A comprehensive guide on selecting the Best Business Credit Cards for your business. Learn about the features to consider before choosing credit cards for your business.
Business credit cards are invaluable tools for companies of all sizes. Whether you’re a freelancer, a small business owner, or managing a larger enterprise, the right business credit card can provide financial flexibility; streamline expense management, and offer rewards tailored to business needs.
Why You Need a Business Credit Card
A business credit card can significantly enhance how your company operates, regardless of size. Here are some crucial reasons why you should consider adding one to your financial toolkit:
1. Simplified Expense Tracking
Managing expenses is one of the most challenging aspects of running a business. With a business credit card, you can easily monitor all purchases, categorize expenses automatically, and access detailed monthly and yearly reports. Many cards come with integrations to accounting software like QuickBooks, making tax time and financial audits far less stressful.
2. Cash Flow Management
Access to credit can smooth over cash flow gaps. If you have seasonal income or irregular cash inflows, a business credit card allows you to cover operating expenses and pay them off when revenue picks up. Many cards also offer interest-free periods of up to 12 months, allowing businesses to delay payments without incurring interest charges.
3. Maximized Rewards and Perks
Business credit cards often come with tailored reward programs that match common business spending categories such as travel, office supplies, marketing, and utilities. Using a business card strategically, you can earn points, miles, or cash back that can be reinvested in your business.
4. Separate Business and Personal Finances
Mixing personal and business expenses can complicate bookkeeping and tax filings. A business credit card provides a clear boundary, keeping business-related transactions separate from personal finances, which makes tax deductions easier to track.
5. Build Business Credit
A solid business credit score can help your company secure better financing terms in the future, including lower interest rates on loans. By regularly using a business credit card and making timely payments, you can gradually build a strong credit history for your company.
6. Employee Spending Control
Many business credit cards offer the ability to issue supplementary cards to employees. You can set spending limits, track transactions, and even restrict the types of purchases employees can make. This gives you greater control and visibility over your business expenditures.
How to Choose the Best Business Credit Cards
When choosing a business credit card, it is important to consider the specific needs of your company. Some of the factors to keep in mind when evaluating your options for business credit cards are:
Spending Habits
Different cards reward different spending categories. If your business frequently spends on travel, a card that offers higher rewards on travel-related purchases is ideal. On the other hand, if your expenses lean toward office supplies, utilities, or digital advertising, look for a card that provides bonus points or cash back in those categories.
Annual Fees
Business credit cards can have annual fees ranging from $0 to $600 or more, depending on the rewards and incentives they offer. While it might be tempting to avoid cards with annual fees, sometimes paying a fee can result in more lucrative rewards, better insurance coverage, and additional benefits like access to airport lounges or discounts on business services.
Interest Rates and Introductory Offers
If your business carries a balance from month to month, the interest rate (APR) is an important factor. Some cards offer a 0% introductory APR for the first 6 to 12 months, which can be a valuable feature if you’re planning significant, expenses upfront.
Credit Requirements
Business credit cards typically require a personal guarantee, meaning your credit score will be a factor in the application process. Some cards are more lenient than others, so if your credit isn’t stellar, look for cards designed for businesses with fair or limited credit.
Employee Cards
If you have a team, look for a card that provides free employee cards and offers robust tracking and spending controls. Some cards allow you to set individual limits on employee spending and notify you of each transaction in real time, helping to prevent misuse or overspending.
Travel Benefits
Many business credit cards offer significant travel perks, including free airport lounge access, travel insurance, or priority boarding. If you or your employees travel frequently, these features can add tremendous value.
Chase Ink Business Preferred® Credit Card
The Chase Ink Business Preferred® is a versatile card that’s perfect for businesses with significant travel and advertising expenditures. Its powerful rewards program and additional benefits make it one of the top choices for small and medium-sized businesses.
- Annual Fee: $95
- Welcome Offer: 100,000 bonus points after spending $15,000 in the first 3 months. These points are worth up to $1,250 when redeemed for travel through Chase Ultimate Rewards®.
Rewards:
- 3x points on travel, shipping, internet, cable, phone services, and advertising on social media and search engines (on the first $150,000 spent annually).
- 1x points on all other purchases.
- Best For: Companies that spend heavily on digital marketing, travel, or shipping.
