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Most active UK businesses can qualify for a small business credit card, though exactly what you need depends on the provider. Some high-street banks want you to already hold a business account with them. Others, including Capital on Tap, don't. Most providers check your business structure, turnover, and credit history, and many require a personal guarantee.
What do business credit card providers look for?
Every provider sets its own rules, but most assess applications against the same handful of factors.
Business structure
Some providers accept sole traders, partnerships, and limited companies. Others are more selective, and some have tightened their rules in recent years to only accept directors of limited companies (Ltd) or members of LLPs, sometimes keeping a separate, more accessible card for sole traders. Private limited companies, limited liability partnerships, and public limited companies can all apply for the Capital on Tap Business Credit Card.
Turnover and trading history
Providers set their own turnover thresholds, and they vary widely. Some cap their standard card at a set turnover level and offer a separate product for higher-turnover businesses. Others ask for turnover figures as part of the application without publishing a fixed minimum.
Trading history is treated the same way. Many providers want to see six months to a year of trading before they'll approve you, and some traditional banks prefer 12 months or more. Capital on Tap doesn't require a minimum trading history, so you can apply from your very first day of business, using projected turnover if you don't have figures yet.
Whether you already need to bank with them
This is one of the biggest differences between providers. Some high-street banks require you to already hold a business current account with them before you can apply for their credit card. Fintech providers, including Capital on Tap, don't.
Your personal and business credit history
Most providers run a credit check. Many carry out a soft search first, so it's worth checking whether an application will affect your score before you apply. Lenders look for a reasonable personal credit history, since most business credit cards require a personal guarantee (more on that below), plus a clean business credit file. Unsatisfied County Court Judgments (CCJs) are a common reason for decline across providers.
Industry type
Like other regulated lenders, providers won't lend to every type of business. Common exclusions include gambling and betting, and arms and defence. The exact list varies by provider, and you'll find the full list of industries we don’t lend to in our eligibility guide.
A personal guarantee
Most business credit cards, including Capital on Tap's, require a personal guarantee. Business credit cards are unsecured, so no collateral is required. Instead, you, as the director or majority shareholder, are personally responsible for repaying the debt if the business can't. See our guide to personal guarantees for how liability works and how to manage the risk.
What you'll usually need to apply
Requirements vary, but most providers ask for a similar set of information:
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Your full name, date of birth, home address, and contact details
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Your business's legal name, registered address, and company registration number
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Your business structure and trading history
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Your average monthly or annual turnover
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Bank account details for settling repayments
Capital on Tap eligibility criteria
You may qualify for a Capital on Tap Business Credit Card if:
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You are an active director or a majority shareholder of the company, and reside in the UK
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Your business is a private limited company (Ltd), a limited liability partnership (LLP), or public limited company (PLC) registered in the UK
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You and your business have no unsatisfied CCJs in the last 12 months
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Your business is listed as active on Companies House
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Your business is not a high-risk industry
Our business credit cards page always has the definitive, up-to-date list.
There's no minimum trading history required, so businesses of any age can apply. Many providers want to see six months to a year of trading (sometimes longer) before they'll consider you, which can shut newer businesses out entirely. Capital on Tap doesn't set a minimum trading history at all: whether your business was incorporated last week or has been running for a decade, you're assessed the same way.
For the full list of requirements and common reasons applications are declined, see our business credit card eligibility guide.
How to improve your chances of approval
Whichever provider you choose, a few things consistently improve your odds.
Check your personal credit score
Since most business credit cards need a personal guarantee, lenders check your personal credit history too. A low personal credit score could mean a lower limit, a higher rate, or a decline. Check your credit report before you apply, and dispute any errors with the relevant credit reference agency.
Build a strong business credit history
Lenders want to see that your business manages credit well. Register with Companies House, keep your business details consistent across your bank, suppliers, and credit reference agencies, and pay suppliers on time. Read our guide to building business credit for a full checklist.
Make sure your business is financially healthy
Lenders want proof that your business earns enough to repay card debt. If your business isn't yet profitable, you may still be considered, but you could be offered a lower limit or a higher rate.
Compare providers before you apply
Providers differ on business structure, turnover thresholds, and whether you need an existing account with them. They also differ on limits, rates, fees, and rewards. Our guide to choosing a business credit card walks through how to weigh those features up. Once you've narrowed it down, here's what Capital on Tap offers:
The Capital on Tap Business Credit Card offers unlimited 1% cashback, credit limits up to £250,000, and unlimited free employee cards.
The bottom line
Most active UK limited companies, LLPs, and PLCs can qualify for a small business credit card. Check your eligibility, tidy up your credit files, and compare your options before you apply. This gives you the best chance of a smooth approval.
Ready to apply for your business credit card? Apply now and get a decision in as little as 2 minutes.
Approval is subject to status. This does not constitute financial or tax advice. For specific guidance, please consult a qualified professional.
Frequently asked questions
Can sole traders get a business credit card?
Some providers accept sole traders, others don't. Capital on Tap doesn't currently accept sole traders. If you're a sole trader, compare providers directly to find one that fits your business.
Do I need a personal guarantee to qualify?
Most business credit cards do, since they're unsecured and don't require collateral. The personal guarantee is what stands in for it. Capital on Tap is no exception: as the director or majority shareholder, you'd be personally responsible for repaying the debt if the business can't.
Will applying affect my credit score?
It depends on the provider. Some only run a soft search at application stage, which doesn't affect your score; others run a hard search, which can. Applying for a Capital on Tap Business Credit Card doesn't affect your personal credit score, even if you're declined, since we only run a soft search that other lenders can't see. For more on how business cards can affect your personal score more generally, see our guide on how business credit cards affect personal credit scores.
How long does it take to get approved?
This varies by provider, from an instant decision to a few weeks. Most Capital on Tap applicants get a decision in 2 minutes, can start spending with a virtual card straight away, and receive their physical card within 2-5 business days.
