Best Business Credit Cards | May 2023 Rankings - Higher Limits, More Rewards

Small business owners often need access to credit in order to finance their operations. Business credit cards can be a useful tool for managing expenses, earning rewards, and building credit. In this article, we will cover what you should know about best business credit cards, how they work, how to apply for one, and how to make the most out of a small-business card.

Business credit cards are similar to personal credit cards in many ways. They allow you to borrow money from a lender (the card issuer) up to a certain limit. You then pay back the borrowed amount plus interest over time. However, there are some key differences between personal and business credit cards that you should be aware of.

One major difference is that business credit cards are typically designed for small businesses with fewer than 100 employees and less than $5 million in annual revenue. This means that they may offer different rewards programs or benefits than personal credit cards.

When applying for a business credit card, you'll need to provide information about your business such as its legal name, address, and tax identification number. You may also need to provide financial information such as your annual revenue and expenses.

Once approved for a business credit card, it's important to use it responsibly in order to build good credit and maximize rewards. Small business owners often prefer low annual fees and high rewards points when choosing a card. The Chase Ink Business Preferred is currently one of the most popular small business credit cards due to its generous sign-up bonus and flexible redemption options.

In addition to rewards points, many small business owners value perks such as travel insurance, purchase protection, and extended warranties offered by their chosen card. Some cards also offer introductory 0% APR periods which can be helpful for managing cash flow during periods of low revenue or unexpected expenses.

To make the most out of your small-business card, consider your spending habits and rewards preferences when choosing a card that best suits your needs. Use your card for business expenses only, pay your balance in full each month to avoid interest charges, and keep track of your spending to ensure that you're staying within your budget.

What are Best Business Credit Cards?

Higher Credit Limits for Business Expenses

Business credit cards are specifically designed to help business owners manage their expenses and cash flow more efficiently. Unlike personal credit cards, these cards typically offer higher credit limits that can be beneficial for businesses with larger expenses. With a higher credit limit, business owners can make purchases without worrying about maxing out their card or negatively impacting their credit score.

Rewards Programs That Save Money

Many business credit cards also come with rewards programs that can help businesses save money on purchases they make regularly. Cash back rewards or points earned from purchases can be redeemed for statement credits, travel, gift cards, and other valuable benefits. For example, the Chase Ink Business Preferred Credit Card offers 3X points per dollar spent on travel and other select business categories like shipping and advertising.

Additional Perks for Large Purchases

In addition to rewards programs, business credit cards may also come with additional perks that can be useful for businesses that frequently make large purchases. These perks may include travel insurance or purchase protection that covers lost or damaged items purchased with the card. Some business credit cards even offer extended warranties on eligible items purchased with the card.

Choosing the Right Business Credit Card

It's important for business owners to carefully compare the features and fees of different business credit cards before choosing one that best fits their needs. Some factors to consider when selecting a card include interest rates, annual fees, reward programs, and additional perks offered by each card issuer.

For new businesses just starting out, it may be wise to choose a card with no annual fee until the company has established its financial footing. The Capital One Spark Classic for Business is a great option in this case as it offers 1% cash back on all purchases without an annual fee.

For established businesses looking to earn maximum rewards on everyday spending categories such as office supplies or gas stations, the American Express Blue Business Plus is a great choice as it earns 2X Membership Rewards points on the first $50,000 in purchases each year.

Best Overall Business Credit Card: Blue Business Plus from American Express

Ink Business Unlimited: The Best No Annual Fee Business Credit Card

If you're looking for a business credit card that offers great rewards without an annual fee, the Ink Business Unlimited from Chase is an excellent option. With unlimited 1.5% cash back on all purchases, this card is perfect for businesses with varying expenses.

The Ink Business Unlimited also offers a sign-up bonus of $750 after spending $7,500 in the first three months of account opening. This bonus is one of the best available in the market and can help your business save money right from the start.

One of the most significant advantages of this card is that it provides free employee cards. This feature allows you to give your employees access to credit while keeping track of their expenses easily. It also helps you earn more rewards since you'll be earning cash back on all their purchases too.