Additional Benefits:
- Up to $600 per claim, making it ideal for businesses that issue phones to employees.
- Trip cancellation and interruption insurance, along with purchase protection, help mitigate risk for travelling employees or large business purchases.
- Transfer points 1:1 to leading airline and hotel loyalty programs, maximizing their value for frequent travellers.
 American Express® Business Gold Card
For businesses with fluctuating monthly expenses, the American Express® Business Gold Card provides the flexibility to earn top rewards in the categories you spend the most on each month.
- Annual Fee: $375
- Welcome Offer: 70,000 Membership Rewards® points after spending $10,000 in the first 3 months.
Rewards:
- 4x Membership Rewards® points on the 2 categories where your business spends the most each billing cycle (up to $150,000 per year).
- 1x points on all other purchases.
- Best For Companies that have varying spending patterns across multiple categories like airfare, advertising, and software.
Additional Benefits:
- Access to the American Express Global Lounge Collection, no foreign transaction fees, and travel insurance.
- Access to Amex’s suite of management tools, including spending analytics and reporting.
- Discounts on partner services like Google Ads, Microsoft 365, and Dell.
Capital One Spark Cash Plus
The Capital One Spark Cash Plus is a simple, no-nonsense card that offers unlimited 2% cash back on every purchase. It’s best for business owners who want straightforward rewards without worrying about bonus categories or caps.
- Annual Fee: $150
- Welcome Offer: Up to $1,000 in cash bonuses: $500 after spending $5,000 in the first 3 months, and another $500 after spending $50,000 in the first 6 months.
Rewards:
- 2% cash back on all purchases with no limits or spending caps.
- Best For Businesses that want consistent cash back without needing to track categories.
Additional Benefits:
- No pre-set spending limit, and payment is due in full every month.
- Add employee cards at no extra cost and track spending by individual cardholders.
Brex Card for Startups
Designed specifically for startups, the Brex Card offers robust rewards and doesn’t require a personal guarantee, making it ideal for companies that may have limited credit history.
- Annual Fee: $0
- Welcome Offer: Up to 50,000 points after qualifying purchases.
Rewards:
- 8x points on rideshare and taxis.
- 5x points on travel booked through Brex.
- 3x points on restaurants.
- 2x points on recurring software expenses.
- 1x points on all other purchases.
- Startups and tech-focused companies that need flexible rewards and don’t want to provide a personal guarantee.
Additional Benefits:
- Unlike most business cards, Brex doesn’t require founders or executives to use their credit for approval.
- Access to discounts and credits on popular business tools like AWS, Slack, Google Ads, and QuickBooks.
Bank of America® Business Advantage Customized Cash Rewards Mastercard®
For businesses looking for flexibility in how they earn rewards, the Bank of America® Business Advantage Customized Cash Rewards Mastercard® offers customizable categories and no annual fee.
- Annual Fee: $0
- Welcome Offer: $300 statement credit after spending $3,000 in the first 90 days.
Rewards
- 3% cash back in one of six categories of your choice (e.g., gas stations, office supply stores, travel).
- 2% cash back at restaurants.
- 1% cash back on all other purchases.
- Best For: Small businesses that want control over their rewards structure and value no annual fees.
Additional Benefits:
- Enjoy a 0% intro APR for the first 9 billing cycles.
- A great perk for businesses with international expenses.
The Blue Business® Plus Credit Card from American Express
The Blue Business Plus Credit Card is one of the best no-fee cards for earning rewards on everyday business purchases.
- Annual Fee: $0
- Welcome Offer: 15,000 Membership Rewards® points after spending $3,000 in the first 3 months.
Rewards:
- 2x Membership Rewards® points on all purchases up to $50,000 per year.
- 1x points on purchases thereafter.
- Best For Businesses that want straightforward rewards on a no-fee card.
Additional Benefits:
- Benefit from 0% APR on purchases for the first 12 months.
- The card allows you to exceed your credit limit with no penalty, making it ideal for businesses with fluctuating cash flow.
Business credit cards offer more than just a convenient way to pay for expenses; they can significantly enhance your company’s financial strategy. From earning rewards on everyday purchases to simplifying expense tracking and improving cash flow, the best business credit cards provide valuable benefits tailored to various business needs.
