MikeBones wrote:You file business taxes, the credit card doesn't really affect anything it just allows you to keep everything separate. When you apply they look at your personal credit report and put a hard inquiry on it, you are personally liable for what is put on this card. After getting the card though I have never seen it show up on my personal file, it shows up on a business credit file.
Yes you absolute need to be a registered business but you do it through your state. I live in Arizona so I filed with the Arizona Corporation Commission.
You online file with the corporation commission if you are forming a corporation or LLC. Partnerships and sole proprietorships don't file.
There are drawbacks to having a business credit card - one important drawback is that you do not have the same consumer protections. That's one reason why they are being pushed now.
It's also untrue that a personal guarantee is always required. If you establish credit in the name of the business you should not need a personal guarantee. The best way to do that is to establish a good relationship with a local bank. You should be able to get a business credit card within a year. In the meantime just use a personal card in your own name and reimburse yourself.