How to Get Your First Business Credit Card with No Business Credit History

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⏱️ 7 min read

Getting your first business credit card can feel like a chicken-and-egg problem: you need credit to build credit, but you can’t get credit without a credit history. The good news is that there are several strategies to secure your first business credit card, even with no business credit history.

First Business Credit Card Getting your first business credit card is a crucial step in building business credit

Understanding Business Credit Card Requirements

What Lenders Look For

Lenders evaluate both business and personal factors when considering business credit card applications. Business factors include your business entity type (LLC, Corporation, etc.), time in business (some require 6+ months), annual revenue projections, business bank account history, and your EIN (Employer Identification Number). The Small Business Administration (SBA) provides guidance on what lenders typically look for in business credit applications.

Personal factors are equally important and include your personal credit score (usually 650+), personal income, debt-to-income ratio, and payment history. These personal factors help lenders assess your overall creditworthiness and ability to manage debt responsibly.

Why Personal Credit Matters Initially

Most business credit cards require a personal guarantee, meaning your personal credit is used to qualify for the card initially. This is completely normal for new businesses and actually helps you build business credit over time. As your business credit profile develops, you’ll gradually rely less on personal credit for business financing decisions. The Consumer Financial Protection Bureau (CFPB) provides resources on understanding personal guarantees and their implications.

Best Business Credit Cards for New Businesses

Credit Card Options Choosing the right business credit card depends on your personal credit score and business needs

1. Capital One Spark Classic for Business

Best for: New businesses with fair personal credit (580-669)

The Capital One Spark Classic is an excellent choice for businesses with fair credit scores. This card offers no annual fee, 1% cash back on all purchases, no foreign transaction fees, $0 fraud liability, and free employee cards. The requirements are accessible: personal credit score of 580+, any business entity type, and no minimum time in business requirement. This makes it ideal for brand new businesses just starting their credit journey.

2. Discover it Business Card

Best for: New businesses with good personal credit (670+)

The Discover it Business Card is perfect for businesses with good personal credit. It features no annual fee, 1.5% cash back on all purchases, Cashback Match (which doubles your first-year earnings), no foreign transaction fees, and free employee cards. With a personal credit score requirement of 670+, any business entity type, and no minimum time in business, it’s accessible to new businesses with solid personal credit.

3. American Express Blue Business Cash

Best for: New businesses with good personal credit (670+)

American Express offers the Blue Business Cash card with no annual fee, 2% cash back on all purchases, a $250 welcome bonus after spending $3,000, no foreign transaction fees, and free employee cards. The requirements include a personal credit score of 670+, any business entity type, and no minimum time in business. The American Express website provides detailed information about their business credit card offerings.

4. Chase Ink Business Unlimited

Best for: New businesses with excellent personal credit (720+)

For businesses with excellent personal credit, the Chase Ink Business Unlimited offers no annual fee, 1.5% cash back on all purchases, a $750 welcome bonus after spending $7,500, no foreign transaction fees, and free employee cards. This card requires a personal credit score of 720+, any business entity type, and no minimum time in business. The Chase website provides comprehensive information about their business credit card portfolio.

Application Strategy for New Businesses

Step 1: Prepare Your Business Information

Required Documents:

  • Business registration documents
  • EIN letter from IRS
  • Business bank account statements
  • Business address verification
  • Revenue projections (if applicable)

Business Details to Have Ready:

  • Legal business name
  • DBA (if applicable)
  • Business address
  • Phone number
  • Industry type
  • Annual revenue
  • Number of employees

Step 2: Check Your Personal Credit

Before applying:

  • Check your credit score (aim for 650+)
  • Review your credit report for errors
  • Pay down any high balances
  • Avoid new credit applications 30 days before

Credit Score Ranges:

  • 580-669: Fair credit (limited options)
  • 670-739: Good credit (more options)
  • 740+: Excellent credit (best options)

