What qualifies for a small company credit card may surprise you. Whether you’re a freelancer, Uber driver, dog walker, or have another for-profit side hustle, you may apply for a small business credit card (I pass).
Keeping personal and corporate funds separate is crucial for anybody operating a large company. A business credit card will assist in segregating spending and help create company credit, allowing you more freedom with loans and leases. You may also acquire extra approved cards for staff.
From a big sign-up bonus to purchase protection, an innovative business credit card contains these five features.
You should know how you want to redeem your benefits before choosing the correct card for your venture:
- Do you want to earn free luxury vacations?
- Do you want to save money on business travel?
- You want to reinvest cash back into your firm.
Consider your spending patterns and pick a card that benefits you the best for your company costs.
Consider your spending patterns and pick a card that benefits you the best for your company costs.
Ink Business Preferred Credit Card
The Chase Ultimate Rewards program is one of the most acceptable ways to earn meaningful, flexible rewards points on small-business expenditures. You may use the Ink Business Preferred Credit Card as a business card if you already have a Chase personal rewards card like the Chase Sapphire Preferred or Chase Sapphire Reserve.
The Ink Business Preferred Credit Card generates Ultimate Rewards points, which may be kept on the card or combined with other rewards. Travel purchases are eligible for a 25% bonus (or a 50% bonus if transferred to your Chase Sapphire Reserve).
Great sign-up incentive, 3x points on up to $150,000 spent annually in popular business categories.
Experts dislike: Earning the 100,000-point welcome bonus requires spending $15,000 in the first three months, which excludes smaller enterprises.
American Express Business Platinum Card for premium travel advantages
However, the yearly subscription has grown, and it has become a little more of a niche offering. The American Express Business Platinum Card may benefit mid-sized enterprises that travel often, but not for single owners or extremely tiny businesses.
With the recent addition of 1.5x earning categories and bill credits for cellular, Indeed, and Adobe purchases, the Business Platinum card offers even more value.
When you book with Amex Travel, you’ll earn statement credits and 5x Amex Membership Rewards points on flights and pre-paid accommodations. In addition, the card offers 120,000 Membership Rewards points after spending $15,000 on qualifying purchases in the first three months.
Experts dislike the High yearly fee of $695 (See Rates) and high minimum expenditure to obtain the welcome bonus. For non-travelers, this may not be the ideal option since you don’t earn more points on business-related purchases, says Bent Wilson, credit cards editor at The Points Guy.
No yearly charge earns travel points: American Express Blue Business Plus Credit Card.
The American Express Blue Business Plus Credit Card generally doesn’t have a welcome offer. Still, it grants 15,000 Membership Rewards points after spending $3,000 on qualifying purchases in the first three months. It’s an unusual points-earning business card with no annual cost and no bonus categories that doesn’t levy a yearly fee.
With an average value of 1.8 cents each Amex point, you’re earning a 3.6 percent return on all business expenses up to $50,000 per year.
Experts love: double points up to $50,000 per year (then 1x), no yearly cost. “Plus, get a year of no interest on new purchases. This is great for small company owners “Sara Rathner, NerdWallet credit card expert.
What experts don’t like: “This isn’t the card for a big welcome bonus,” explains Bent Wilson. (The Blue Business Plus card offers 15,000 Enrollment Rewards points after spending $3,000 on qualifying purchases during the first three months of card membership.)
Spark 2 percent Cash Plus
Infinite 2% cashback on all purchases with the Spark 2 percent Cash Plus. No, no points, no redemption minimums. Rewards are valid for life and may be redeemed for cash. The card has a $150 annual fee and gives $500 after spending $5,000 in the first three months and $50,000 in the first six months.
The American Express Blue Business Plus Credit Card earns 2x points and has no annual fee. While 2x points may be more beneficial than 2% cash if used to book travel via partners, you cannot cash out Membership Rewards points. You may exchange them for statement credits worth 0.6 cents apiece. That implies the Amex card only gives 1.2 percent “cash back,” compared to the Spark 2 percent Cash Plus’s 2 percent “cash back.”
Because it’s a charge card, there’s no defined spending limit.
Experts dislike: Other business credit cards provide fantastic returns on select purchases.
All purchases earn 2x miles Capital One Spark Miles.
With the Capital One Spark Miles for Business, you don’t need a sophisticated rewards credit card plan, but you want the flexibility to redeem your miles. You may utilize miles to “wipe” business travel charges off your credit card. Capital One miles may also be redeemed for cash or gift cards. This may be helpful if you don’t want to restrict your rewards usage.
This card’s flat 2 miles per dollar spent transfer to over a dozen airline and hotel partners, plus you earn 5x miles on hotels and rental cars booked via Capital One Travel.
