The business credit card can be the best instrument to get the cash you require to expand your business and earn rewards, cash back, and other perks that will make your small business flourish. Business credit cards aren’t restricted to big companies. Many intelligent entrepreneurs, freelancers, and sole proprietors are great applicants for a small-sized company credit card. Here are the Best Business Credit Cards For Startups
You can keep your personal and business finances distinct if you have the correct combination of business credit cards. Business credit cards can aid small entrepreneurs in saving hundreds of dollars each year by offering competitive cash back and perks designed to streamline and boost the efficiency of business operations.
Credit cards for business can help entrepreneurs get finance. However, the best Card is more than just the ability to spend. It could help your new company with benefits that provide financial flexibility or increase your bottom lines, such as an extended initial period of 0% APR or cashback tied to purchases or travel.
The fact that you’re a new business shouldn’t limit the credit cards you can use for business. Most business credit card issuers do not mind if you have no prior business experience. They will look at your credit score instead when you apply. Suppose you’re credit-worthy and have a good credit score. In that case, you’ll be able to select the top small-business credit card even when you’re just starting an unproven business—other options for those beginning without credit, too, such as secure commercial credit cards.
Our selections of the top business credit cards designed for startups can be applied via NerdWallet; however, some are not. Below are the application links to credit cards offered by our partners, which are accessible through NerdWallet and our complete list of choices.
Best Business Credit Cards For Startups
- For Business Ink Preferred(r) Credit Card
It’s an all-star high-end business credit card with one of the highest-paying welcome offers available on any credit card for business on the market. It is essential to note that Chase Ultimate Rewards points are perhaps the most valuable points on a credit card. The bonus categories for spending through this particular Card are appealing and appropriate for startups and small-sized businesses.
Rewards Customers can get 3 points per dollar for the first $150,000 they spend on business travel and other categories every year that marks their account anniversary, as well as 1 point for every dollar for any additional purchase. If a cardholder takes full benefit of the potential for earning rewards will earn an impressive 450,000 points when purchasing in these categories alone.
If they were redeemed to get a statement credit of one penny per point, that is 450,000 points; they would have an estimated value of $4,500. Cardmembers can also redeem points for travel with Chase Ultimate Rewards with a 25 percent bonus, which will raise 5-625 points, the equivalent of 450,000.
The savviest travelers understand that the most value from Chase Ultimate Rewards rewards can be in the possibility of transferring points according to need to the 12 airlines and three hotels Chase Ultimate Rewards partners. This way, the value of points can be greater than two cents, with a possible value of more than $9,000.
The Welcome Bonus: 100,000 points after you have spent $15,000 on purchases within the first three months following the account’s opening date.
Yearly Fees: $95
Advantages as well as Drawbacks A significant amount of protection for travel (trip interruption and cancellation of as much as $5,000 for each trip) and primary rental car insurance, insurance for cell phones (up to 600 dollars per claim), and no charges for foreign transactions, and no additional costs for employee credit cards make the Card more than earning rewards. Ink Business Preferred(r) Credit Card comes with an annual fee lower than competitors’ commercial credit cards.
As a disadvantage, small businesses or tech startups might be concerned about the $15,000 expenditure requirement within the first three months after account opening to qualify for the Welcome Bonus of 100,000 points. It’s higher than most credit cards for business, but the lucrative welcome bonus is worth the effort in achieving the spending requirement.
- ink for business Unlimited(r) Card Credit Card
A business credit card permits cardholders to earn an unlimited 1.5 percent cashback on all purchases.
Reward: The Ink Business Unlimited Credit Card reduces the cost of earning with unlimited 1.5 percent cash back for business owners so they can concentrate on other aspects of their businesses without needing to learn how to earn or redeem points. Points can be exchanged for credit on statements as well as gift cards and travel with a cost of 1 cent percent.
New Customers: Earn $750 bonus cash back after spending $7,500 on purchases within the first three months following the account opening date. Ink Business Unlimited also offers a 0% introductory APR for the first three months Ink Business Unlimited also offers an initial rate of 0% during the first 12 months of purchases. After which, an 14.74 percent + 20.74 APR variable of 1% is offered.
