Best Business Credit Cards
Overview
When running a business, managing expenses efficiently is crucial to its success. One of the best tools for streamlining business finances is a business credit card. These cards offer various benefits, from earning rewards to providing access to credit that can help manage cash flow. With so many options available, choosing the best business credit card for your needs can be overwhelming. In this article by Academic Block, we’ll explore the best business credit cards of 2024, focusing on key features, rewards programs, and additional benefits to help you make the right choice for your business.
Why You Should Consider a Business Credit Card
Before diving into the best options available, it’s important to understand why a business credit card is a smart choice for entrepreneurs and small business owners. Here are some key reasons to consider:
-
Separation of Personal and Business Expenses : Using a business credit card allows you to keep personal and business transactions separate. This is essential for tax purposes and gives you a clearer picture of your business’s finances.
-
Improved Cash Flow Management : With a business credit card, you can manage cash flow more effectively, paying for expenses now and deferring payment until the due date.
-
Rewards and Perks : Many business credit cards offer rewards such as cashback, travel points, or discounts on business-related services, which can help you save money or invest back into your business.
-
Building Business Credit : Regular use of a business credit card, along with timely payments, can help build your business credit profile, which may lead to better loan opportunities in the future.
Now that you know why business credit cards are important, let’s look at the top options available in 2024.
Best Business Credit Cards
Chase Ink Business Cash Credit Card
The Chase Ink Business Cash Credit Card is a top choice for small business owners who want to earn cashback on everyday purchases. It offers a generous welcome bonus, a high rewards rate on specific categories, and no annual fee.
Key Features:
-
Sign-up bonus : Earn $750 bonus cash back after spending $7,500 on purchases in the first three months.
-
Rewards : 5% cashback on the first $25,000 spent in combined purchases at office supply stores and on internet, cable, and phone services. 2% cashback on the first $25,000 spent at gas stations and restaurants. 1% on all other purchases.
-
Annual Fee : $0
-
APR : 20.24% – 25.24% Variable APR
This card is ideal for businesses that frequently purchase office supplies or have regular gas and restaurant expenses. The 5% cashback on office supplies is a standout feature.
The Blue Business® Plus Credit Card from American Express
For business owners who want simple rewards without the complexity of rotating categories, the Blue Business® Plus Credit Card from American Express offers 2X points on the first $50,000 spent each year (1X points thereafter).
Key Features:
-
Sign-up bonus : None.
-
Rewards : 2X points on the first $50,000 spent annually (1X points thereafter).
-
Annual Fee : $0
-
APR : 15.99% – 23.99% Variable APR
This card is a great option for businesses that want to earn solid rewards without managing multiple spending categories.
Capital One Spark Cash for Business
For business owners who want a flat-rate cashback card, the Capital One Spark Cash for Business offers unlimited 2% cashback on every purchase, with no need to track categories.
Key Features:
-
Sign-up bonus : $500 after spending $4,500 on purchases in the first 3 months.
-
Rewards : 2% cashback on all purchases, unlimited.
-
Annual Fee : $95 (waived the first year)
-
APR : 20.99% Variable APR
This card is perfect for businesses with diverse spending and no desire to manage rotating categories or restrictions. The flat 2% cashback on all purchases makes it simple and effective for earning rewards.
Chase Ink Business Preferred Credit Card
The Chase Ink Business Preferred Credit Card is designed for businesses with high spending needs, especially those that frequently purchase travel-related items or business services.
Key Features:
-
Sign-up bonus : 100,000 points after spending $15,000 on purchases in the first 3 months.
-
Rewards : 3 points per $1 on the first $150,000 spent in combined purchases on travel, internet, cable, phone services, and advertising purchases made with social media sites and search engines. 1 point on all other purchases.
-
Annual Fee : $95
-
APR : 20.24% – 25.24% Variable APR
The 3 points per dollar on travel and advertising expenses make this card perfect for businesses that invest heavily in marketing and travel. The large sign-up bonus is also an attractive feature for businesses that can meet the spending threshold.
The Business Platinum Card® from American Express
The Business Platinum Card® from American Express is one of the most premium business credit cards available, offering high-end rewards and benefits tailored to frequent travelers.
Key Features:
-
Sign-up bonus : 120,000 Membership Rewards® points after spending $15,000 in purchases in the first 3 months.
-
Rewards : 5X Membership Rewards® points on flights and prepaid hotels booked through Amex Travel. 1.5X points on purchases of $5,000 or more.
-
Annual Fee : $695
-
APR : 19.24% – 27.24% Variable APR
This card is perfect for businesses that regularly spend on travel and prefer luxury perks. It offers access to airport lounges, complimentary hotel status, and a range of other premium benefits.
Bank of America® Business Advantage Cash Rewards Mastercard®
The Bank of America® Business Advantage Cash Rewards Mastercard® offers a customizable cashback program, allowing business owners to earn 3% cashback on the category of their choice.
