If you have a small business, you may be looking to get a small business credit card. Having a distinct small business credit card is a great way to keep your personal and business expenses separate and keep your accountant happy. There are a wide array of small business credit cards out there — some offer cash back while others offer travel rewards. Finding the right one for you will depend on your business and what types of spending you most frequently do. Here is a look at 5 of the best small business credit cards.
What is a Small Business Card? (and who can get one)
Before we talk about the different small business credit cards, it’s important to understand what a small business credit card is. The major difference between business and personal credit cards is that you will need a business to apply for a small business credit card. The business information will be included in your credit card application.
One common misconception is that your business needs to have an EIN or be a registered corporation or meet a certain threshold of sales or revenue. The fact is that your business can be a sole proprietorship, have no or limited revenue, and still get a small business credit card. Once you do have a small business credit card, there is also no legal restriction on what you can use it for. You can make personal expenses on your business credit cards, and vice versa — just check with your accountant or bookkeeper on how to account for them.
Chase Ink Preferred
The Chase Ink Preferred card is one of the best small business credit cards because it earns Chase Ultimate Rewards points — one of the best points currencies out there. You’ll get three points per $1 on the first $150,000 spent on travel and select business categories each year, and one point per $1 spent on all other purchases. Currently, there is a welcome offer for 100,000 Ultimate Rewards points after spending $15,000 on purchases in the first 3 months, and there is a $95 annual fee.
Capital One Spark Cash for Business
The Capital One Spark Cash card earns 2% cash back on every purchase with no limit. This can be very useful for businesses that spend in a lot of different types of categories, or in categories that are relatively uncommon. The Spark Cash card has a welcome offer where you can get a $500 statement credit after spending $4,500 within the first 3 months. There is a $95 annual fee, which is waived the first year. If you prefer earning travel rewards, you can also consider the Capital One Spark Miles card, which is similar to the Spark Cash except earns Capital One Venture Miles instead of cash back.
The Blue Business® Plus Credit Card from American Express
The American Express Blue Business Plus card earns two Membership Rewards points per dollar spent on all purchases for the first $50,000 in purchases per year. You’ll earn one Membership Rewards point for all other purchases. This can be great if you prefer to earn travel rewards, as Membership Rewards points can be incredibly valuable when used for flights and other travel.
Bank of America Business Advantage Cash Rewards
The Bank of America Business Advantage Cash Rewards is one of Bank of America’s small business credit cards. It has no annual fee, and offers an intriguing rewards proposition. You can earn 3% cash back in your choice of one of six different categories: gas stations (default), office supply stores, travel, TV/telecom & wireless, computer services, or business consulting services.
You’ll also get 2% cash back on dining purchases, and 1% cash back on all other purchases. The 3% and 2% on the first $50,000 in combined choice category/dining purchases each calendar year and then 1% cash back. This card currently is offering a $300 statement credit when you make at least $3,000 in purchases in the first 90 days of having the account, and comes with no annual fee.
Chase Ink Business Cash
The Chase Ink Business Cash card comes with no annual fee and earns you 5% cash back at office supply stores and on internet, cable, and phone services. You also earn 2% cash back at gas stations and restaurants. Both of these bonus categories are limited to the first $25,000 spent per category each anniversary year. All other purchases earn 1% cash back. Where the Ink Business Cash shines is if you also have a premium credit card that earns Chase Ultimate Rewards. Then you can convert your cash back from the Ink Business Cash card into Ultimate Rewards points, allowing you to maximize the value from the card.