Compare the Best Business Credit Cards

#

What is a Business Credit Card?

A business credit card, like a personal card, is a line of revolving credit that comes with an annual interest rate on outstanding balances. These come in all shapes and sizes too, with various features and the possibility to earn rewards for spending.

Unlike a personal card, however, a business card is designed specifically for business owners and their employees. This means the eligibility requirements, application process, features, credit limits, and the even rewards are laid out a little differently.

How Do Business Credit Cards Work?

Business credit cards work like personal cards, with a few key differences – namely, how they use and affect credit. When consumers apply for a business card, they do so for several reasons, including to:

• Keep personal and company finances separate
• Track business expenses
• Access more spending power
• Take advantage of business-centric perks not available with personal cards
• Establish and build up business credit

Activity on most business credit cards gets reported to commercial credit bureaus instead of, or in addition to, consumer credit bureaus. This allows you to establish a credit score for your business, which may be used to obtain financial products, determine vendor terms, and qualify for a business loan.

Whether or not you already have business credit is also an important factor in the application process for one of these cards. This is where the difference between cards for corporations and cards for small businesses come into play.

Corporate vs Small Business Credit Cards

A corporate credit card – sometimes referred to as a commercial card – is meant for larger companies that already have an established credit history and revenue stream. This allows issuers to rely on the corporation’s credit score to determine creditworthiness. Meanwhile, credit cards for small businesses often rely on the owner’s personal credit score – particularly if no business score is available.

This distinction is important, because it determines who is responsible for debt repayment in the event that the account goes into default. On a corporate card, the company assumes responsibility, which means only the business score takes a hit.

Alternately, small business cards require business owners to sign a personal guarantee they will repay any debt. This means that in the face of bankruptcy or delinquency, the owner’s personal credit score can be affected.

Note: Though delinquencies on a business card may affect a consumer credit score, positive credit behavior generally does not. This depends on whether the issuer reports such activity to both consumer and commercial credit bureaus.

How to Get a Business Credit Card

The basic components of getting a business credit card mirror those of personal cards (i.e. submitting an application and undergoing a credit check). However, who can qualify and the requirements to apply differ between these processes. Not just anyone can receive this type of credit card – specifically, you need to own some type of business and be prepared to provide proof when you apply.

However, you aren’t limited to businesses in the traditional sense. You can also qualify as a sole proprietor, if you fall into categories like:

• Independent contractor/freelancer
• Online seller
• Consultant
• Tutor

What Are the Requirements for a Business Credit Card?

Whether you qualify as a corporation, partnership, LLC, or sole proprietor will determine the information you need to provide on the application. As a formal business, you would use a federal tax ID number or Employer Identification Number (EIN).

Meanwhile, you would provide your own Social Security Number as a sole proprietor. The issuer will also require information about the business. This includes but is not limited to the business’s:

• Name (which could be just your name)
• Structure and number of employees
• Industry
• Annual revenue and expenses
• Address and phone number

Standout Features of the Best Business Credit Cards

In addition to low APRs and fees, there are plenty of perks unique to business credit cards that you’ll want to look out for. One common feature are the business-centric bonus categories on everything from travel and office supplies to advertising and internet access. You’ll also want to look out for benefits like free employee cards and finance management tools.

To learn more about the basics of business cards, check out our full-length guide for this card category. Meanwhile, you can find some of the top business credit card options below.

Best Business Credit Cards for Travel

Companies that frequently rely on travel to conduct business can earn major rewards and discounts with the right business travel card. This is particularly true for those who tend to travel with the same airlines, as airline-branded cards offer even more perks for customer loyalty.

Yet even non-cobranded cards like the Capital One® Spark® Miles for Business can amass miles pretty quickly. This card is well known for its massive signup bonus opportunities – sometimes offering up to 200,000 miles in the first few months for those who meet the spending requirements. Plus, all eligible purchases earn a minimum of 2X miles, with even more for travel booked through Capital One Travel.

For businesses that frequently fly, the AAdvantage® Aviator® Business Mastercard® is another excellent option.

Best Cash Back Business Credit Cards

Cash back credit cards for business can vary widely, giving you plenty of room to find one with categories that fit your expenses. For example, you might elect to save more on the essentials, like computer hardware, software and other office supplies. If your business has more particular spending habits, you can find cards that offer cash back on:

• Advertising
• Shipping
• Cable
• Amazon purchases

The U.S. Bank Business Cash Rewards Elite Mastercard, for instance, earns cash back at office supply stores, gas stations, and with cell phone providers. For an extra boost, you can earn a hefty cash back bonus as a new cardholder, as well as up to $250 every year on your account anniversary.

