Most new business venture require a loan to get off the ground. Be it small or large, securing a loan plays an important role in business set up. However, if your personal credit score is poor, it may affect securing a loan for your business.

It may come as a surprise for many that your personal credit score can significantly affect a business loan, but both are connected. For instance, you can start with a rewards business to start up your business, but first of all, you need to maintain a decent personal credit score. Here is how rewards credit cards can help:

1. Faster capital

With a business credit card, you get instant capital for your business setup. It is much faster than getting a loan approved.

2. Low interest

Business credit card with rewards also provides low-interest rates on your balance transfers. This can help you in saving money and repay your personal debts much faster.

3. Improve your credit score

Rewards credit cards can also help in improving your credit score. As you make a timely payment each month, both your personal and business credit score get maintained. This leads to new loan opportunities, which helps in the growth of your business.

4. Earn while you spend

With the help of business credit card with rewards, you get a chance to earn on your spending. Rewards are the form of cash back will definitely help you in paying off earlier dues.

5. Separate business with pleasure

With a business credit card, you get a chance to separate your expenses between business and personal. By doing this, you can keep a check on your expenses and at the same time, clear your debts.