Key Features:
-
Sign-up bonus : $300 online cash rewards after making at least $3,000 in purchases in the first 90 days.
-
Rewards : 3% cashback in the category of your choice (gas stations, office supply stores, travel, etc.), 2% on dining, and 1% on all other purchases.
-
Annual Fee : $0
-
APR : 18.24% – 27.24% Variable APR
This card allows flexibility with its customizable rewards categories, which is great for businesses with specific spending habits in different areas.
U.S. Bank Business Cash Rewards World Elite™ Mastercard®
The U.S. Bank Business Cash Rewards World Elite™ Mastercard® is an excellent choice for business owners who want to earn high rewards on specific categories like cell phone service and office supplies.
Key Features:
-
Sign-up bonus : $500 bonus after spending $4,500 in the first 150 days.
-
Rewards : 3% cashback on the first $2,500 spent in combined purchases at gas stations, office supply stores, and internet, cable, and phone services. 1% on all other purchases.
-
Annual Fee : $0
-
APR : 18.24% – 27.24% Variable APR
This card is best suited for businesses with regular expenses in specific categories, offering significant rewards in areas like office supplies and telecom services.
Wells Fargo Business Platinum Credit Card
The Wells Fargo Business Platinum Credit Card is a versatile card that allows businesses to earn unlimited 1.5% cashback or choose a low intro APR for purchases.
Key Features:
-
Sign-up bonus : None.
-
Rewards : 1.5% cashback on all purchases.
-
Annual Fee : $0
-
APR : 0% intro APR for the first 9 months on purchases, then 20.24% – 28.99% Variable APR.
This card is a great option for businesses that want a simple cashback program or a low APR on purchases to help with financing.
American Express® Business Gold Card
The American Express® Business Gold Card is another great option for businesses looking for flexible rewards and valuable perks. It offers a higher rewards rate in select categories, making it ideal for business owners with varied spending habits.
Key Features:
-
Sign-up bonus : 70,000 Membership Rewards® points after spending $10,000 in the first 3 months.
-
Rewards : 4X points on the 2 categories where your business spends the most each month (from a list of 6 categories like advertising, shipping, and gas). 1X points on other purchases.
-
Annual Fee : $295
-
APR : 19.24% – 26.24% Variable APR
This card is perfect for businesses with fluctuating spending needs and is ideal for those in fields like marketing, shipping, or transportation.
Brex Card for Startups
The Brex Card for Startups is ideal for startups looking for a credit card with no personal guarantee requirements and a range of business-friendly features.
Key Features:
-
Sign-up bonus : Varies based on the plan chosen, often up to $1,000 in rewards.
-
Rewards : 1-8% cashback depending on the category (e.g., travel, dining, software), with no limits on spending.
-
Annual Fee : $0
-
APR : 0% on all purchases for the first 60 days; after that, 20.99% Variable APR.
This card stands out for its flexible rewards structure and is particularly beneficial for startups with high expenses in certain categories.
Final Words
Choosing the right business credit card depends on your business needs. Whether you’re looking for straightforward cashback, high rewards for travel or marketing, or a premium card for extra perks, there’s a card that fits your business profile. By evaluating the features, fees, and rewards programs of each card, you can select the one that helps your business thrive while keeping your finances in check. Hope you liked this article by Academic Block, please provide your insightful views in comment section to make this article better. Thanks for Reading!
This Article will answer your questions like:
To apply for a business credit card, you need to provide information about your business, including its name, address, legal structure, annual revenue, and employer identification number (EIN). You may also need to share your personal details, including your credit score, as personal guarantees are often required. Some credit cards may allow you to apply online, while others might require more detailed documentation.
The best business credit cards for small businesses are typically those that offer high rewards for categories that align with the business’s expenses. Some great options include the Chase Ink Business Cash Card for cashback, the American Express Business Gold Card for flexible rewards, and the Capital One Spark Cash Plus for unlimited 2% cashback on all purchases. Look for cards that offer bonus rewards on office supplies, travel, and dining.
The best business card for your needs depends on your business’s spending habits. For general business expenses, a flat-rate cashback card like the Capital One Spark Cash for Business may be ideal. If you want travel rewards, the Chase Ink Business Preferred offers 3X points on travel-related purchases. It’s crucial to select a card that aligns with your business spending categories to maximize rewards.
The easiest business credit cards to get approved for are usually those with lower credit score requirements or no personal guarantee. Cards like the Capital One Spark Classic for Business, which is designed for those with fair credit, or the Brex Card, which does not require a personal guarantee, offer relatively easier approval. However, approval also depends on your business’s financial health and your credit history.
Yes, you can apply for a business credit card for your LLC. You will need to provide the LLC’s legal information, including the Employer Identification Number (EIN) and the LLC’s financials. In many cases, a personal guarantee and a personal credit check may also be required, especially for newly established LLCs without a significant business credit history.
