What to know about getting pre-approved for a business credit card

Quick insights

• Pre-approved is a type of credit card offer you receive unsolicited from a financial institution that indicates you likely meet the basic requirements for the card.
• Business credit cards rarely give pre-approval offers nor do they offer pre-qualification.
• Instant approval for a business credit card may be a possibility, and if your credit card issuer offers it, getting approved might only take a few minutes.

It's not uncommon for consumers with good credit to routinely get offers for credit card pre-approvals in their mailbox. Pre-approval might be great if you’re in the market for a new line of credit; however, business owners hoping to get those same pre-approval offers for business credit cards might not have the same experience. In this article, we’ll discuss some things you need to know about getting pre-approval for a business credit card and other ways you may be able to speed up the approval process.

What does it mean to be pre-approved for a credit card?

Pre-approval is a type of credit card offer that comes to you unsolicited from the card issuer. Pre-approval can arrive via physical mail, email, or by phone, and it often indicates that you likely meet the basic requirements to obtain the card you’re being offered. Think of it as a prescreening process for acquiring a credit card.

You may receive credit card pre-approval offers from card issuers you already have an account with, other financial institutions or affiliated companies that offer a credit card and want your business. But pre-approval doesn't mean you’re approved. You still need to apply for the card and meet the requirements to officially be approved.

What does credit card pre-qualification mean?

While they may sound similar, pre-approval and pre-qualification may be different, mainly because of how they are initiated. Pre-approval comes unwarranted from the card issuer while you might start the pre-qualification process yourself. Pre-qualification means the issuer has done a basic review of your creditworthiness and found that you might qualify.

Much like pre-approval, pre-qualification can give you an idea of your odds of being approved for a credit card. Like pre-approval, pre-qualification does not guarantee you’ll be approved for a business credit card. 

What does “instant approval for a credit card” mean?

When you apply for a business credit card with instant approval, your application is reviewed and is usually decided quickly. The approval process and determination typically take minutes, not days.

Not all credit card issuers offer instant approval, so check with the card issuer to see if it is an option. You may be able to increase your likelihood of being instantly approved through pre-qualification; however, most banks do not offer pre-qualification for business credit cards.

Can I get pre-approved for a business credit card?

Business owners expecting to receive credit card pre-approvals by the dozens shouldn’t hold their breath. Most card issuers do not offer pre-approval for business credit cards, nor do they offer pre-qualification. Instant approval for business credit cards is more common but not guaranteed with every card.

Your best chance of getting pre-approved for a business credit card may be to have an established relationship with a financial institution. You could be more likely to get a pre-approval offer if you have a checking or savings account with the card issuer. This is because they have access to your financial information and can access your client history to gauge your creditworthiness.

What information do I need to provide to get approved for a business credit card?

As with any credit card application, you’ll need to provide specific information, not only about you, but also your business. Typically, those applying for a business credit card may need to provide:

• Legal structure of your business, if you have one
• A Social Security number, tax ID or employee identification number (EIN)
• Business name, address, phone and email address
• Either annual revenue or income

If you are concerned you may not be approved for a business credit card, consider checking your business credit report from a credit reporting agency. This may give you a good idea where your credit stands before you start the application process.

In summary

Pre-approval for business credit cards is rare, so don’t expect to receive them as frequently as pre-approval offers for consumer credit cards. Unfortunately, pre-qualification typically isn’t offered for business cards as well. Instant approval for a credit card may be more common, giving you credit card approval in minutes, not days. Not all card issuers offer instant approval so check with the card issuer before you apply.