What is a business credit card? Benefits, limits and conditions for opening a card in 2025

What is a business credit card?

Credit cards for business is a financial instrument issued by the bank to the company to pay for business expenses. Unlike personal cards, corporate cards offer high limits (from 100 million to 5 billion VND), 45-55 days of interest-free period and detailed expense reports for accountants. This is a solution to help businesses optimize cash flow, manage expenses and receive shopping, travel and cashback incentives.

Let's Bizzi learn more about business credit cards and discover the unmissable benefits of using this powerful financial tool.

What is a business credit card?

Credit cards for business is a type of card issued by a bank to a legal entity (company, organization) to pay for business expenses. The card provides a flexible post-payment method for expenses such as advertising costs, purchasing supplies, business expenses, payments to suppliers and other operating costs.

Example of a business credit card that supports business travel expenses and employee limit management
Example of a business credit card that supports business travel expenses and employee limit management

5 Outstanding Benefits of Corporate Credit Cards

Use business credit card brings many strategic benefits, but will be even more effective when combined with an intelligent cost management system.

  • Effective cost management: Credit cards for business provide detailed expense reports, allow setting limits for each employee and integrating data into the accounting system. This is the strength of automated expense management platforms like Bizzi, which help synchronize card statements and automatically account for, saving up to 80% of time for the accounting department.
  • Optimize cash flow with 45-55 days interest free: Businesses can “spend first, pay later” for about 45-55 days with an interest rate of 0%. This period of time helps businesses solve the problem of temporary cash flow shortage, pay expenses on time while waiting for receipts from customers.
  • Enjoy more exclusive offers: Banks offer many attractive incentive programs such as cashback from 1-5%, accumulated flight miles, free use of airport lounges, helping businesses save a significant amount of money.
  • Separate personal and business expenses: Using a separate card for the company makes accounting and tax settlement transparent. By combining the corporate credit card with Bizzi's software, all transactions and accompanying invoices are digitized and stored centrally, making reconciliation and final settlement simpler than ever.
  • Building credit history for business: Paying off credit card balances on time helps businesses build good credit scores, creating a solid foundation for accessing larger loans in the future.

With the above benefits, businesses can improve efficiency in business cost management and optimize financial resources. Using credit cards wisely also contributes to Cash flow management more proactively and flexibly.

Compare business credit cards and personal credit cards

Basically, business credit card Works similar to a personal card but is specifically designed for corporate needs with higher limits, detailed reporting and business-friendly incentives.

The main differences lie in the limits, reporting features, and included incentives.
The main differences lie in the limits, reporting features, and included incentives.

The table below summarizes the key differences:

Criteria Personal credit card Credit cards for business
Target audience Individual Legal entity (Company, organization)
Credit limit Low (Usually from 10 - 200 million VND) High (Usually from 100 million - 5 billion VND, can be higher)
Expense report Monthly statement, no details Detailed reports, classified by category, integrated with accounting/ERP software
Authorization to use Primary cardholder and up to 1-2 additional cards Authorize multiple employees to use sub-cards with separate limits
Endow Focus on personal shopping, entertainment, dining Focus on business expenses, stationery, advertising, airfare, hotel

Conditions and documents for opening a credit card for businesses

To open business credit cards, banks often require businesses to meet certain basic legal and financial conditions.

  • Conditions to be met:
    • An enterprise is a legal entity legally established in Vietnam.
    • Minimum business operation time from 1 to 2 years (depending on the bank).
    • Have transparent financial reports and profitable business results.
    • No history of bad debt at any credit institution.
  • Documents to prepare:
    • Application for issuance business credit cards (according to bank form).
    • Legal documents: Business registration certificate, Company charter, Decision to appoint Chief Accountant.
    • Financial records: Audited financial statements of the last 1-2 years, VAT declaration.
    • Personal documents of legal representative (CCCD/Passport).

Common Business Credit Card Fees and Interest Rates

Businesses need to understand the fees and interest rates to use the card effectively and avoid unwanted costs.

  • Annual Fee: Ranging from VND 500,000 to VND 2,000,000/year for primary cards, and often free or with lower fees for supplementary cards.
  • Overdue interest: Applicable when the business does not pay the entire outstanding balance at the end of the period after the interest-free period, usually from 15% - 25%/year.
  • Cash withdrawal fee: Very high, usually from 3% – 4% on the transaction amount. Businesses should minimize cash withdrawals from credit cards.
  • Late payment fee: Approximately 3% – 5% on the outstanding minimum balance.

To avoid interest and penalty fees, businesses need to establish a Internal spending rules clearly. Applying automation solutions like Bizzi will help enforce this regulation effectively, automatically reconcile card transactions with invoices and alert on unusual expenses, ensure expenses are always strictly controlled and outstanding balances are paid on time.

Which bank is best to open a credit card for business?

Choosing a bank depends on the spending needs, size and industry of the business. Below is a comparison table of some reputable banks in Vietnam (information for reference only, subject to change):

Bank Credit limit (reference) Annual fee (for reference) Featured Offers
Vietcombank Up to 5 billion VND ~ 1,000,000 VND Free airport lounge, cash back, points to redeem gifts.
BIDV Up to 2 billion VND ~ 800,000 VND Refund for fuel, food, golf fees.
VPBank Up to 2 billion VND ~ 1,500,000 VND Cashback up to 5% for advertising, technology. Quick card opening procedure.
Techcombank Up to 3 billion VND ~ 1,200,000 VND Unlimited cashback, waived annual fee if spending conditions are met.

Frequently Asked Questions (FAQ)

1. Does opening a business credit card affect the business owner's personal credit?
Are not. Business credit card Issued to a corporate entity, so the card's credit history will be tied to the company, not directly affecting the personal credit score of the business owner or legal representative.

2. How many additional cards can a business open for employees?
Depending on each bank's policy, there is usually no limit on the number of supplementary cards. Businesses can request supplementary cards for employees who regularly have business expenses and set separate limits for each card.

3. Can a newly established business open a credit card?
It’s usually more difficult. Most banks require a business to be in operation for at least 1-2 years. However, some banks have flexible policies for startups if they have collateral or a viable business plan.

Conclude

Credit cards for business has become an indispensable tool in modern financial management. However, credit cards are just a tool. To maximize efficiency, businesses need a synchronous expense management system. Bizzi's automation solutions help connect data from credit card statements with processing electronic invoice template and related documents, forming a comprehensive, transparent and paperless cost management process.

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