Another benefit that comes with using Ink Business Unlimited is purchase protection benefits. You'll get coverage for up to 120 days against damage or theft on eligible purchases made with your card. This feature can provide peace of mind when making large purchases for your business.

Business Platinum Card® from American Express, American Express® Business Gold Card - Best for Luxury Perks

Higher Credit Limits and Expense Tracking Tools

Businesses have unique needs and the best business credit cards are designed to cater to those specific needs. One of the biggest advantages of using a business credit card is the higher credit limit that is typically available. This can be a game-changer for businesses that need to make large purchases or investments without maxing out their credit lines.

In addition to higher credit limits, many business credit cards also offer expense tracking tools that can help businesses keep track of their expenses and monitor their cash flow. These tools can be incredibly valuable for businesses that need to manage multiple expenses across different departments or locations. With detailed reporting and employee spending controls, businesses can gain greater visibility into their spending patterns and identify areas where they may be able to save money.

Rewards Programs That Help Businesses Save Money

Another key benefit of using a business credit card is the rewards program that many cards offer. These programs allow businesses to earn points or cash back on their purchases, which can then be redeemed for travel, merchandise, or statement credits. Depending on the card, these rewards programs may offer bonus points or cash back in certain categories like office supplies, gas stations, or restaurants.

For example, the Business Platinum Card® from American Express offers 5X Membership Rewards® points on flights and prepaid hotels on amextravel.com as well as 1.5X Membership Rewards points per dollar spent on eligible purchases of $5,000 or more (up to 1 million additional points per year). Meanwhile, the American Express® Business Gold Card offers 4X Membership Rewards® points on two select categories where your business spent the most each billing cycle from a list of six categories such as airfare purchased directly from airlines; U.S. purchases for advertising in select media; U.S. purchases at gas stations; U.S. purchases at restaurants; U.S. purchases for shipping; and U.S. computer hardware, software, and cloud computing purchases made directly from select providers.

Luxury Perks That Make Business Travel More Comfortable

For businesses that require frequent travel, the luxury perks that come with some business credit cards can be a major selling point. These perks can include access to airport lounges, free checked bags, and statement credits for airline fees or Global Entry/TSA PreCheck application fees.

The Business Platinum Card® from American Express is a great example of a card that offers these types of luxury perks. Cardholders receive complimentary access to over 1,200 airport lounges worldwide through the American Express Global Lounge Collection®, as well as up to $200 in annual statement credits for incidental fees charged by one qualifying airline of their choice. They also receive a fee credit for Global Entry or TSA PreCheck application once every four years.

Best Cash Back Business Credit Cards, Best for Cash Back

Rewards programs are a key factor to consider when choosing the best cash back business credit cards. These programs allow you to earn points or cash back on your purchases, which can then be redeemed for rewards such as travel, merchandise, or statement credits.

Some of the best cash back business credit cards include the American Express Blue Business Cash Card, which offers 2% cash back on all eligible purchases up to $50,000 per calendar year. The Capital One Spark Cash for Business card also offers 2% cash back on all purchases with no limit on how much you can earn.

Another important factor to consider is interest rates. Some business credit cards offer introductory 0% APR periods for a certain amount of time, while others may have higher ongoing interest rates but offer more generous rewards programs.

Annual fees are another consideration when choosing a business credit card. While some cards may have no annual fee at all, others may charge several hundred dollars per year in exchange for premium rewards and benefits.

Credit limits are also an important factor to consider when applying for a business credit card. Depending on your spending habits and financial goals, you may want a higher or lower credit limit to help manage your expenses and cash flow.

When applying for a business credit card for your LLC, you'll typically need to provide basic information about your company such as its legal name and tax ID number. You may also be required to provide additional documentation such as financial statements or proof of income depending on the issuer's requirements.

It's important to use credit responsibly and make payments on time when using a business credit card. Late payments or high balances can negatively impact both your personal and business credit scores.

