6 Reasons We Love Business Credit Cards

As a full-time freelancer, you have the choice between using personal or business credit cards. Isn’t that cool? You. Lil ole you. With a BUSINESS credit card! Even though you may see yourself as “just a freelancer,” you can usually qualify for business credit cards. You’re a big deal!

We know that throughout your whole life people have probably been telling you to stay away from credit cards. But, when used wisely, they can actually be your BFF and make freelancing a bit easier. This is especially the case when you choose a business credit card that has some kick-a** rewards. And they are a-plenty!

Sure, you don’t absolutely need an “official” business credit card. You can get a separate personal card and make it your “business” card. However, there are some neat perks to using one.

1. Separate work and play

Separating your work expenses from your fun expenses, is one of the biggest benefits to getting a business credit card. It makes accounting way easier, keeps you organized for tax time (bleh), and reduces your personal liability for business expenses.

You can have a credit card for your pedicures, Netflix subscription, and paintball tournament fees. You can have another for your office supplies, software subscriptions, and cloud storage. Pay one from your personal bank account, and one from your business account! It’s as simple as that.

We’ve found that, for freelies, using a strategic combination of personal and business credit cards is usually the way to go. Find a couple of cards that fit with your lifestyle and go to town. Responsibly.

If at all possible, pay off your full balance every month to avoid being the Giles Corey of credit card interest. (Note: Giles Corey was the poor but brave soul in the Salem Witch trials who died by being slowly crushed by boulders. Worth a Google. Absolute icon. He would’ve loved credit cards.)

2. Get you rollin’

At the beginning of your freelance journey, you’ll have to make some large startup purchases. There’s just no getting around it, really. Business credit cards can help you out by making it possible to finance those large purchases over time even when your budget is tight.

What if you need a new souped up laptop that can handle the amazing simulations you’re going to build for your clients? A business credit card can help. Find one with a no-interest (0% APR) special for balance transfers or first-time cardholders. We’ve seen cards with intro 0% APR rate incentives that last as long as 21 months!

Plus, it gives you a chance to build and boost your business credit score! Wow, very impressive of you!

3. They do the math, so you don’t have to.

Credit card companies are fancy now in that they can automatically itemize your spending. They have tiny robots that live in little gigabyte caves in your computer to analyze your cash flow and give you a true picture of your habits. Ok, maybe there are no cute little robots involved, but they do give you this helpful info that will also help you stick to a budget!

Plus, many business credit card companies allow you access to quarterly and end-of-year summary reports, along with easy integration options with your existing bookkeeping software like Quickbooks or Excel. Hooray! Less math for you!

4. Sleep better

Trust us on this one— it’s comforting knowing that if any unexpected purchases need to happen, you’ll be able to cover them and pay for them later. We’ve been there and it can be scary. As an ID freelie, you should try your best to plan ahead for any and all obstacles that may fall in your path, including financial ones. No one likes to think about these things, but as the old saying goes, “Uneasy lies the head that owns a laptop."

5. Ease your mind during tax time

We know, the mention of tax time sends a cold shiver down the spine, so we’ll keep this quick and easy. Remember the automatic spend analysis we talked about earlier? Ya know, all those reports that business credit card companies send you? They are your friends. Your best friends.

Those reports make your yearly taxes a dream (well, compared to the usual nightmare). As you’ll soon learn, every bit of organization you can do throughout the year will help make your freelance life less…taxing.

6. Reap sweet, sweet rewards

You’ll finally be eligible for business-only rewards and benefits—woo-hoo! These include special “business bonus” incentives with things like travel, internet service, shipping, marketing, office stuff, etc.

All that day-to-day savings can really add up over time. You might also get better protection benefits on purchases and travel, along with discounts on business-centric vendors.

Look for a card that has rewards you’ll actually use. If you’re not a traveler, maybe what you want is to get points that can be turned into cash or gift cards. Either way, if you have recurring expenses for things like your phone bill, software, or memberships, putting them on a business credit card can be a good idea. You’re paying them anyway, so you might as well get rewarded!

Conclusion

All you need is a heart and a dream, along with the authentic goal of making and spending money for a business, to make your wildest credit card dreams come true!

Once you get your card, it’s time to pat yourself on the back! This may seem silly, but it’s actually a huge accomplishment. You have a credit card for your BUSINESS. YOU have a BUSINESS!

And that’s pretty freakin’ cool. Way to go!