How do you get a business credit card?

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A key introduction in the domain of credit cards has to be the business credit card. Though it can be procured by anyone who wishes to maintain a separate business account, it has been specifically designed for every kind of business — small, medium or even large corporate houses. 

These allow businesses to rationalize and simplify their expenses. Akin to personal credit cards, a business credit card in India offers rewards, bonuses, cashback etc. However, these perks are mainly procured from stores or spheres, with which the business generally deals or associates. Business credit cards ensure that there’s no hiccup or impediment in the smooth functioning of the business.

 However, unlike a personal credit card, it is not that straightforward to obtain a business credit card. The terms and conditions associated with business credit cards also differ from regular ones. So, how can one get hold of a business credit card? Refer to this comprehensive guide to find out the same.

Why should one apply for a business credit card?

Before filing an application for a business credit card in India, one should be aware of the several benefits that one can reap from it. 

  • Establish a praiseworthy credit history: Maintain a decent payment history and witness a surge in the reputation of your enterprise. It will only result in the business touching the pinnacle of success in years to come.
  • Expansion of business: A business can only spread its wings when it can secure uninterrupted access to credit. Business credit cards pave the way for securing the loan or credit, which is necessary to accumulate capital.
  • Maintaining the distinction between personal and business expenditures: Through business credit cards, the task of maintaining separate accounts for personal and business expenditures has been rendered easier. Moreover, with monthly credit card statements, where the credit card due date gets mentioned, one can very efficiently keep a tab on the company’s expenses.
  • Employers can restrict the expenses: Business credit cards can be utilised for availing varying services, such as booking tickets for business trips. Almost every usage comes with a guaranteed discount, or cash back, or reward point, or any such perks. Employers can hand over the card to employees to entail expenditures on behalf of the company. 

Eligibility for procuring a business credit card

There are certain similarities in the eligibility criteria for obtaining personal and business credit cards. Yet, there are wide-ranging differences in the benchmark set for business credit cards. Moreover, policies also vary from one bank to another. Here are some of the basic prerequisites to secure a business credit card. 

  • Nationality: The applicant should be an Indian and must be residing within the geographical territory of the country.
  • Age: A minimum of 21 years and a maximum of 70 years is generally the two ends of the age limit fixed by the banks.
  • Occupation: The applicant can be a solo entrepreneur, having a stake in a partnership firm etc. All small or medium-sized businesses, public sector enterprises, private companies etc., are eligible for business credit cards.  The presence of some sort of business is mandatory.
  • Evidence of profit or turnover: Most of the banks demand some evidence of substantial turnover or profit earned from the proprietorship. The track record should be satisfactory enough for the bank. 
  • Credit Score: One way of proving credibility is through a worthy credit score. The credit score should be at least 650 to be eligible for a business credit card. Hence, newbies who are just entering the economic domain may have to be content with a regular credit card (even a secured one). 

Application procedure

One can complete the application through online or offline mediums. The latter involves visiting the bank’s branch personally to submit the application along with vital documents. The online procedure involves:

  • Visit the bank’s website and furnish the required details in the application form.
  • You may be asked to upload the documents, or the bank’s representative will personally visit to pick them.

Documents required

  • Identity proof in the form of an Aadhaar Card, PAN Card, Voter ID Card and the like. Anyone among these will suffice.
  • Address evidence in the form of electricity bills or telephone bills, or any other such document.
  • Certificate depicting the business registration number.
  • Latest audit reports.
  • Proof of continuity of business.

As mentioned, the eligibility and the documents may vary from one issuer to another. However, more or less, the above-mentioned information will help you procure a business credit card conveniently.

Now, if you’re looking for a business credit card for a small or medium enterprise, the Bajaj Finserv RBL Bank SuperCard is a great choice. It guarantees eye-catching deals on domestic and international expenses, rewards, and cashback offers. The SuperCard also offers greater convenience.