Best for Welcome Bonus, What's the Best Business Credit Card Signup Bonus?

Choosing the Best Business Credit Card

Rewards Programs, Annual Fees, Interest Rates, and Introductory Offers

There are a variety of factors to consider. One of the most important is the rewards program offered by the card. Different cards offer different rewards programs, so it's important to choose one that aligns with your business spending habits and goals.

In addition to rewards programs, you'll also want to consider annual fees and interest rates when selecting a business credit card. Some cards charge high annual fees but offer generous rewards programs, while others have lower fees but fewer rewards. Similarly, some cards have low introductory interest rates that can be very attractive for businesses looking to save money on financing costs.

It's also important to regularly review your business credit card usage in order to ensure you're maximizing rewards and minimizing costs. This means keeping track of your spending habits and adjusting your use of the card as needed in order to take advantage of promotions or avoid unnecessary fees.

Building Your Business Credit Score

Another key benefit of using a business credit card is that it can help you build your business credit score over time. By using the card responsibly and paying off balances in full each month, you can demonstrate to lenders that you are a reliable borrower who is capable of managing debt effectively.

This can be particularly helpful if you're looking to secure financing for future projects or investments. Having a strong business credit score can make it easier for lenders to trust you with larger sums of money and may even help you qualify for more favorable terms on loans or lines of credit.

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Blue Business Plus from American Express: The Best Business Credit Card for Your Needs

Earning rewards while making purchases is a smart way to save money and get more value out of your expenses. This is where a business credit card comes in handy. One of the best business credit cards in the market today is the Blue Business Plus from American Express.

High Rewards Rate and No Annual Fee

The Blue Business Plus card offers an impressive 2x Membership Rewards points on all purchases up to $50,000 per year. For small businesses with regular expenses, this can add up quickly and provide significant savings. What's even better is that there's no annual fee for this card, so you can enjoy its benefits without worrying about additional costs.

Introductory APR Offer

Another advantage of the Blue Business Plus card is its 0% introductory APR on purchases and balance transfers for the first 12 months. This feature provides flexibility for businesses that need to make large purchases or transfer balances from other cards without incurring interest charges.

Aside from its rewards program and introductory APR offer, the Blue Business Plus card also comes with a suite of valuable business tools and benefits. These include expense management tools that allow you to track your spending and manage your budget effectively. You can also issue employee cards with customizable spending limits, which helps control expenses while empowering your team members to make necessary purchases.

Access to Amex Offers

Lastly, as a Blue Business Plus cardholder, you'll have access to Amex Offers - exclusive discounts and savings on business-related purchases such as travel, technology, office supplies, and more. These offers are updated regularly so you can take advantage of new deals as they become available.

How Do I Get a Business Credit Card for My LLC?

Getting a business credit card for your LLC (Limited Liability Company) follows similar steps as getting one for yourself personally:

Best Small Business Credit Cards, Small Business Owner Survey

Business Platinum Card® from American Express

With a welcome bonus of 100,000 Membership Rewards points after spending $15,000 within the first three months of account opening, the Business Platinum Card® from American Express is one of the best small business credit cards available. The card offers access to over 1,200 airport lounges worldwide through the Global Lounge Collection program. This feature can be especially useful for frequent business travelers who need a comfortable place to wait during layovers or delays.

Another great perk of this card is that it offers up to $200 in annual statement credits for airline incidental fees and up to $200 in annual statement credits for Dell purchases. These benefits can help offset some of the costs associated with running a small business. Additionally, cardholders can earn 5x Membership Rewards points on flights and prepaid hotels booked through amextravel.com.

American Express® Business Gold Card

The American Express® Business Gold Card is another excellent option for small business owners. With a welcome bonus of 70,000 Membership Rewards points after spending $10,000 within the first three months of account opening, this card offers plenty of value right off the bat.

