FlyerTalk Forums - View Single Post - Forming an LLC or other type of corp. to get additional cards
Old Jul 11, 2013 | 10:27 am
  #14  
safigan
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The important thing to remember is the business cards being offered to you are "small business" cards and the card issuer is not relying on the credit of the business, but on your *personal* credit. That's why they require your SSN and make you the primary cardholder. If the business fails to pay the bill, then you are legally liable to pay, and it hits your *personal* credit report for any late payments. You can issue credit cards to other employees, but their charges are your responsibility. You can think of it as equivalent to co-signing for the business.

I'm sure it's possible at some point for the business to build up enough credit to apply for its own card, but I've never been successful, and I've founded 5 companies in the past 10 years, 4 of which are still operating, and no luck for me.
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