Rewards and drawbacks The Card doesn’t have an annual fee for employee cards and provides an extended warranty and purchase protection that lasts up to 120 calendar days. And the possibility of combining “cash return” earnings with Chase Ultimate Rewards personal and business credit cards to maximize opportunities to redeem travel rewards.
But, there are some disadvantages to take note of. There are a few issues to be aware of. Chase Ink Business Unlimited has fees for foreign transactions and doesn’t provide bonuses for spending categories.
Some may argue that the Card does not meet the requirements of comparable cards offering cashback of 2% (such as the one with an annual fee that can be waived in during the beginning of the year) or one that matches earning cash back at the beginning of the one year (such as Discover it(r) Business Card). If you’re looking for simplicity, an easy 1.5 percent cashback with this Card Chase Ink Business Unlimited might be the best choice for a small-sized business or tech-related startup with a smaller annual expense quantity and without having to pay a significant yearly fee for a card that offers unlimited cashback of 2% that could help offset earning.
- American Express Blue Business Cash(TM) Card
The annual fee-free American Express Blue Business Cash(TM) Card is almost identical to the Blue Business(r) Plus Credit Card. The main distinction is that the rewards come in the shape of cash back instead of the Membership Rewards rewards.
Reward:2 percent cash back on eligible purchases up to $50,000 in a calendar year. Then 1 percent.
The Welcome Package: $250 statement credit after you’ve made $3,000 of purchases in the first three months after account opening
Yearly Fees: There is no annual charge
Benefits and drawbacks: The Card’s zero annual cost (Terms apply. Refer to rates and charges) and the enticing cashback of 2% across all categories make it an excellent option for business owners who invest up to $50,000 per year.
But, as the cash back rewards are restricted to $50,000 in annual expenditure, the Card may not be the right choice for startups or new companies with high annual spending. American Express may not be the same way of being accepted by retailers in the same way as Visa and MasterCard.
- American Express(r) Business Gold Card
The American Express(r) Business Gold Card provides an exclusive and customized approach for businesses to earn 4 points for each dollar on the expense categories with the highest spending during every billing cycle. As time passes, the expenses may change throughout the various phases of business, and the business’s needs change. The American Express(r) Business Gold Card will reward the top two categories with an impressive four points for every dollar on the first $150,000 worth of purchases made from these two categories in the calendar year.
Rewards (r) Points are precious and well-respected and provide outstanding value when booking travel transfers to hotel and airline partners.
Rewards Get four membership Rewards(r) points per $1 spent on the two specific categories in which a company pays the highest amount every month. One point for every dollar earned for purchases that are not related to. The 4-point per dollar earned rate applies to the first $150,000 worth of purchases that combine the two categories eligible every calendar year. These categories include airfare bought directly through airlines, U.S. advertising purchases in selected media (online television and radio,) and Purchases directly from designated U.S. technology providers of software, hardware cloud solution, U.S. gas stations, and assets made at restaurants around the world, and shipping.
A customer who takes maximum advantage of the four points per dollar potential for rewards could earn an astounding 600,000 points when purchasing for those categories by themselves.
Special Offer for New Customers: 70,000 Membership Rewards(r) points upon spending $ 10,000 in eligible purchases in the first three months after the account’s opening.
Yearly Fees: $295 (Terms apply. Refer to rates and charges.)
Benefits and drawbacks: Cardmembers can redeem points to book flights with American Express Travel using Membership Rewards(r). Pay using Points and receive 25% of their effectiveness (up to 250,000 points within one calendar year). Points can transfer to American Express’ airline and hotel transfer partners.
But, the annual $295 fee is a bit high when compared with other credit cards for business, and the points rate of 4 points per dollar spent in two categories is limited to $150,000 per year.
- The Platinum Business Card(r) is a product of American Express
It is renowned for its reputation; the Business Platinum Card(r) comes from American Express (terms apply for terms and conditions, check rates, and charges.) and will cost quite a bit. It also offers an array of advantages that could outweigh the annual Fee if utilized.
Rewards Earn five Membership Rewards(r) points for every dollar when you purchase hotel reservations and flights via American Express Travel, 1.5 points per dollar for eligible purchases made at U.S. construction materials and hardware vendors as well as electronic goods retailers, cloud and software system providers, as well as shipping service providers, as when you purchase $5,000 or more anywhere else with a maximum of $2 million in these purchases in a calendar year. One point for every dollar on all other eligible purchases.
