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Anonymous
Not applicable

Credit Card for a New Startup Business

I just formed an LCC, and I need a credit card. Here are the basics:

 

  • The new business has no credit history yet
  • My personal FICO scores are all around 800
  • My goals for the card (in order) are:
    • To aid in establishing credit
    • Convenience for purchases (especially because I won't have credit with some vendors for awhile)
    • Rewards?
  • I will never carry a balance (I have other financing in place), so APR isn't really an issue
  • I wouldn't mind securing the card for awhile, although I would want to make sure I could convert it to an unsecured card so I could retain it as my oldest tradeline without it being a liability
  • Ideally, I would want to use the card to make purchases of up to about $5000. If that's not an option in the short term, though, it wouldn't be a deal-breaker. My bank will temporarily lift the limit on my debit card when I know I have to make a purchase, so I have that option.
  • I don't anticipate any travel with this business
  • I prefer not to have an oldest card with an annual fee, so that I don't feel like I'm compelled to keep it if I'm inclined not to at some point down the road

 

I'm making a few assumptions about how business credit reporting works based on my understanding of personal credit. I realize I may be mistaken, as I know nothing about business credit reporting.

 

Any suggestions for a business credit card for a new startup?

Message 1 of 5
4 REPLIES 4
Blodreina
Established Contributor

Re: Credit Card for a New Startup Business

Mods will probably move this post to Business credit.  Regardless, I would recommend visiting that subforum for your question(s).

 

http://ficoforums.myfico.com/t5/Business-Credit/bd-p/businesscredit

Message 2 of 5
Anonymous
Not applicable

Re: Credit Card for a New Startup Business

We also are a new LLC scores in the 700's we applied with BOA and Amex with our projected income as well as some contracts we currently have out.

We were approved for 9k BOA and 6k Amex.

Both have promo offers right now BOA $200 when you spend $500 on the CashRewards or $250 for $1,000 spent on Travel Rewards (we don't Travel but we have this card because it has no foreign transaction fees which is a HUGE plus for us).

Amex is spend 5k in 6 months get $200 bonus then if you spend another 10k before 12 months you get another $200.

That's just my experience we are building our business credit from the ground up as well. I wouldn't apply for more than 2 cards to start as it may get you flagged.
Message 3 of 5
Anonymous
Not applicable

Re: Credit Card for a New Startup Business

Thank you, Falere, and I see they did move it.

Message 4 of 5
Anonymous
Not applicable

Re: Credit Card for a New Startup Business

Thank you, Matt. I'll check those out.

 

I'm with you on limiting the credit apps. I'll likely limit myself to one credit card application that I am confident will be approved. And I'll be talking with my banker about some form of a small loan, too, which I'd be happy to have secured (the purpose is only to build the credit).

Message 5 of 5
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