Advertise on WAHM

Business Credit Card Requirements for Work-at-Home Moms


business credit card is suggested for use by entrepreneurs, corporate managers, and many other cardholders who need the purchasing power with a good credit limit in order to execute business schemes and goals. It is a very useful tool when the business grows and expands, as capital will be in form of loans. For work-at-home moms, its use is mainly to profit from a credit account that is suitable to one's small business and personal needs.

Making the decision to apply for a business credit card is not that easy, as there are many things to consider.

Filing an Application Form with Personal Information

In filing the application form, some basic information is needed such as name, complete present and permanent address, date of birth, specimen signatures, valid photo-bearing identification cards issued and signed by an official authority, social security number and some other important information that's relevant in verifying your identification.

Basic Application Requirements

An applicant must be of legal age reaching a required minimum gross annual income. You must also be a regular home-based employee or if self-employed, you should own a business operating for no less than what the credit card company requires (usually a minimum of 2 years). Since you only work at home, you can set your residence as your office address. A landline phone is also another important requirement.

Documentary Requirements if Employed

If employed, you must present your latest tax payments signed by employer's authorized representative together with an original Proof of Employment and Income indicating status and length of service.  Prepare also a copy of your latest full month pay slip.

Documentary Requirements if Self-Employed 

If self-employed, a pre-requisite in applying for a business credit card is to have a legally recognized and named business. A corporation and a limited liability company are the only ones allowed to avail of a business credit card. The next important requirement is your business license. It is still required, even when you are only working at home. It is also presumed that you already have a Business Tax ID Number. They can be obtained from the Internal Revenue Office.  Having it separates liabilities of your personal and business credits.

You can also resort to an option of qualifying for a business credit card with no personal guarantee if your business is acknowledged as credit worthy. It is possible if you have a strong and stable credit record, with at least three main business credit agencies offering for a vendor credit line, business loan or a revolving credit.

Finances and Other Necessary Considerations

It can also help if you already have an existing personal credit card, since it's also very important for credit card companies to check the applicant's latest payment history on other accounts (aside from checking the applicant's latest audited financial statements, bank statements, annual income and even job history). Your excellent banking relationship will serve as a support for a faster approval, with your annual revenue usually used to help decide what your initial credit line will be. 

As a work-at-home mom, it is recommended not to exploit your business credit opportunities. You may be held personally liable to it, which may lead to ruining your business and even your own personal life in the future.

Work From Home Jobs