For many business owners, small business credit is a major consideration. You can apply for a loan from a bank, but an SBA (Small Business Administration) credit card may be your best option. An SBA credit card is offered by banks, credit unions, and other institutions that participate in the Small Business Administration's (SBA) loan program. The SBA has created a loan program that is designed to help small business owners access capital without having to take out a separate loan. This program is called EIN (Employee Identification Number).
What is an EIN? It is just an identification number for employees that work for you on a tax return. It shows that all of your financial decisions are made according to your business' U.S. tax code. In other words, EIN allows you to prove that you actually paid taxes even though you did not record that fact on your personal tax return. To put it simply, EIN allows you to prove that your financial decisions were made according to your business' financial health.
So how do you apply for a business credit card with just an ein? You can go online and find a website that will connect you to a loan officer. Once you get this person, fill out the information requested on the application. The loan officer should transfer the application to a department responsible for processing personal credit scores. (The person who processes your application will usually have a link on their personal credit page to the SBA website.) After your application has been processed, you will then get an electronic response confirming that your application was received and the details are being verified.
Now here is how business credit cards with his work. Business credit card issuers (ones that issue these cards to businesses) will review and verify the information that you submitted on your application. If all the information is verified, your application will be accepted and you can get a business credit card.
Of course, it is not enough that your business credit cards with eins get approved. You must know how to use them correctly. You must keep your balance low to ensure that you are still getting a good rate of interest. In addition, you should pay off your balance at the end of each billing period (whether quarterly or semiannually, as determined by the corporate credit cards with eins that you apply for.) This will help you ensure that your corporate store credit cards with eins have a very long useful lifespan. As time goes by, you can even ask your issuer if they can extend the terms of your corporate credit cards with eins a little further.
If you are looking for ways to clean up your corporate credit cards without resorting to personal guaranty, consider using eins instead. This will help you get a corporate credit card with just an ein, and it won't require you to pledge personal guarantee. You won't have any problems getting approved for these business credit cards with just an ein. You just need to be sure that you always . . . . . . pay your balance on time, and that you always make your monthly payments in full. This way, you can be sure to build up a good, solid credit history, which can help you later when you take out a personal guarantee or another type of loan.