Episode 78: Business Credit Card Confusion
Summary
So you started a new business and have racked your personal credit cards right up, right? How exactly do you get that debt off of YOU and back onto the business, where it belongs? In today's episode, I discuss the US and Canadian side of business credit cards. HOW to find them, what is the best one for me and my business, and what to expect when I apply for them. Check out today's episode and save some personal credit but getting that debt onto your business!
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Introduction
Welcome to My Life as a Landlord, where we educate curious U.S. and Canadian landlords, answer rental questions, and clear up confusions about all things housing. If you're looking for landlord education, interesting guests, and awkward conversations, you've come to the right show. I'm your host, Doctor Jennifer Salisbury. This is my life as a landlord. Welcome to it.
Well, hello there! Thanks for joining me. I am Doctor Jen, and I'm so pleased that you're educating yourself by listening to today's show all about business credit cards. Many new landlords, new business owners, and even seasoned business owners ask me about business credit, specifically business credit cards. So, if you've followed some program or advice to set up a company, that's probably done already, but now you've likely got a bunch of business debt on your personal credit cards. How exactly do you get that debt onto the business? That's what we're going to talk about today, whether you're in Canada or in the US.
Finding Business Credit Cards
In Canada
First, let's start with business credit cards in Canada. I just googled "Canada business credit cards" and 16 million results came up, many of which are for the US. They overlook the Canada part, but there are several lists of some of the best credit cards in Canada. Here are a few:
RBC Avion Visa Infinite Business
BMO World Elite Business Mastercard
American Express Business Edge Card
American Express Aeroplan Business Reserve Card
Since the banking structure in Canada is a bit different than in the US, I would start with Google, and you can also walk into one of your local banks in your Canadian city and talk to them in person. This includes local credit unions, which might offer different items that will work with your business and industry. It's often easiest to choose a card where you're already banking, but you still want to do your homework.
In the US
The process for finding business credit cards in the US is very similar but has some differences. When I googled "US business credit cards," 29 million results came up. Lots of websites like NerdWallet, Bankrate, and Forbes have articles on the best credit cards, and they change periodically.
There are many credit cards to choose from, offering various benefits like cashback, no annual fee, travel rewards, balance transfer offers, and more. You need to know your business model, operations, and which card offers the best deal for you.
Applying for Business Credit Cards
When you apply for these business credit cards, they'll likely have some upfront annual fees unless they're offering a no annual fee card. Make sure you understand how these cards work—whether they're good to carry a balance or not.
Criteria to Consider
You need to choose the criteria that work for you, such as:
Cashback offers
Travel rewards
No annual fee
Balance transfer offers
Bonus airline miles
Travel lounge rewards
Make sure you read the fine print and understand the terms and conditions of the credit card.
What to Expect
When you apply for a business credit card, they'll ask for personal information and likely check your personal credit to get you qualified. Especially if it's one of the big national credit cards or banks. They might also check your income level from your tax returns and how much you anticipate using the card on a monthly basis.
Conclusion
In today's episode, I discussed how to find US and Canadian business credit cards, how to choose the criteria you want for your business credit cards, and what to expect when you apply for them. So, get into Google, do your own searches for business credit cards, or better yet, walk into the branch of your local bank or credit union and ask them directly, especially if you have an existing relationship with them.
If you enjoyed today's show, the biggest compliment you can give me is leaving a review so that people who need my podcast can find me. Join me next week for Episode 79, where my expert closer, Ben Brown, will prove that sales are indeed involved in being a landlord. Remember, you don't have to be afraid as a landlord. You just have to educate yourself. I'll see you next week. Thanks for joining me.
For all the show notes and resources, check out mylifeasalandlord.com. If you want to invest further in your landlord education, we've got a toolbox for you. Make sure you follow the podcast on the platform you're listening on. Thank you again for joining me, Doctor Jennifer Salisbury, in this episode of My Life As a Landlord. I'll see you next time.