Business credit cards have perks that consumer credit cards don’t have. This list features top business credit cards for low credit scores that let you apply online and get almost instant approval results. 

The Best Business Credit Cards for Bad Credit

While many small business owners use their personal credit cards when first starting, there may be a need to eventually upgrade to a business credit card account. What happens if you haven’t been careful with past credit decisions? You may have a low score to contend with.

For those with truly bad credit or a score under 640, you’ll find it difficult to open a business credit card account, as there aren’t as many secured business credit cards available. (A few banks or credit unions may provide them.)

You don’t have to settle on a prepaid card, however, you can use a personal credit card to make your business purchases, which can help you build credit.

If your score is a bit better, ideally in the very good or excellent categories, you may qualify for some of the business cards on this list. They offer a wide range of benefits, with some including cash rewards, business expense reports, employee cards, no security deposit, and access to a free FICO score. 

How can you tell which card is the right one for you? Your card pick should reward you for the way you shop in your business, come with lower annual fees, and give you access to flexible credit lines you can use to shop, access cash advances, or even balance transfers.

These cards also look at your personal credit score in cases where you haven’t built a business credit profile yet, but you’ll still apply as a business and will usually need a good credit history. Have your business information handy to finish the application, even if it requires a personal guarantee.

Capital One® Spark® 1% Classic for Business

Capital One defines this card as appropriate for those with Fair credit. What do they mean by this? 

If you’ve defaulted on a loan in the past five years or you have a very limited personal credit history, you may still qualify. Students or those without much credit activity in the past three years are good candidates.

The perks of this card include unlimited 1% cash back rewards, so you can use the card anywhere you shop and earn as you go. There is also no annual fee, which isn’t always the case for business cards. Enjoy card lock features to protect your accounts and free employee cards with limits you can set. 

The downside is the very high 26.99% APR for purchases and balance transfers. It’s variable, as well, so while it could go down in the future, it could also go higher. That’s a considerable amount to pay for carrying a balance (and why you should consider paying your bill in full each month). 

Like many business cards in this class, you get $0 fraud liability and year-end summaries that can help you file taxes and categorize business expenses. It also comes with virtual card numbers for shopping safely online. Capital One advertises a 10-minute application decision as well. 

Capital on Tap Business Credit Card

This lesser-known card issuer has created an unsecured credit card option for those with even fair credit. The Capital on Tap Business Credit Card offers unlimited 1% rewards and up to 20 employee cards that you can use to manage corporate spending and keep expenses under control.

(Founder Rewards is a program that’s open for a limited time and offers 2% cash back. There is currently no annual fee to join.) 

Interest rates for this card are lower than some, just 9.99% for the best offered rate. Although those with poor credit can expect to pay up to 34.99% in interest, the possibility of a lower rate is a nice benefit for an unsecured card that’s marketed toward those with new or poor credit.

Capital on Tap is a European credit card company and mostly has business customers overseas. It’s becoming bigger in the U.S., however, and may be the option you’re looking for in an unsecured business option. 

Applications are processed quickly, and – if approved – your new card could hit the mailbox in just a few days.

Credit One Bank® Platinum Visa® for Rebuilding Credit

Those looking for a VISA card for bad credit that doesn’t require a security deposit might like the idea of the Credit One Bank® Platinum Visa. It’s made just for those who have made mistakes in the past or have no personal credit at all to work with. 

This unsecured card has a very low initial credit limit, just $300 for new applicants who qualify. That said, it is aimed at those with poor credit, and the low limit is just enough to help you put small purchases on the credit card account and pay for them right away.

That said, this isn’t a business card, and just having access to $300 in credit likely won’t be enough for most companies. If you have a small, sole-proprietorship with low overhead, it could be just right for paying for software services, a cell phone, or printing costs. 

You also get 1% back on most purchases, and with satisfactory repayment, your credit limit may increase. That said, this card has a hefty 23.99% interest rate and an annual fee that’s billed monthly. Expect to pay between $79 and $99 in additional annual fees to use this personal card with no deposit.

It also reports to consumer credit bureaus, not business credit bureaus.

First National Bank Business Edition® Secured® Visa Card

One of the few secured business credit cards available, the First National Bank card offers business owners a way to start from scratch or rebuild business credit after past mistakes. Since this is a secured card, you’ll need to come with cash and expect to pay a hefty 20.24% variable interest rate.

How does the security deposit work? Just pick a credit limit of your choice, from $2,000 to $100,000; then, put down a deposit of 110% of the amount. Limits are issued in multiples of $50, so a $5,550 credit line would require a $6,105 deposit. Deposits earn interest while they sit.

There’s a $39 annual fee for this card, and it comes with some common business card benefits, like $0 fraud liability and identity theft protection. You won’t earn perks with this card, but you do get enrollment into their SavingsEdge program, which offers discounts on business products and services.

In short, this card won’t help you get cash back or earn rewards, but it can help you build credit, provided you can pay for it in advance. For those who have to choose between a secured personal card and a secured business card, it’s another option that’s aimed at business professionals with bad credit. 