Special Offer for Welcome: 120,000 Membership Rewards(r) points upon spending $15,000.00 on qualified purchases using the Card in the first three months of membership
The annual Fee is $695
Benefits and Drawbacks The Card is loaded with advantages. Cardholders have access to lounges at airports worldwide via Priority Pass after enrollment, American Express Centurion Lounges, and Delta SkyClubs on flights with Delta same-day. Cardholders also get up to $200 worth of annual credits to cover incidental airline costs for an airline that you choose to join each year and for TSA PreCheck(TM) and Global Entry reimbursement for application fees, as well as Gold Elite status from Marriott and Hilton when you sign up.
Points can be exchanged for flights on the airline the cardholder prefers, and they’ll get an interest rate of 35% of up to one million bonus points each calendar year. Furthermore, you can transfer points in exchange for American Express’ airline and hotel transfer partners.
The annual Fee for this Card is relatively high compared to similar cards, and the welcome bonus demands the use of a high spending threshold. Earning rewards isn’t a requirement for everyday spending on this Card.
- Brex 30 Card
What is it that makes the Brex Card unique? What makes Brex Card unique amongst other small-sized business credit cards is that the cardholder does not have to guarantee the loan by the Card personally. Box determines creditworthiness based on an assessment of the company’s liquid capital and an evaluation of the company’s investors and overall spending.
Box Card Brex Card is a viable option for businesses that are capitalized but don’t have a long credit history. The Card permits small and new companies to establish credit for business as Brex partners with Dun & Bradstreet and Experian to provide timely payments.
Rewards Brex Card: Brex Card has many rewards choices you can select as a cardholder. However, the standard option grants 1 point per dollar on everyday purchases. It also gives bonus rewards in several categories. The bonus categories include 7 points for every dollar spent on rideshares (Lyft, Uber, etc.) and 4 points for every dollar spent on travel booked via Brex, $3 points per $1 for restaurant meals, and two points for every dollar for ongoing software subscriptions. Cardholders can also pay the bill daily to earn more reward points.
Cardholders can earn rewards to the highest value when they transfer points over to any of their airlines that are transfer partners. Partner airlines cover the three major alliances of airlines, including Singapore Airlines, Air France, Qantas, Cathay Pacific, and many more.
annual Fee: $0
Benefits and drawbacks: This Brex Card doesn’t require a personal guarantee, and no security deposit or personal credit checks are needed to use it. It allows companies access to more significant credit limits than conventional small business cards.
Cardholders also have access to various useful tools and memberships relevant to small-scale businesses (Salesforce, Zendesk, WeWork, Google Adwords, AWS, etc.). Furthermore, the Card was created to facilitate expense reconciliation by integrating with Quickbooks Expensify, Quickbooks, Xero, and more.
The most significant disadvantage is that businesses must have between $50,000 and $100,000 in liquid capital before applying for the Brex Card. The Brex Card is a charge card instead of a credit card, which means that the balance is due in the total amount and on time every billing cycle.
What Is The Best Way To Choose A Credit Card For Business?
It’s easy to get overwhelmed by the number of cards available that allow you to earn points for business purchases. There are a lot of reward credit cards on the market; however, some are more beneficial than others.
These suggestions can aid you in choosing the right Card to meet your requirements and goals.
- Choose the kind of rewards you wish to earn. Some credit cards allow you to earn cash back; others let you accrue transferable points that could be worth more than the standard cashback reward card. Remember the amount you could earn from your points by using various ways to redeem them.
- Check out the categories of credit card bonuses. What types of purchases do you intend to make using this credit card? It’s vital to ensure that you are maximizing any rewards your credit card offers, for example, advertising, food, office supplies, or travel.
- Compare charges, such as annual fees, so you can be sure that you get enough rewards from the Card to pay for the expense of it.
- Have a look at the other perks that cardholders could benefit from. Some examples include the free employee card for your company account, protection for purchases against theft or damage, extended warranties, and insurance for travel security like baggage delay insurance. Some advantages are ease of travel, including access to airport lounges, as well as elite status.