If you have bad personal credit, you can still qualify for business credit cards and build a healthy financial foundation for your company. Many entrepreneurs face this challenge, and it can feel like past financial struggles are limiting your company’s growth.

The good news is that your personal credit history doesn’t have to define your business’s future. Business credit cards can help you cover expenses, separate personal and business finances, and start building your company’s credit profile. With the right strategy, you can strengthen your business credit and unlock better financing opportunities over time.

Understanding the connection between personal and business credit

Your personal credit plays a major role when you first apply for a business credit card. Lenders usually check your personal credit score to gauge your financial reliability, especially if your company is still building its own track record. Most issuers look for personal scores of around 670 or higher, though some will consider applications in the 580–669 range.

Business credit scores work differently. Dun & Bradstreet, Experian Business, Equifax Business, and Creditsafe each track how your company pays its bills and manages credit. These business scores typically range from 0–100, reflecting your company’s payment history and financial relationships rather than your personal borrowing habits.

In 2023, the Small Business Administration approved just 59% of small business loans, meaning nearly half of applicants were denied credit. That makes securing alternative financing, such as a business credit card, even more important for growing companies.

Business credit cards for people with bad personal credit

Even with bad personal credit, you still have options for getting a business credit card. Some cards are secured, meaning you’ll pay a refundable deposit, while others base approval on your company’s cash flow instead of your credit score.

Secured business credit cards

Secured business credit cards require an upfront cash deposit that serves as collateral and typically determines your credit limit. You’ll get your deposit back when you close the account in good standing or upgrade to an unsecured card.

Common secured card options include:

• Bank of America Business Advantage Unlimited Cash Rewards Mastercard: Minimum $1,000 deposit with a matching credit line
• Valley Bank Visa Secured Business Credit Card: Requires a deposit of 110% of the approved credit limit, up to $25,000

Typical secured business credit cards charge APRs between 18% and 26% and may include annual fees of $0–$49. Because your deposit acts as collateral, limits usually match your deposit amount, often $500–$5,000. Some issuers review your account after 12–18 months of on-time payments and may return your deposit while converting your account to unsecured status.

Alternative business credit cards

Some card issuers focus more on your company’s financial performance than your personal credit score. Revenue-based business cards can be a strong option if your business has consistent income or healthy cash reserves.

Examples include:

• Ramp Corporate Card: Evaluates business cash flow instead of personal credit; requires business bank account verification; offers cashback
• Brex Corporate Card: Approval based on business account balance and monthly revenue; minimum $50,000 cash balance; no personal credit check
• Divvy Corporate Card: No personal guarantee required; considers business financials; minimum $20,000 cash balance

Prepaid business cards offer another path forward. These cards let you load funds and use them for business purchases without a credit check. While prepaid cards don’t help you build credit, they provide spending control and can separate business expenses from personal ones until you qualify for a traditional card.

How to build business credit without personal credit checks

Building business credit separately from your personal credit protects your personal finances and creates opportunities for better financing terms down the road. A strong business credit profile can help you qualify for higher credit limits, secure loans based on company performance, and keep business liabilities off your personal credit report.

Setting up your business foundation

Start by obtaining an employer identification number (EIN) from the IRS, which takes only a few minutes online and costs nothing. This nine-digit number identifies your business for tax purposes and credit applications.

Next, open a dedicated business bank account using your EIN and business name. Register your company with Dun & Bradstreet to get a D-U-N-S number, and create profiles with Experian Business and Equifax Business. Use consistent information across all accounts and registrations, including your business name, address, and phone number, to avoid delays in reporting.

Building credit through vendors and suppliers

Net 30 accounts allow you to purchase supplies and pay the invoice within 30 days, creating a payment history that builds business credit. These vendor relationships act as trade credit lines where on-time payments are reported to business credit bureaus. Common vendors that report to credit bureaus include:

• Uline: Office and shipping supplies; reports to D&B, Equifax, and ExperianQuill: Office supplies; reports to D&B, Equifax, and Experian
• Grainger: Industrial supplies; reports to D&B
• Crown Office Supplies: Office products and décor; reports to D&B

Building a solid business credit history typically takes six to twelve months of consistent, on-time payments. Start with smaller vendor accounts, pay early when possible, and add more trade lines gradually. After about six months, you’ll have enough payment history to apply for business credit cards that rely primarily on your company’s credit rather than your personal score.

Alternative financing options for poor credit

When business credit cards aren’t accessible, several other financing paths can provide the capital your company needs to operate and grow. Comparing these options helps you understand the real cost of borrowing and identify which structure fits your business best.

Comparing loan types

Data compiled from Federal Reserve, SBA, and other small business lending sources as of October 2025. Rates and terms may vary by lender.

