Business credit cards to get your business going

Advertising Disclosure

Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Cards for Business » Business credit cards to get your business going

Business credit cards to get your business going

By
Add to Favorites:

A credit card could be a very powerful financial instrument when all other resources fail and as absurd as it may sound a credit card could be used to finance a small business during its inception stage. Many modern day businesses legends have used the credit card as a leverage to kick start their business.

Before putting this idea into action you must consider you're plus and minus points. If you have a paying job at the time of starting your business a credit card can be very effective. The income coming from your job can be used to keep up with credit card monthly pay offs, while you draw the money needed to run your business. This is one form of capital most people with jobs has within their reach. Credit card companies will be satisfied if you obey their dictums and make your payments in time and in doing so you can expect frequent raises in your credit limit.

It all looks very convenient and easy. But there are always the 'ifs' to contemplate. What if you work up a credit of 10 to 20 thousands dollars and your business fall flat on its face? How are you going to payback the balances at an interest of nearly 20%? This is not a business but personal debt and there is no scope for an escape clause. The money has to be paid back and the creditors will see to it that it is done.  The lesson is that before jumping on to this idea, you must have a payment pay back plan on your drawing board on how you are going to pay the monthly balances and where the money for those monthly installments are going to come from. Make an effort to pay little more than your monthly minimum payment on the balances.

Organize your finances in an orderly fashion. Start with maintaining a good credit record. Before starting the business get rid of other financial obligations and dues, if any. Never be late in your monthly payments and ensure you at least pay the minimum amount required and do not default a payment. Having a good credit rating may get you a 0% interest resulting in interest free credit for a considerable amount of time which may be enough to kick start your business.

By scouting for a lower interest credit card, having a sensible payback plan, maintaining a good credit rating and avoiding penalties, one may be successful in using a credit card as a financial base to start up a business.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

5 Reasons to Get the Capital One Venture Miles Rewards Card

5 Reasons to Get the Capital One Venture Miles Rewards Card

By Herbert Moore, Posted: January 18, 2017

If you’re looking for a great travel rewards credit card—one that offers unlimited earning opportunities, flexible redemption, and lots of perks—look no further. This card from Capital One has you covered. Continue reading
Credit Card Tips For Holiday Shopping 2016

Credit Card Tips For Holiday Shopping 2016

By Herbert Moore, Posted: November 23, 2016

November and December are the busiest months as gift shopping reaches its peak. People rush around looking for the best gifts and the best deals leaving a lot of money in the shops. Holiday season may force you to go over the household ... Continue reading
Credit Cards to Save More on Holiday Shopping

Credit Cards to Save More on Holiday Shopping

By Herbert Moore, Posted: November 22, 2016

Discounts and special offers are available all year round. Werther you are a bargain hunter or an impulse buyer, make sure you check online discounts and special offers. Also, if you are a cardholder, see if your credit card opens the door ... Continue reading