What’s more, the card issuer will match all the cash back you earn during your first year. While that’s not a traditional welcome bonus, there’s no limit to how much you can earn, making it an excellent option for big spenders. A great option for those with less-than-stellar credit, this card offers a gateway to building better credit while earning a respectable 1.5% cash back rewards rate. You may also gain a higher credit line in as little as 6 months from account opening.
Better, your miles are incredibly flexible; redeem for travel related purchases or transfer them to one of Capital One’s 15+ travel partner programs. Business owners can enjoy a generous sign-up bonus alongside one of the highest flat-rate cash back rewards rates in its class with this card, although you’ll need to align your spending to justify the $150 annual fee. Here’s a look at some of the best alternatives to business credit cards. While personal credit scores range from 300 to 850, business credit scores can range between one and 100 depending on the business credit bureau. Factors that can impact your business credit score include how long you’ve been in business, assets, past payment history, credit usage, and industry risk. Cardholders can choose where they can earn the most cash back in select categories for their spending, which is a rarity in business rewards cards.
Cobranded Cards
When applying for a business credit card, issuers may consider your personal credit score if you don’t have a business credit report yet. As such, business owners with low personal credit scores may have difficulty being approved for a business credit card what is business credit cards with favorable terms. Also keep in mind that some business credit cards are actually charge cards, meaning they don’t offer the option to finance purchases over time. Charge cards require the balance to be paid in full at the end of every billing cycle.
In fact, business-specific bonus categories are one of the main ways that business credit cards differ from personal credit cards. More and more business credit cards offer tiered bonuses based on your business spending in the first three to six months. In the past, I focused on the value you’d get by meeting only the lowest spending requirement, but many business credit cards require higher tiers of spending. That said, given the ability of businesses to put large expenses on credit cards, I’m now including the maximum number of bonus points you can earn — assuming your business meets all the spending requirements.
Best for Long Business Trips
We weighed several different factors, like annual fees, other fees (including cash advance fees and foreign transaction fees), promotional and ongoing APR, reward offerings and rates, and welcome bonus offers. By comparing these factors, we scored and ranked the best business credit cards. For the business traveler, these cards offer a slew of high-end perks from airport lounge access to upgrades. In terms of accounting, it’s advantageous to have these expenses under one business credit card account. By strategically using business credit cards, business owners can earn rewards, get interest-free financing, build credit and more. You can choose among the numerous types of credit cards to find one that matches your goals and budget.
The idea is to give business owners a separate payment method from the credit cards they use for personal expenses. This simplifies things when looking for transactions that can be written off for tax purposes. If your business is set up as an LLC, you enjoy certain legal protections when it comes to personal liability. However, you’ll still need to make a personal guarantee when you apply for a small business credit card and undergo a personal credit check. Be aware that with nearly all small business cards, just like with a personal credit card, you are personally liable for any debts accrued to the card. In other words, if your business fails, you’re still responsible for any debt left on the card.