Best Credit Cards for Startups

If your business is still in the startup phase, it may be worthwhile to apply for a card that offers a nice signup bonus. The upfront costs you pay to launch your business can help you knock out any spending requirement to activate those extra rewards.

The Ink Business Cash Credit Card from Chase easily comes to mind as a solid option for brand new businesses. On top of bonus rewards for office supplies, gas, dining, internet, cable and phone services, you also get a $500 credit when you spend a certain amount. Plus, the long 0% intro APR can help shoulder your startup costs interest-free while you grow your revenue.

Small Business Credit Cards for Bad Credit

Since your business credit card may be tied to your personal credit, it can be difficult to get approved with a poor score. In that case, you might consider starting with a secured business credit card instead. With the right offer, you won’t even notice that your account is secured by a deposit.

For example, the Wells Fargo Business Secured Credit Card can help you build business credit with a security deposit as low as $500 or as high as $25,000. Plus, you’ll get access to rewards, up to 10 free employee cards, and online management tools.

Business Credit Card FAQs

Here are some of the most frequently asked questions concerning business cards:

How do you apply for a business card?

• You must meet specific criteria to qualify for a business credit card:
  • You must operate a for-profit enterprise – even if you haven’t made a profit yet
  • If you receive a 1099 tax form from your employer, you qualify as an independent contractor
  • You must state your current business income and any anticipated growth

Can you get a business credit card with bad credit?

• Yes. While there are no unsecured credit cards for businesses with bad credit, there are secured cards for small businesses. These secured cards require a deposit but offer many of the perks of other top business cards.  Unfortunately, the deposit may be a hindrance to many potential applicants.

What credit score do you need to get a small business credit card?

• Most card issuers require a business to have a good credit score. A good credit score range is anything about 680 on your FICO Score. If your company doesn’t have a credit history or has poor credit, however, considering using your own credit score to improve the chances of getting a business card.

Do you need an EIN to get a business credit card?

• An EIN is also known as an Employer Identification Number or a tax ID. While you don’t need an EIN to apply for a business credit card, you can use this number. To apply using this tax ID number, you will need to contact specialty business credit bureaus to establish a file. Once established, you can sue the EIN to apply for credit in most cases.

Do business cards offer larger lines of credit than personal credit cards?

• Yes. Most business cards offer significant credit lines to help companies finance significant purchases and improve cash flow. Business card lines of credit can be more than $50,000, with big signup bonuses. Some cash back cards, for example, offer over $50,000 per calendar year in value, but with huge spending requirements – sometimes requiring spending $15,000 within 90 days.

Are there any charge cards for businesses?

• Yes. American Express offers a business version of both the Platinum Card and the Gold Card. The Business Platinum Card from American Express acts just like any other charge card. This means businesses can spend beyond your credit limit, helping to increase cash flow. Like other charge cards, account holders must pay the balance in full each month.

What are some of the critical things to look for in a business card?

• Rewards are one of the most important things to consider when looking for good business cards. These rewards can be broken down into the following subsections:
  • • Signup Bonuses: Many cards today provide impressive signup bonuses worth thousands of dollars. Travel business cards, in particular, can be very generous with their introductory bonuses.
    • Rewards Programs: Travel rewards business cards involve a rewards or loyalty program that earns points or miles with qualifying purchases. For general travel cards, purchases in select categories – like flights or restaurants – accumulate points at a multiplied rate. Co-branded cards through airlines and hotels will also provide additional points on specific groups, as well as when you make purchases directly with these brands.
    • Cash Back: Cashback is the other significant rewards setup found in business cards. Like travel cards, select categories – think office supply stores and telecommunications services – can earn you cash back at an accelerated rate.
• Some of the other factors you should examine when selecting a business card include:
  • Additional Employee Cards:Business credit cards offer an efficient way to keep track of company spending, and if you have employees who regularly make company expenses, look for a credit card that allows you to issue additional cards for your staff. Other cards issued at no extra cost is a popular perk, so you’ll find it in multiple offers.
  • 0% Intro APR: Another popular feature in business cards is introductory 0% APR periods. You may have plenty of use for your card, be it for multiple small purchases or one big-ticket expense, so paying off a balance over time with no interest charges to worry about is a welcome incentive. These promotional periods range from six months to over 12, so plan your shopping accordingly to maximize your interest-free grace period.
  • Business Management Software Tools: Issuers can make it easy to keep track of your money’s movements thanks to resources like the integration between your account statement and accounting software, custom expense reports, and irregular activity alerts.

