Best business credit cards for sole proprietorships

While some business credit cards require you to have an Employer Identification Number (EIN), many are open to sole proprietors. The IRS says individual business owners without employees don’t need to have an EIN in most cases. In fact, you can apply for a business credit card with just a Social Security number (SSN) in place of an EIN. Having a business credit card is a great way to organize expenses while earning rewards and benefits for your small business. Let’s take a look at some of our top choices for business credit cards for sole proprietorships.

Top business credit cards for sole proprietorships

Best for flexible rewards

Ink Business Preferred® Credit Card

Learn More in our Bankrate review

• Bankrate’s view

• Pros & cons

Best for no annual fee

The Blue Business® Plus Credit Card from American Express

Learn More in our Bankrate review

• Bankrate’s view

• Pros & cons

Best for unlimited cash back

Ink Business Unlimited® Credit Card

Learn More in our Bankrate review

• Bankrate’s view

• Pros & cons

Best for no preset spending limit

Capital One Spark Cash Plus

Learn More in our Bankrate review

• Bankrate’s view

• Pros & cons

Comparing the best business credit cards for sole proprietorships

You should compare the best business credit cards for sole proprietors based on the rewards and benefits offered and any potential fees that apply. Here’s some of our top recommendations.

How to choose the best business credit cards for sole proprietorships

Choosing the best business credit card for your sole proprietorship comes down to finding the card that best fits your business needs. Take these steps before you make your decision:

1. Check eligibility requirements. Check for minimum credit score requirements or business eligibility requirements, such as the need to be operational as a business for a certain amount of time or income requirements.
2. Compare rewards categories. Consider cards that offer rewards that make sense for your business spending needs. If you spend heavily in specific categories, look for cards offering bonuses. If you spend in many different areas, consider a flat-rate card.
3. Evaluate benefits against fees. Some cards charge annual fees but provide benefits in return. If those perks are valuable for your business, you could easily justify the cost of the annual fee if you can get the proper value and use from the card’s benefits.
4. Extract as much initial value as possible. Look for welcome bonuses or intro APR offers to give you extra additional value from your card. You could get a substantial rewards boost or get the needed time to finance large expenses to help your business grow.

How to apply for a business card as a sole proprietor

When you apply for a credit card as a sole proprietor, you have the option to use your SSN, an EIN or both. Here are the steps you’ll need to take to get a business credit card as a sole proprietor:

1. Fill out the application. Apply for the card you want with your SSN, EIN or both. You’ll need to provide personal information like your full name and your date of birth. You’ll also need to provide your business address, your business income, years in business and other requested details.
2. Supply documentation. You may have to supply the card issuer with proof of your business income or the legal structure of your business, which you can upload online or send in the mail.
3. Be ready for a possible personal credit check. Some issuers require a personal credit check to approve a business credit card for a sole proprietorship. Make sure your personal credit score is in a range that qualifies you for the card you seek.
4. Get your decision. Many business credit cards offer a decision instantly online, whereas others notify you of your approval or denial by mail. Your decision may also go to a pending status based on the need for additional information.

What’s next?

Check out these Bankrate tools to match your next card or get the resources and products you need to grow your business.

The bottom line

The best business credit cards for sole proprietors offer rewards and perks to benefit your business needs and can help keep your business and personal expenses separate. Whether you are running your own business or just have a side hustle for extra income, having the right business credit card for your sole proprietorship can provide you substantial benefits and is definitely worth looking into.

Frequently asked questions about business credit cards for sole proprietors

• Will my business credit score affect my personal credit?

• How do I form a sole proprietorship?

• What are alternatives to a business credit card?

*The information about the Bank of America Business Advantage Unlimited Cash Rewards Mastercard® Secured credit card has been collected independently by Bankrate. The card details have not been reviewed or approved by the card issuer.