Small business credit cards are identical to personal credit cards which allow businesses to borrow money in exchange for interest payments or annual fees to spend on goods and services. Credit cards usually have a credit limit that forbids owners in a financial year from spending more than a certain amount.
Small business credit cards are increasingly common business financing options, especially for entrepreneurs who do not qualify for typical business loans and do not have access to deep-pocketed relatives, friends, and colleagues networks. If your business does, a credit card is likely to help as long as you carefully use credit and avoid making transactions that your business can not afford.
Small business credit cards generally have higher spending limits than retail cards and more flexible rewards programs. Some have additional advantages, such as low APRs, attractive balancing offers, customized concierge service, and rewards on the fringe. Many also come with annual fees, however, which require to apply for good or excellent credit.
Best 3 Small Business Credit Cards
1. Chase Ink Business Unlimited
Chase Ink Business Unlimited is an annual fee business credit card that echoes Chase Freedom Unlimited, a consumer credit card that also earns an unlimited 1.5% cash back. Ink Business Unlimited accumulates cash back by Ultimate Rewards points that can be exchanged for cash, gift cards, travel purchases, and general merchandise.
2. Chase Ink Business Cash
Chase Ink Business Cash is a popular business credit card with a great system of cash back rewards, a good sign-up bonus and a fair APR. You will receive $500 bonus cash back if you spend at least $3,000 within 3 months of opening your account. From day one, you receive up to $25,000 per year in cash back for office supply and communications expenses (including internet, TV, mobile phone and cell phone services). You will receive 2% cash back on purchases at petrol stations and restaurants, up to $25,000 a year. You receive an additional 1% cash back on these spending categories upon meeting the $25,000 limit. All other expenses will receive an additional 1% cash back.
3. Chase Ink Business Preferred
Chase Ink Business Preferred is the business card of Chase’s flagship. Although it has an annual fee of $95 that is not accepted in the first year, you get what you’re paying for: a generous rewards program that supports travel and daily business expenses, an advantageous point transfer feature that allows you to swap your Chase Ultimate Rewards points to the loyalty currency of other companies at a 1-to-1 ratio and (maybe best of all) a huge sign-up bonus of up to $1,000 in fee travel.
You get 80,000 Ultimate Rewards Points bonus if you spend at least $5,000 within 3 months of opening your account. That’s worth $800 when redeemed for money, and $1,000 when exchanged for travel. It’s hard to resist if you’re travelling a lot for business.