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Which credit card is best for small businesses?

Pauline Galeano

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which credit card is best for business
Photo: TWNToday.com

It is important to have a separate card for your business. Many business cards come with built-in reports of spending or employee cards that allow you to set spending limits. If you are wondering Which credit card is best for small businesses? Then we have curated a well-researched article below for you. If you are a member of Lowe’s then do check Lowe’s Credit Card: New Discounts on Lowe’s Purchases.

Business credit cards help you simplify your bookkeeping, and separate personal transactions from business transactions. These cards tend to offer higher welcome bonuses, and they are especially rewarding for business expenses.

Benefits, rewards, and sign-up bonuses are all part of the best business credit cards. What about another perk? They can also be used for short-term financing. Business credit cards are no exception.

Top business cards provide extra rewards such as cashback, miles, or points on everything from internet advertising to services. Other benefits are also available, including insurance and credits for computer or software expenses.

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TWNToday’s Best Business Cards for February 2024

  1. The Business Platinum Card® from American Express
  2. Amazon Business Prime American Express Card
  3. The Blue Business® Plus Credit Card from American Express
  4. The Hilton Honors American Express Business Card
  5. Marriott Bonvoy Business® American Express® Card
  6. Ink Business Preferred® Credit Card
  7. Ink Business Cash® Credit Card
  8. Capital One Spark Miles for Business
  9. American Express® Business Gold Card
  10. The American Express Blue Business Cash™ Card

Best Business Cards Comparison For February 2024

Credit CardBest FeatureCredit NeededIntro BonusAnnual FeeAPR (Variable)
The Business Platinum Card® from American ExpressPremium cardholder benefits.Good, Excellent (670-850)Earn 120,000 Membership Rewards® points after $15,000 spend in 3 months.$69519.49% – 27.49%
Amazon Business Prime American Express CardAmazon rewards.Not specifiedNot specified$019.49% – 27.49%
The Blue Business® Plus Credit Card from American Express12-month 0% APR on purchases.Good, Excellent (670-850)Earn 15,000 Membership Rewards® points after $3,000 spend in 3 months.No annual fee18.49% – 26.49%
The Hilton Honors American Express Business CardAirport lounge access.Good, Excellent (670-850)Earn 130,000 Hilton Honors Bonus Points after $3,000 spend in 3 months.$9520.99% – 29.99%
Marriott Bonvoy Business® American Express® CardMarriott rewards.Good, Excellent (670-850)Earn three Free Night Awards after $6,000 spend in 6 months.$12520.99% – 29.99%
Ink Business Preferred® Credit CardUp to three points per dollar on bonus categories.Excellent, Good (670-850)Earn 100,000 bonus points after $8,000 spend in 3 months.$9521.24%-26.24%
Ink Business Cash® Credit Card12-month 0% introductory APR on purchases.Excellent, Good (670-850)Earn $750 bonus cash back after $6,000 spend in 3 months.$018.49% – 24.49%
Capital One Spark Miles for Business5 miles per dollar on hotel and rental car bookings through Capital One Travel.Excellent, Good (670-850)50,000 miles bonus after $4,500 spend in 3 months.$0 intro for first year; $95 after26.24%
American Express® Business Gold CardBonus rewards for business purchases.Good, Excellent (670-850)Earn 70,000 Membership Rewards® points after $10,000 spend in 3 months.$295 ($375 if applied on or after 2/1/24)19.49% – 27.49%
The American Express Blue Business Cash™ Card2% cash back on the first $50,000 spent annually.Good, Excellent (670-850)$250 statement credit after $3,000 spend in 3 months.No annual fee18.49% – 26.49%

Disclaimer: Please note that the information is subject to change, and it’s recommended to check the respective issuer’s website for the most up-to-date details. However, we will keep updating with relevant and correct details.

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Why get a business credit card?

Business credit card helps you to take advantage of tax planning opportunities by using it for capital equipment purchases. 

Credit cards are a great way to bridge the gap between a customer’s need for cash and their receipt of payment. Business credit cards will help you keep your finances separate from those of your business. Also, a convenient and fast way to get capital for your business.

Types of Business Credit Cards

Small-business credit cards and corporate credit cards are the two main types of credit cards for businesses. Let’s quickly understand both of them below.

Small Business Credit Cards

A small business card can help you keep your business and personal assets separate. Small-business owners also benefit from a variety of tools for managing their business and rewards.

Corporate Credit Cards

Business credit cards for corporations are reserved for companies that earn more than $4,000,000 annually. Corporate cards have higher credit limits, management tools, and rewards than small business cards.

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If your business fails, unlike with small-business credit cards, you are not personally responsible for corporate cards. In this case, your business is the creditor.

What is the difference between business cards and personal cards?

Credit limits on business credit cards may be higher. Business owners must cover any charges on employee cards, even though they can issue them to their staff. Credit card issuers can provide payment and credit usage information to consumer and corporate credit bureaus.

What is required to apply for a business credit card?

You’ll need to provide the following information when you apply for a credit card.

  • Name of the business: This can be your business name if you are a sole proprietor.
  • Address: You can use your home address.
  • Tax ID for your business. You can use an EIN (if you are a sole owner) or a social security number.
  • Estimated Revenue Total revenue after taxes and other expenses.
  • Years of business: Number of years in business
  • Enter the number of employees: If you are the only employee, enter one.

I recommend watching this Ultimate Beginner’s Guide to Business Credit Cards by John Liang where he shares a beginner’s guide. John shares some amazing finance tips that you shouldn’t miss!

FAQs

What is the best credit card for small businesses?

This completely depends on your requirements. In my opinion, a popular option would be the Chase Ink Business Preferred Credit Card due to its rewards and travel benefits.

What is the best business credit card?

In our research, we found out the American Express Business Platinum Card the premier business credit card, offers premium benefits such as travel perks and rewards.

What is the best type of business card?

It all depends on your preferences – cash back cards provide quick rewards while travel rewards cards may provide larger sums; business charge cards may offer flexibility depending on spending needs and preferences.

Will I need to have an EIN to apply for a business card?

You do not need an EIN from the IRS to apply for a credit card for your business. You can apply for a credit card as a sole proprietor if your business is a single-person operation.

Can you use a credit card to do business?

Many businesses utilize credit cards as part of their operations. Business credit cards provide many advantages such as expense tracking, rewards programs, and special perks that could come in handy during operations. It is essential to manage credit responsibly by being aware of the terms, interest rates, and fees for this investment option.

Will I see my business credit card on my credit report?

Some of the best credit cards for business will not show up on your credit report. Depending on the credit card company, however, your business credit account may appear on your credit report.

Finance and Credit Card Expert Writer đź“ť 5 Years of Industry Insights đź’ł Helping You Master Credit đź’° Passionate about Personal Finance. Pauline is writer at famous publications like thewestnews.com, cardneeds.com, medium.com. Reach out to me [email protected]

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