Business Credit Cards That Offer the Same Features

Some banks and financial institutions offer the same credit card products as other lenders. This scenario is usually the case when a bank is part of a larger holding company (in the case of Vectra, Zions, and California Bank & Trust, for instance, or when a bank uses a third party to handle their credit card products.

Here are some examples of credit cards that offer the same services, rewards, interest rates, etc.:

Elan Financial Services

The Real Rewards, Rewards PLUS, and Business Cash Rewards programs are all part of business cards that are issued through Elan. Elan is one of the largest issuers of credit cards in the United States, working with over 140 banks across the country.

Some cards that offer these rewards include:

Real Rewards

• Bank of Missouri Visa® Business Real Rewards Card
• BOK Financial Visa® Business Real Rewards Card
• Liberty Bank Visa® Business Real Rewards Card
• Park National Bank Visa Business Real Rewards Card
• Sterling National Bank Visa® Business Real Rewards Card

Rewards PLUS

• Bank of Missouri Visa® Business Rewards PLUS Card
• BOK Financial Visa® Business Rewards Plus Card
• Liberty Bank Visa® Business Rewards PLUS Card
• Park National Bank Visa Business Rewards PLUS Card
• Sterling National Bank Visa® Business Rewards PLUS Card

Business Cash Rewards

• Liberty Bank Visa® Business Cash Card
• Park National Bank Visa Business Cash Card
• Sterling National Bank Visa Business Cash Card
• BOK Financial Visa® Business Cash Card
• Bank of Missouri Visa® Business Cash Card
• Ink Business Cash Credit Card

Zions Bancorp

Zions Bancorp is another issuer that provides several of the same cards across the country. The Zions Bancorp holding company owns and operates several banks across the western United States, including Zions Bank, National Bank of Arizona, Vectra Bank, California Bank & Trust, Amegy Bank, and more.

Some of the cards that Zions issues include:

AmaZing Rewards

• California Bank & Trust AmaZing Rewards for Business Visa® Card
• National Bank of Arizona AmaZing Rewards® for Business Card
• Vectra Bank AmaZing Rewards for Business Credit Card
• Zions Bank AmaZing Rewards for Business Credit Card

AmaZing Cash

• California Bank & Trust AmaZing Cash for Business Visa® Card
• National Bank of Arizona AmaZing Cash® for Business Card
• Vectra Bank AmaZing Cash for Business Credit Card

AmaZing Rate

• California Bank & Trust AmaZing Rate for Business Visa® Card
• National Bank of Arizona AmaZing Rate® for Business Card
• Vectra Bank AmaZing Rate for Business Credit Card
• Zions Bank AmaZing Rate for Business Credit Card

Common Features of Some Business Cards

Other business cards have basic features that unite them. One of the most common of these features is the “Platinum Card.” A platinum business card is one that offers the lowest rates, but very little else. There are hundreds of these offers on the market today, with a few examples being:

• Sterling National Bank Visa® Business Platinum Card
• S. Bank Business Platinum Card
• Wells Fargo Business Platinum Credit Card
• Citizens Bank Business Platinum Mastercard®
• Clearview Business Platinum Mastercard®
• BMO Harris Bank Business Platinum Mastercard® Credit Card

Business Secured

While less common, there are some banks that offer a secured option for small businesses. Secured business cards have a much higher deposit requirement than a personal card but can help new companies establish a credit score with regular payments. They can also provide the cashflow that companies with limited credit need.

Examples of some secured business cards include:

• Wells Fargo Business Secured Credit Card
• BBVA Secured Visa® Business Credit Card
• Union Bank Business Secured Visa® Credit Card

How to Choose the Right Credit Card for Your Business

When you apply for a new credit card, the card issuer takes a variety of factors into consideration before approval. These factors can range from things like credit score, payment history, and the number of delinquencies on your credit report, to income, credit age, and the number of hard inquiries that appear on your credit reports.

From new business cards to recurring favorites, there are dozens of offers to sift through. We make sure to offer unbiased reviews so you can make the right decision for your budding business. If you need a little more guidance, check out our news and resources for additional credit card insights. Search for the best business credit card to grow your company today!