Author Topic: Business Partners  (Read 1780 times)

Offline cokeboycott

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Business Partners
« on: February 13, 2020, 03:43:33 PM »
Hi,
I hope someone can give me some advice.

My business partner opened several cards for our business using his own name and credit. I am not listed on any of the accounts. They include Capital One Spark, BOA, and Amex.

If those cards are not paid or go into collections, will that affect MY personal credit?
Do you experience with this and, if yes, how long will it take?

Offline AJK

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Re: Business Partners
« Reply #1 on: February 13, 2020, 03:46:27 PM »
The answer, as far as I am aware, is no, they will not.

In all likelihood, he signed up for a *business* card using his own SSN and the business TIN/EIN, so if he defaults, it's on him (and possibly the business' credit report).

Now, if he signed up for a corporate card (for which the business owners provided a personal guarantee) then it could be on you.
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Offline cokeboycott

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Re: Business Partners
« Reply #2 on: February 13, 2020, 03:58:30 PM »
I don't understand the difference between the two??

Offline as2

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Re: Business Partners
« Reply #3 on: February 13, 2020, 05:22:49 PM »
I don't understand the difference between the two??
The biz card is pretty much in his name and on his credit, but hes linking it to your business. A corporate card is backed by the (owners of) a business. In the first case, it's pretty much a personal card, but with certain differences in reporting and the likes, to accommodate business spending. In the second case, it's a card specifically for a business, backed by said business and/or it's owners.
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Offline cokeboycott

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Re: Business Partners
« Reply #4 on: February 13, 2020, 05:43:23 PM »
How would i be able to find out which kind it is?

Also, how would it work with business loans?

Offline as2

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Re: Business Partners
« Reply #5 on: February 14, 2020, 12:16:11 PM »
How would i be able to find out which kind it is?

Also, how would it work with business loans?
Based on your first post, it seems it it's a business card, not corporate.
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Offline MrKaplan

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Re: Business Partners
« Reply #6 on: February 14, 2020, 01:23:27 PM »
How would i be able to find out which kind it is?


Ask your partner

Offline as2

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Re: Business Partners
« Reply #7 on: February 14, 2020, 01:25:15 PM »
Ask your partner
From the sound of this, it seems he may be worried about the honesty (for lack of a better term) of his partner...
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Offline Yehuda25

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Re: Business Partners
« Reply #8 on: February 18, 2020, 05:39:53 PM »
Hi,
I hope someone can give me some advice.

My business partner opened several cards for our business using his own name and credit. I am not listed on any of the accounts. They include Capital One Spark, BOA, and Amex.

If those cards are not paid or go into collections, will that affect MY personal credit?
Do you experience with this and, if yes, how long will it take?
AFAIK wont affect your personal credit, legally him and the business are jointly responsible.
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Offline cokeboycott

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Re: Business Partners
« Reply #9 on: February 18, 2020, 09:40:49 PM »
Sorry for the lack of experience, but can you give me examples of bus cards vs corp cards?

Is Amex platinum a corporate card?
Cap One Spark?

Offline as2

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Re: Business Partners
« Reply #10 on: February 19, 2020, 10:55:25 AM »

Sorry for the lack of experience, but can you give me examples of bus cards vs corp cards?

Is Amex platinum a corporate card?
Cap One Spark?
Neither of those are corporate cards. Amex has a line of corporate cards. If you are equal partners in the business, I don't believe he'd be able to get a corporate card without your approval.

https://www.americanexpress.com/us/credit-cards/business/corporate-credit-cards/?inav=menu_cards_cs_corporate_credit_cards
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Offline cokeboycott

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Re: Business Partners
« Reply #11 on: February 20, 2020, 12:14:34 AM »
On a related note,
The Chase Ink card is under our EIN. We also have our business checking and savings account with Chase under same EIN.
If the Ink card goes to collections, can they garnish money from our bank accounts?

Offline as2

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Re: Business Partners
« Reply #12 on: February 21, 2020, 12:04:12 AM »
On a related note,
The Chase Ink card is under our EIN. We also have our business checking and savings account with Chase under same EIN.
If the Ink card goes to collections, can they garnish money from our bank accounts?
Ink cards would fall under business cards, not corporate. I don't know the exact procedure as far as who they collect from and in what order, but I'm sure you can google it. I doubt they'd come after the business right away though, as whoever applied for the card used their SSN as well.
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