Even if you operate a very small home business, there are some good reasons to consider getting a business credit card.
1. Establishing credit for your business is an important milestone that might really pay off down the road. Whether it is taking the step to lease your first office space, or apply for terms with a supplier, your business credit will become a valuable asset.
2. Having a business credit card gives you a simple way of segregating your business and personal expenses.
3. Business credit cards have recently been offering enormous rewards in the form of airline mileage points. In some cases, I have read stories of people earning a free round-trip airfare for obtaining just a single business credit card.
4. Doing business solely in your personal name leaves you open to the greatest amount of personal liability. A business credit card will help your business to build a credit profile separate from your personal credit score. It may allow you to enter into loans, leases, and contracts without the need of a personal guarantee. If you get into trouble with your business at some point in the future, you will be in a much better position to negotiate with creditors if you are not personally liable for the business' debts.
It is interesting to note that most business credit card issuers don't necessarily require that you have a corporation or even a separate taxpayer ID. Apparently, even if you are simply using your Social Security number to apply, you can do so as a 'business.' I guess this rather informal approach takes into account the tens of thousands of people that operate a small home based enterprise without the formalities of incorporating or even listing a business name with their local county (also known as DBA 'doing business as').
Helping you make the most of God's money!