Step 3: Choose the Right Card

For Fair Credit (580-669):

  • Capital One Spark Classic
  • Wells Fargo Business Secured
  • Bank of America Business Advantage

For Good Credit (670-739):

  • Discover it Business
  • American Express Blue Business Cash
  • CitiBusiness AAdvantage

For Excellent Credit (740+):

  • Chase Ink Business Unlimited
  • American Express Business Gold
  • Capital One Spark Cash Plus

Step 4: Apply Strategically

Timing:

  • Apply during business hours
  • Avoid applying for multiple cards simultaneously
  • Wait 30 days between applications

Application Tips:

  • Be honest about revenue (use projections if new)
  • Use your business address consistently
  • Have all documents ready
  • Apply online for faster processing

Alternative Options for New Businesses

Secured Business Credit Cards

How they work:

  • Require a security deposit
  • Deposit becomes your credit limit
  • Build credit history over time
  • Upgrade to unsecured after 12+ months

Best options:

  • Wells Fargo Business Secured
  • Bank of America Business Advantage Secured
  • Capital One Spark Classic (if approved)

Business Debit Cards with Credit Features

How they work:

  • Debit card with credit reporting
  • No credit check required
  • Build credit history
  • Upgrade to credit card later

Best options:

  • Brex (for tech companies)
  • Ramp (for growing businesses)
  • Divvy (for expense management)

Vendor Credit Accounts

How they work:

  • Apply for credit with suppliers
  • Often easier to qualify
  • Build business credit history
  • No personal guarantee required

Best options:

  • Uline (shipping supplies)
  • Quill (office supplies)
  • Grainger (industrial supplies)
  • Staples (office products)

Building Credit with Your First Card

Use the Card Responsibly

Best practices:

  • Keep utilization below 30%
  • Pay balance in full each month
  • Use card for business expenses only
  • Make payments on time, every time

Establish Payment History

Timeline:

  • Month 1-3: Establish payment pattern
  • Month 4-6: Build credit history
  • Month 7-12: Qualify for better cards
  • Month 12+: Upgrade to premium cards

Monitor Your Progress

Check regularly:

  • Business credit reports (D&B, Experian, Equifax)
  • Personal credit score
  • Card benefits and rewards
  • Upgrade opportunities

Common Mistakes to Avoid

1. Applying for Too Many Cards

  • Space out applications by 30+ days
  • Focus on one card at a time
  • Don’t apply for multiple cards simultaneously

2. Maxing Out Credit Limits

  • Keep utilization below 30%
  • Pay balances in full monthly
  • Don’t use card for personal expenses

3. Missing Payments

  • Set up automatic payments
  • Monitor due dates
  • Pay at least minimum if full payment isn’t possible

4. Not Using the Card

  • Use card for business expenses
  • Make small purchases regularly
  • Don’t let card go inactive

5. Mixing Personal and Business Expenses

  • Use card only for business
  • Keep detailed records
  • Separate business and personal finances

What to Expect After Approval

First 30 Days

  • Receive card in mail
  • Activate card
  • Make first purchase
  • Set up online account

First 90 Days

  • Establish payment history
  • Build credit utilization
  • Monitor credit reports
  • Plan for next card

First Year

  • Qualify for better cards
  • Increase credit limits
  • Build business credit score
  • Establish credit history

The Bottom Line

Getting your first business credit card with no business credit history is absolutely possible. The key is to start with cards designed for new businesses, use your personal credit to qualify initially, and then build business credit over time.

Remember, this is just the beginning of your business credit journey. Once you establish a payment history and build your business credit score, you’ll qualify for better cards with higher limits, better rewards, and more favorable terms.

Start with one card, use it responsibly, and watch your business credit grow. Your future self will thank you for taking this crucial first step.

Ready to take the next step in building your business credit? Learn how to create a comprehensive credit building strategy with our guide: “Building Business Credit from Scratch: A 90-Day Action Plan.”