Wells Fargo Business Secured Credit Card

For those looking for a secured business card with some rewards, the Wells Fargo Business Secured Credit Card could be a better choice. Unlike some other secured business cards, it gives you 1.5% back on purchases, earned as one point per dollar on qualifying purchases in most categories. 

There is also a 1,000-point monthly bonus for cardholders who spend at least $1,000 a month with the card. The card comes with zero liability protection, no annual fee, and no foreign transaction fees. Employee cards are available with this account, giving business owners a way to manage spending too. 

Credit lines range from $500 to $25,000, and while you’ll provide a security deposit, approval isn’t guaranteed. You can’t apply for this card at Wells Fargo brick-and-mortar locations, either. Check out the online site to see if the card is right for you and to submit your application. 

Applicants must first have a qualifying account with card issuer Wells Fargo, which will be used to fund the security deposit for the secured Mastercard. Interest rates are currently prime + 11.90% for purchases and balance transfers; prime + 20.74% for cash advances. 

Brex

Finally, this Brex credit card is more of a charge card in that you can’t carry a balance over from month to month (and, in some cases, from day to day). Brex is for businesses with large cash reserves or high revenues that can qualify on the strength of their cash flow and not their credit report.

In fact, the lender doesn’t use your credit report at all, so even those with bad personal credit or poor business credit may qualify. Applying won’t even affect your credit score negatively. 

If approved, you can use the card right away for a variety of business expenses and earn cashback on every item. 

Brex has a rewards program unique to the industry, giving more back on perks common for business owners, such as rideshare, which gets 8 times the points, as well as travel, restaurants, and recurring software subscriptions. 

While the card doesn’t require a security deposit or credit check, the card issuer does report to credit agencies. It’s possible to build credit with this company charge card that must be paid off and won’t allow you to finance purchases beyond the bill date. It’s only slightly better in this way than a debit card.

There’s also no annual fee for this card.

How To Get a Business Credit Card With Bad Credit?

Business owners with bad credit (FICO scores under 640) rarely qualify for true business credit cards. Even if you manage to get your credit score up through wise money choices, like paying your bills on time, this only builds your personal credit profile.

Since it can be very difficult to get a business credit card with a low score, you are probably better off applying for a personal credit card in the meantime. 

These cards won’t have all the bells and whistles of a business card, but they can do a lot to help you establish credit and learn to manage business expenses.

Then, when you’ve increased your score, you can try again for the right business card. These cards should have lower fees, lower interest, access to cashback rewards or points programs, and an easy way to manage employee spending through additional cards or custom expense reports.

In short, getting a business card when you have a low score can be difficult. You are far more likely to get a personal card and go from there. If your score is very low, or you have multiple defaults or bankruptcies, expect to start with a secured credit card or one with high annual fees. 

Can I Get a Business Credit Card With Bad Credit?

Don’t expect to qualify right away. That’s because business credit cards usually require a higher credit score than personal cards. 

If your credit is truly bad or lower than a 640 FICO score, you have one of two options: build your credit until you get a high enough score to get a better card or use a different way to finance your purchases. Personal cards can also be used to buy things for your business and track expenses.

Just be aware that a very bad credit score won’t get you access to the best of personal cards, either. In fact, you may start with a secured card in the beginning. This card requires a personal security deposit that equals the limit of your card line. With time, you may qualify for better cards without the deposit.

You could also try building your business credit score, which is separate from your personal credit score and more important when trying to access business financial services products. If you’ve never taken out credit for your business, you likely haven’t established a business score yet.

There are a number of ways to build business credit. One of them is to use a product like Credit Strong to report on-time payments to the credit agencies that track business credit and build your profile. 

Why Use Credit Strong Instead of a Business Credit Card?

Building credit when you don’t qualify for credit is a catch-22. With Credit Strong, you can start building business credit even if you would have been turned down for a traditional business loan or credit card due to your low or bad credit. 

How does it work? Credit Strong loans you money that will be put aside into a business savings account as security. As you repay the loan through 120 monthly payments, your payments will be reported to the business credit bureaus, so you build business credit.

Your business credit profile gets stronger over time, and you can even see issues through the Equifax Business Delinquency Financial Score Grade, which is provided to you monthly for free. Track your wins and build business credit with no annual fees or penalties for paying the loan off early.

When you’re done, you’ll have the kind of business credit score needed to not only apply for those small business credit cards mentioned above, but for all types of business accounts. You can use your business credit profile and not your personal profile — another big benefit after working with Credit Strong.

Because you’ve already shown the discipline to repay your Credit Strong loan, you can use your wise money habits and momentum to continue using credit responsibly. Keep building your credit score over time and get better access to the business financial services you need to grow your business. 

While business credit cards are nice, they aren’t the only reason to prioritize the health of your credit report.

CreditStrong for Business is the only 0% interest business credit builder in the nation

Start Building