To qualify for a business credit card, you generally need a good credit score (typically 700 or higher), proof of your business’s financial stability (like tax returns or revenue statements), and an EIN or a personal guarantee. Some cards may also require a minimum annual business revenue. Meeting these criteria improves your chances of approval.
The easiest business credit cards to get are typically those designed for businesses with less established credit. Cards like the Capital One Spark Classic for Business and the Brex Card for Startups are designed for businesses with fair credit or new businesses, making them easier to qualify for. However, some may require a personal guarantee or credit check.
The $750 bonus on the Capital One Spark Cash for Business is a sign-up bonus awarded to cardholders who meet the spending requirement, usually after spending a certain amount, such as $5,000, in the first three months of account opening. This bonus is added as cashback, which can be redeemed in a variety of ways, offering a substantial reward for your business’s purchases.
Obtaining a business credit card with a 500 credit score is challenging, but possible. Cards like the Capital One Spark Classic for Business and the Brex Card for Startups are designed for business owners with fair credit or limited credit history. However, you may need to provide additional documentation, such as proof of revenue or a personal guarantee.
Yes, you can get a business credit card for a startup. Many cards, such as the Brex Card for Startups, are tailored specifically for new businesses. These cards often do not require a personal guarantee, and approval is based on your business’s financial situation or personal credit. Some startup cards also offer valuable rewards for common startup expenses like travel and dining.
Yes, some credit cards designed for startups, such as the Brex Card, do not require a personal credit check or a business credit history. These cards are often approved based on the financials of your startup, such as revenue and cash flow. However, some traditional credit cards may require a credit check or a personal guarantee for approval.
The best business credit cards for new LLCs typically offer generous rewards or cashback and are designed to accommodate businesses with limited credit histories. The Chase Ink Business Cash card and Capital One Spark Classic for Business are both excellent choices. These cards provide great rewards on everyday purchases and are relatively easy for new LLCs to qualify for.
Bank of America generally requires a credit score of at least 700 to qualify for its business credit cards, though approval also depends on other factors such as your business’s financial health and revenue. A higher credit score increases the likelihood of approval and better terms on the card, such as a lower interest rate and higher credit limit.
The Bank of America Business Advantage Cash Rewards Mastercard is one of the easiest Bank of America business cards to get. It is designed for businesses with a good credit history but may be available to those with fair credit as well. This card offers cashback on common business expenses, such as office supplies, gas, and dining.
Chase business credit cards typically require a credit score of at least 700. However, Chase evaluates applicants based on a variety of factors, including credit score, income, and business history. Having a good credit score can increase your chances of receiving higher credit limits and more favorable terms, such as lower interest rates.
Chase business credit cards can be challenging to obtain, especially for new businesses or those with less-established credit histories. To improve your chances of approval, a strong personal credit score (700+), solid business financials, and a good business history are essential. Additionally, Chase may require that your business has been operating for at least two years, though newer businesses with a strong financial background can still qualify for certain cards.
The starting credit limit for a Capital One business credit card varies depending on factors like your creditworthiness and business financials. Typically, the limit ranges from $1,000 to $5,000 for new accounts. However, applicants with stronger credit profiles and higher revenue may qualify for higher limits. Capital One also reviews your business’s financial stability, which can affect your approval and limit. As you build credit, your limit may increase with responsible card usage.
Wells Fargo business credit cards typically require a credit score of at least 680 to 700 for approval. However, this can vary based on your business financials, history, and whether you’re applying for a secured or unsecured card. A higher credit score, along with positive cash flow and a strong personal credit history, can improve your chances of getting approved. Wells Fargo also considers other factors, including annual revenue and industry stability.
To qualify for a Capital One business credit card, applicants typically need a personal credit score of at least 600 to 700, depending on the card. You’ll also need to provide business information, including your Employer Identification Number (EIN), business revenue, and time in business. Capital One may require a personal guarantee, especially for new businesses. Strong financials and a clean credit history will increase your chances of approval and higher credit limits.
The Wells Fargo business credit card application process typically begins online or at a branch. You’ll need to provide your business’s name, EIN, financial information, and personal details, including your Social Security number. If your business is new, Wells Fargo may ask for additional documents, such as business tax returns or bank statements. Depending on your credit score and business financials, you’ll either be approved instantly or receive a decision after further review.
For businesses with bad credit, there are still viable business credit card options. The Capital One Spark Classic for Business and the Wells Fargo Business Secured Credit Card are great choices, as they cater to businesses with fair to poor credit. Secured cards, like the Discover it® Secured Business Credit Card, require a cash deposit but offer the opportunity to build credit over time. It’s important to select a card that reports to the business credit bureaus.
Business credit card pre-approval typically involves a soft credit inquiry that doesn’t impact your credit score. Lenders assess your business’s financials and creditworthiness based on factors like revenue, credit score, and business history. If pre-approved, you’ll receive an offer with credit limits and terms. However, full approval depends on a hard credit check and verification of your business details. Pre-approval gives you an idea of your chances but doesn’t guarantee final approval.