Business credit cards and lines of credit (LOCs) areessential tools for managing cash flow and fueling growth. Understanding the differences helps you make smarter decisions.
## Business Credit Cards
- Quick approvals.
- Great for short-term expenses.
- Rewards and perks available.
- Typically require personal guarantee.
## Business Lines of Credit
- Larger limits than cards.
- Flexible draw and repayment terms.
- Ideal for working capital, payroll, or inventory.
- May require collateral or stronger financials.
## Choosing the Right Tool
Cards are best for day-to-day expenses, while LOCs are better for larger, ongoing needs. Many businesses use both strategically.
### Example
PAC Consulting secured a $50K business credit card stack for a startup and a $200K LOC for a contractor. Together, these provided liquidity without equity dilution.
PAC Consulting matches owners nationwide with the right credit products to manage cash flow and scale operations.