Starting your own business is one of life’s great adventures. When you’re a sole proprietor, every decision you make is deeply personal. From a legal standpoint, the business is you and you are the business. Is it a big responsibility? Absolutely—but there’s also a whole lot of freedom. And that’s exactly why looking into business credit cards for sole proprietors can be so helpful. 

A quality business credit card can help you manage spending, keep your expenses separate, and even offer rewards—all while letting you maintain the autonomy and excitement that drove you to start your business in the first place.

The Benefits of a Business Credit Card for Sole Proprietors

As a sole proprietor, you might wonder if a “business” credit card really applies to you. Why should you go through the trouble of applying for a business card or opening a new line of credit? 

It all boils down to benefits. Beyond easing the burden on your cash flow, a business credit card can help you in ways you might not have considered:

  • Separate Your Expenses. When you’re a sole proprietor, it’s especially easy to mix personal and business expenses. A dedicated business credit card simplifies that headache. All your business expenses are in one place. No sifting through piles of receipts, no guesswork at 11 p.m. on a Sunday when you’re trying to finalize your books.
  • Build (and Strengthen) Your Credit. If you’ve got good personal credit, you’re already partway there. A business credit card, used responsibly, helps you build a stronger credit profile on the business side. Timely payments, low balances, and generally responsible use can give your credit score a major boost.
  • Earn Rewards. Whether you like straightforward cash back or you’re looking to rack up travel points so you can finally take that dream vacation, there’s a business card out there with rewards that match your goals. Many cards even provide special perks tailored to common business expenses (like office supplies, gas, travel, and more).
  • Smooth Out Cash Flow. Cash flow can be a constant concern for sole proprietors. You might have high sales one month and fewer sales the next. A good business credit card gives you a financial cushion.
  • Access to Additional Protections. Business credit cards often come with purchase protections, extended warranties, and even travel insurance. These added benefits can offset your day-to-day risks. Sometimes, the card’s protection policies even cover damages or theft—a relief if you have to invest in costly business tools.

5 Steps to Improve Your Approval Odds

You’ve decided you want a business credit card. Great. Here are five actionable ways to boost your chances of hearing “yes” from potential card issuers.

1. Make Sure Your Financial Structure Is Solid

Stop mixing personal and business accounts. If you’ve been using the same checking account for everything, open a separate business checking account now. Having clean, well-documented financials is crucial. Credit card issuers love seeing that you’re legit: clear revenue streams, well-organized expenses, and a system in place for accounting.

2. Consider Where You Want to Apply

There are countless business credit card providers. Sometimes, your best bet is to go with a bank that already knows you. If you have a long-standing personal or business relationship with a bank, they might be more inclined to trust you. From there, make a list of your spending habits. Are you spending more on gas, office supplies, or travel? Compare cards that line up best with those expenses before applying. 

3. Check Your Credit Score First

All business credit card issuers will look at your personal credit when you’re a sole proprietor. So do yourself a favor: check your credit report before they do. FICO considers scores between 670 and 739 “good,” while VantageScore considers 661 to 780 “good.” If you’re in that range, you’re likely solid. But if you’re lower, don’t panic. You could consider a secured credit card, which requires an upfront deposit, or work on boosting your score first. 

4. Gather the Right Information

Most applications will ask for your Social Security number, proof of monthly revenue, a list of your expenditures, and how long you’ve been in business. If you have employees, you’ll also provide an EIN. Even if you don’t have employees, you might still consider an EIN because it can make you look more “official.” 

5. Decide on a Personal Guarantee

A personal guarantee means you’re on the hook personally if the business can’t repay. Many sole proprietors are fine with that, because they have to be anyway. If your credit history is thin or spotty, offering a personal guarantee—especially in the form of a secured card—can help. Just be clear that if you rack up a balance and can’t pay it, your personal finances and assets are at risk.

Our Top 4 Picks for Business Credit Cards in 2025

Have everything you need to apply for a business credit card? Great! Now, you need to consider which cards might be right for you. Thankfully, you’ve got plenty of options. To help narrow it down, here are four great options:

#1: Ink Business Unlimited® Credit Card

If you want one card that does it all without forcing you to juggle changing bonus categories, the Ink Business Unlimited® might be your best bet. You’ll also enjoy key benefits like extended warranty protection and purchase protection, typical of many Chase business cards.

What We Love

  • Offers 1.5% cash back on every purchase. No complicated categories. No spending caps.
  • Often provides a generous welcome offer (depending on the sign-up period).
  • This card is perfect for the sole proprietor who wants simplicity.

#2: Capital One Spark 1.5% Cash Select

Capital One Spark 1.5% Cash Select card is a fantastic steppingstone into a business line of credit. If your personal credit is not great, but you still want to start separating your business expenses, building credit, and earning a bit of cash back—this card fits the bill.

What We Love

  • 1.5% cash back on purchases.
  • No annual fee, which means you can keep it open indefinitely without a yearly cost.
  • Discounts and double points when booking travel through Capital One Travel.

#3: American Express Blue Business® Plus Card

The American Express Blue Business® Plus is sort of a sweet spot for those who want to dip their toe into Amex’s points system without paying a hefty annual fee. The 0% introductory APR period is icing on the cake if you’ve got big purchases in your near future.

What We Love

  • No annual fee, which is great for budget-conscious sole proprietors.
  • Membership Rewards can be transferred to travel partners or redeemed for credits.
  • 0% APR on purchases for 12 months (then a variable rate applies).

#4: The Business Platinum Card® from American Express

If you want to feel like a VIP and you travel regularly for business, this card can more than pay for itself. The intangible benefits—like saving time at airports or snagging last-minute seats in airport lounges—can truly enhance your work life if you’re on the go.

What We Love

  • Over $1,000 in business and travel perks and rebates annually
  • 5x Membership Rewards points on flights and hotels when you book through Amex.
  • Usually includes a large welcome offer of Membership Rewards points.

Finding the Right Fit for Your Sole Proprietorship

Being a sole proprietor can feel exhilarating and terrifying all at once. Business credit cards can reduce stress by simplifying your finances and even rewarding you for everyday spending. But remember, you’re responsible for every debt your sole proprietorship racks up!

Exploring other financial tools to help grow your business? Keep North One on your radar. With a North One business checking account, you can get up to 3% APY on cash balances, giving you a chance to earn more on the money sitting in your account—perfect if you’re saving up for your next big venture. Here’s to building something great, one purchase at a time.