Experts dislike The 0% APR period, with few advantages compared to other cards with comparable annual fees.
Maximize your Chase points and cashback: Card Ink Business Unlimited
The Ink Business Unlimited Credit Card is Chase’s newest no-annual-fee business card. But, like the Chase Freedom FlexSM and Chase Freedom Unlimited consumer cards, the Ink Business Unlimited Credit Card contains a secret. The card accumulates Ultimate Rewards points, which may be used for cash (1 point Equals 1 cent).
In other words, you may combine points earned from cards like the Ink Preferred and the personal Chase Sapphire Reserve and Chase Sapphire Preferred Cards to get a bonus when redeeming for travel via Chase or transfer them to travel partners. If you use an Ink Preferred, you’ll gain 1.53 points for every dollar.
Silbert says the current sign-up bonus is $750, which is impressive for a no-annual fee card.
Experts dislike: You need another Chase card to optimize the benefits fully.
The American Express Business Gold Card
The American Express Business Gold Card is a fantastic alternative to the Business Platinum Card if you don’t want to pay the higher annual fee. Depending on your spending patterns, the Business Gold may be a better alternative, with 4x points on popular business spending categories for the first $150,000 in combined purchases each calendar year, then 1x.
Experts love a High degree of customization in terms of earning potential.
Experts dislike: As Wilson points out, it’s the only premium Amex card without an annual fee credit.
Optimal for wifi and office supplies: Ink Business Cash
Like the Ink Business Unlimited Credit Card, you may pool your “cash” earned with points from other cards to obtain (possibly) more valuable points.
To maximize your bonus categories, such as office supply shops, internet, cable, and restaurants, you should apply for the Ink Business Cash Credit Card.
Experts love No yearly charge, up to 5% cashback.
Experts dislike A terrible choice if you don’t spend much in the 5% cashback areas.
One business credit card: Brex Card
The Brex Card is unique in that it requires no personal guarantees and rewards consumers who use it exclusively (up to 8x points on rideshare and up to 4x points at restaurants and coffee shops, for example).
Aside from eight airline partners, Brex points may be exchanged for cash, gift cards, or bill credits. There’s also a new cryptocurrency redemption option: Brex points may be exchanged for bitcoin or Ethereum.
Experts adore: “If your company can’t pay the debt, you’ll have to pay it out of your funds. The Brex card does not need a personal credit history. It’s a special card for company entrepreneurs “Rathner of NerdWallet.
Wilson says that the card is exclusively accessible to US corporations and other non-individual liability businesses, such as LLCs, LLPs, C-corps, and S-corps.
Airline credit cards
Welcome gift: Vary
If you travel for work often and are devoted to one airline, it may be worth having an airline’s business credit card. In addition to earning frequent flyer points, you’ll enjoy free checked baggage and priority boarding.
Hotel credit cards
Welcome gift: Vary
If you regularly travel for work, a hotel business credit card may be helpful. All purchases earn hotel points, and some cards give free elite status, and yearly incentive stays.
FAQ
Choosing the most acceptable business credit cards
Personal Finance Insider reviewed hundreds of new business credit cards and refined the list based on the following criteria:
Putting my usual freelancing costs on a small-business credit card got me over 150,000 points.
Do personal and corporate credit cards have different terms?
Unlike personal credit cards, business credit cards are designed for small company owners. If you match the bank’s standards, you may obtain authorization for a business credit card no of your business size.
Business credit cards usually have various rewards and features. They may earn additional points on purchases at office supply retailers and provide free cards for workers. Plus, they often have more credit limits than personal cards.
Which business card is best?
Business credit cards from American Express, Chase, Citi, Capital One, and others are excellent choices. The ideal option for you relies on your preferences and the yearly amount you’re ready to spend.
Best premium credit cards
The Business Platinum Card from American Express is a terrific option for a rewards card with plenty of perks. If you don’t need features like airport lounge access or yearly statement credits, a card like the Capital One Spark Miles for Business may be ideal.
How can I get a business card?
The good news is that getting a company credit card is simpler than you think. As a solo entrepreneur, you may usually qualify for a business credit card if you conduct freelance work or sell products on eBay. You are individually liable for your company’s debts.
How can I apply for a business credit card?
Sole proprietors may apply for a business card using their SSN. Your legal name should be your company name. If you have workers, you must provide your SSN and EIN and information about your company size, kind, and income (if requested).
What’s the difference between a corporate and a company credit card?
The principal cardholder is liable for debts and fees with a corporate credit card. A corporation issues its workers a corporate card and is responsible for paying it.