One standout feature of this card is its flexible rewards program. Cardholders can earn 4x Membership Rewards points on two categories they choose from a list including airfare purchased directly from airlines; U.S. purchases at gas stations; U.S. purchases at restaurants; U.S. purchases for shipping; and more (on up to $150,000 per calendar year). They also earn 2x Membership Rewards points on eligible purchases in remaining categories and unlimited 1 point per dollar spent on all other eligible purchases.

Who Can Apply for A Small-Business Credit Card?

Small-business credit cards are designed specifically for businesses that have fewer than 500 employees and less than $7 million in annual revenue. However, even if you're a sole proprietor or freelancer, you may still be eligible for a small-business credit card. In fact, many people who work for themselves use small-business credit cards to help keep their personal and business expenses separate.

What You Need to Apply for A Small-Business Credit Card

When you apply for a small-business credit card, you'll need to provide some basic information about your business. This typically includes your business name, address, and tax identification number (TIN). You may also be asked to provide information about your annual revenue and the number of employees you have.

In addition to these details, you'll also need to provide some personal information such as your name, address, and Social Security number. As with any credit application, the issuer will likely check your credit score before approving your application. If you're just starting out or have had some financial difficulties in the past, it's possible that you may not qualify for certain cards.

Best No Annual Fee Business Credit Card: Ink Business Unlimited, Best for No Annual Fee

Welcome Bonuses: A Great Way to Earn Rewards Quickly

Welcome bonuses can be a great way to earn rewards quickly and offset annual fees. The Ink Business Preferred Credit Card offers the highest welcome bonus of 100,000 points after spending $15,000 in the first 3 months. This is equivalent to $1,250 in travel rewards when redeemed through Chase Ultimate Rewards.

Another great option is the Chase Sapphire Preferred Card which offers a welcome bonus of 80,000 points after spending $4,000 in the first 3 months. These points are worth $1,000 in travel rewards when redeemed through Chase Ultimate Rewards.

The Capital One Spark Cash for Business also offers an impressive welcome bonus of $500 cash back after spending $4,500 in the first 3 months. This cash back can be used towards any business expense or even reinvested into your business.

Lastly, the American Express Business Platinum Card offers a welcome bonus of 85,000 points after spending $15,000 in the first 3 months. These points can be redeemed for travel or transferred to airline and hotel partners.

Consider Spending Requirements and Annual Fees

While welcome bonuses are certainly enticing, it's important to consider both spending requirements and annual fees before choosing a business credit card with a welcome bonus. Some cards may require higher amounts of spending within a shorter timeframe than others.

For example, while the Ink Business Preferred Credit Card offers an impressive welcome bonus of 100,000 points after spending $15,000 in the first 3 months, this may not be feasible for smaller businesses with less frequent expenses. In this case, a card like the Capital One Spark Cash for Business may be more suitable with its lower spending requirement of just $4,500 within the same timeframe.

Additionally, some cards may come with higher annual fees that could outweigh the benefits of their welcome bonuses. The Ink Business Preferred Credit Card, for instance, comes with an annual fee of $95 while the Capital One Spark Cash for Business has no annual fee.

Final Thoughts

When choosing a business credit card with a welcome bonus, it's important to consider both spending requirements and annual fees in addition to the value of the welcome bonus itself. Ultimately, the best card for your business will depend on your unique spending habits and financial needs.

Conclusion of Best Business Credit Cards

In conclusion, choosing the best business credit card for your needs requires careful consideration of your spending habits, business goals, and financial situation. With so many options available in the market, it can be overwhelming to make a decision.

However, by assessing your priorities and comparing the benefits and features of different cards, you can find a card that offers rewards, perks, and flexibility that align with your business needs.

Whether you are looking for cash back rewards or travel benefits, there is a business credit card out there that can help you save money and maximize your purchasing power. By using your card responsibly and paying off your balance on time each month, you can build strong credit for yourself and your business.

So take the time to do your research, read reviews from other small business owners like yourself, and choose a card that fits into your overall financial strategy. With the right business credit card at hand, you can take advantage of exclusive perks and rewards while keeping track of expenses in an organized way.

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