Small business loans for bad credit

Revenue-based lending evaluates your business income rather than your personal credit score. Lenders advance funds in exchange for a percentage of your monthly revenue until the loan is repaid. Approval typically requires at least $10,000 in monthly revenue and six months of business operation.

Merchant cash advances provide quick funding based on credit card sales. Providers purchase a portion of your future transactions at a discount, then collect repayment through daily or weekly deductions. These work well for retail or restaurant businesses with steady card volume but tend to carry higher costs than traditional loans.

Equipment financing lets you purchase machinery, vehicles, or technology using the equipment itself as collateral. Lenders focus on the equipment’s value and your ability to generate revenue with it rather than your credit score. Terms typically range from two to seven years, and approval rates are higher than for unsecured loans.

Business lines of credit

Business lines of credit provide flexible access to funds you can draw from as needed, paying interest only on what you borrow. Unlike credit cards that encourage regular purchases, lines of credit work better for managing cash flow gaps, unexpected expenses, or seasonal inventory needs.

Qualification usually requires at least one year in business and $50,000 in annual revenue. Lenders such as Fundbox and Bluevine offer lines up to $150,000 and $250,000, respectively, with credit scores as low as 600. American Express and OnDeck provide smaller lines starting at $2,000 and $6,000 for businesses with weaker credit profiles.

Strategies to improve your approval chances

Smart preparation and presentation can significantly increase your odds of getting approved, even with bad personal credit. Lenders want to see that your business is organized, stable, and capable of managing debt responsibly.

Preparing your application

Gather key financial documents before applying, including your business tax returns from the past two years, recent bank statements, profit and loss statements, and your business license or registration documents. Having these ready demonstrates professionalism and helps speed up the approval process.

Show your business revenue and cash flow in the best light possible. Calculate your average monthly revenue over the past six to twelve months, highlight any growth trends, and prepare explanations for seasonal fluctuations. Lenders want to see consistent income that supports the credit limit you’re requesting.

A clear business plan can also make a difference. Include your revenue projections, target market, and how you’ll use the credit to grow income. Even a concise, two-page plan shows that you’re serious about responsible financial management.

Working with a co-signer or partner

Bringing in a business partner or co-signer with stronger personal credit can open doors that might otherwise be closed. This person shares responsibility for repayment, which reduces the lender’s risk and improves your approval odds.

Create a written agreement that outlines each person’s responsibilities, spending authority, and what happens if the partnership ends. Consult a business attorney to make sure both parties are protected. Clear terms help prevent misunderstandings that could harm your business or personal finances.

Some business credit cards allow authorized users who can make purchases but aren’t legally responsible for payments. This differs from a co-signer, who assumes full liability for the debt. Adding team members as authorized users can help them build credit while keeping the primary account holder responsible for payments.

Steps to rebuild and improve your credit

While you pursue business financing, taking steps to strengthen your personal credit score can open the door to better terms and higher limits over time. Small, steady improvements often make the biggest difference.

Quick credit fixes

Some credit improvements can show results within a few weeks to a couple of months. These fast wins can help you boost your score before your next business credit application.

• Dispute errors on credit reports: Review your reports from all three major credit bureaus and challenge any inaccurate information, late payments that were actually on time, or accounts that don’t belong to you through the bureau’s online dispute process
• Pay down existing balances: Focus on credit cards with balances above 30 percent of their limits. High utilization hurts your score more than your total debt amount
• Become an authorized user: Ask a trusted family member or friend with strong credit to add you as an authorized user on their oldest, best-managed credit card account

These quick actions can raise your score by 20 to 50 points, especially if you’re correcting errors or reducing high utilization.

Long-term credit building strategies

Payment history makes up 35% of your FICO score, making it the single most important factor in your credit health. Set up automatic payments for at least the minimum due on every account to avoid late payments. Even one missed payment can drop your score by 50 to 100 points and remain on your report for years.

Keep your overall credit utilization below 30 percent across all cards—10 percent or less is ideal. For example, if you have $10,000 in total available credit, keep combined balances under $3,000. Pay down balances before statement closing dates or request credit limit increases to improve your utilization ratio.

Having a mix of credit types, such as credit cards, installment loans, and retail accounts, shows lenders you can manage different repayment structures. Add new accounts gradually rather than all at once. A mix of two to four account types usually provides the best results without adding unnecessary risk.

Ramp's corporate card: No credit check, no personal guarantee

At Ramp, your eligibility is based on your company’s financial health—not your personal credit score. The Ramp Corporate Card evaluates your business revenue and bank account activity instead of running a credit check or requiring a personal guarantee.

You may also qualify for a higher credit limit than traditional business credit cards, based on your sales data and cash flow. Ramp includes built-in expense management tools like automated expense reports and custom spending controls, helping you stay organized while saving time.

There are no annual fees, late fees, or interest charges. Apply for a Ramp corporate card and discover how businesses using Ramp save an average of 5 percent a year.