Big Bonuses with Business Credit Cards

By Tim, founder of Travel Multiplier.

You do not always need a corporation, storefront, or employees to apply for a business credit card. Sole proprietors and freelancers may be eligible, but the requirements and approval decision depend on the issuer and card.

Who May Be Eligible

Some issuers allow a sole proprietor to apply using a Social Security number instead of an EIN; others may have different requirements. Describe your actual business and report its information accurately. A side hustle does not guarantee approval. Chase explains business-card applications for sole proprietors.

The Benefits of Business Credit Cards

Business cards may offer welcome bonuses, rewards on business purchases, and spending-management features. Offers, spending requirements, fees, and protections vary by card. Compare those terms with expenses your business already expects to have; a large bonus is not a reason to spend more than planned.

Keeping business and personal expenses separate can also make recordkeeping easier. Check the card’s terms before assuming a purchase qualifies for rewards or a benefit.

Can you use it for Personal Expenses?

Do not assume that being a sole proprietor allows unlimited personal spending on a business card. The cardmember agreement still matters. Chase warns that personal purchases may violate business-card terms and can lead to account closure.

Business cards can also affect personal credit. With personal liability, an application typically involves a hard inquiry; later reporting depends on the issuer and card. Chase explains those distinctions here.

Check the specific card’s permitted uses, personal guarantee, reporting practices, and application restrictions before applying. Do not assume that every business card is excluded from an issuer’s account-count rules.

Before You Apply

Start with your business needs and the current card terms. Check the annual fee, interest rate, bonus eligibility, spending deadline, and repayment responsibilities. A rewards strategy should fit legitimate business spending and your ability to repay, rather than pressure you to apply quickly.