Small businesses often require a substantial line of credit early on to survive the start-up stage. In a perfect world, everyone would have the cash to fund their start-up but it’s not always that easy. These days, finding a bank that can lend to small businesses is extremely difficult, so one of the alternatives is to fund a business is by selecting a small business credit card.
Small business credit cards have been around for a while, but some of the most well known lenders like Advanta were causalities of the economic recession. This is a list of the best small business credit cards you can find online today. Along with each card, the list includes a summary of the advantages of its use for a small business.
Editor’s choice
Ink Cash? Business. My pick for the best small business credit card is the Ink Cash? Business from Chase. New card members will earn $250 cash back after spending $5,000 in the first three months of card ownership, that’s 25,000 bonus points. Cardholders earn 5% cash back on the first $25,000 spent annually on office supply store purchases, cellular/landline phone service, cable services, (non bundled internet services receive 1% cash back). Earn 2% cash back on gas and dining (for the first $25,000 annually) and 1% cash back on everything else.
In addition to the great cash back offer, the card comes with other perks. The Ink Cash? Business has a 0% introductory APR on balance transfers and purchases for six months. Owning the Ink Cash? Business card costs nothing, as the card carries no annual fee. Finally, adding additional cardholders is a snap because again, Chase charges no fee. In terms of rewards, introductory offer and overall quality, the Ink Cash? Business is an all-around solid offer.
Ink? Classic Business – Up to 25,000 Bonus Points. The point rewards version of the Ink line, the Ink? Classic Business – Up to 25,000 Bonus Points card is designed for small business owners who have excellent credit. Holders earn one reward point on all purchases, two reward points on the first $25,000 spent annually on fuel and lodging* and 5X reward points on the first $25,000 spent annually on office supply store purchases, cellular/landline phone service, and cable services.* The Ink? Classic Business – Up to 25,000 Bonus Points carries no annual fee, has a 0% introductory APR on purchases and balance transfers for six months, and allows for additional cardholders at no cost. This card currently offers 25,000 bonus points after you spend $5,000 in the first three months* that’s $250 redeemable towards travel, gift cards, experiences and more.
Ink Bold? with Ultimate Rewards. The only charge card to make this list of best small business cards, the Ink? Bold with Ultimate Rewards is the card for the ultimate business owner. Cardholders can earn 50,000 bonus points when they spend $5,000 in the first three months of card ownership. That’s $500 in rewards, or $625 towards airfare when you redeem online through their Ultimate Rewards booking tool. You’ll earn 5X points per dollar on the first $50,000 spent annually on eligible business purchases. The $95 annual fee is waived for the first year.
True Earnings® Business Card from Costco and American Express. A rival to the Ink Cash? Business Card, the True Earnings® Business Card from Costco and American Express has a tiered cash back system worthy of ranking at the top. Cash back rates of 4% on gasoline purchases ($6,000 spend limit), 2% on travel and restaurants and 1% on everything else (including gas when you’ve reached your spending limit) offer cardholders the opportunity to grow their business and earn a little back. If you use this card to pay your Costco membership each year, there is no annual fee. This card comes with a 0% introductory APR offer on purchases for six months.
SimplyCash® Business Card from American Express OPEN. The SimplyCash® Business Card from American Express OPEN is a fantastic small business credit card. This card opens by offering a 0% intro APR on purchases for up to 12 months depending on the applicants credit history and in terms of cash back, this offer is one of the best. Cardholders receive 5% cash back on office supply and wireless purchases, 3% cash back on all automobile gasoline purchases and 1% cash back on everything else. Cashback is automatically credited every month and there is no annual fee to own the SimplyCash® Business Card from American Express OPEN.
The Plum Card® from American Express OPEN. The rules on how to maximize rewards on the the Plum Card® from American Express OPEN are simple. Since this is a charge card, you must pay your bill off in full each statement and if you do that within 10-days of the statement date, you’ll receive a 1.5% discount on all purchases. This effectively means that should you always pay on time. This card includes a number of perks, but also has a $185 annual fee. Luckily for small business owners, that fee is waived during the first year.
Starwood Preferred Guest® Business Credit Card from American Express OPEN. American Express is at it again, offering the Starwood Preferred Guest® Business Credit Card from American Express OPEN for small business owners who frequently find themselves in hotels. You can earn 25,000 bonus Starpoints after your first purchase and spend $15,000 during the first six months of owning the card. Four Starpoints are earned for every dollar spent on all Starwood Hotel & resort stays and 1 Starpoint is earned for every dollar spent on all other purchases. The annual free of $65 is waived for the first year. The Starwood Preferred Guest® Business Credit Card from American Express OPEN has a modest purchase APR of 15.24% after an introductory APR of 2.9% for the first six months.
Disclaimer: This content is not provided or commissioned by American Express. Opinions expressed here are authors alone, not those of American Express, and have not been reviewed, approved or otherwise endorsed by American Express. This site may be compensated through American Express Affiliate Program.
Updated February 3, 2012 and originally published December 9, 2010. If you enjoyed this article, subscribe to the RSS feed or receive daily emails. Follow @flexo on Twitter and visit our Facebook page for more updates.
Rank: Platinum
{ 4 comments… read them below or add one }
Thanks for sharing this information. It is very important to do your homework when deciding on which credit card to use. The information in this post is great for side-by-side comparison of cards and rates.
Looking into the Chase Ink with Ultimate Rewards. Would love a card that gives me travel perks :)
We currently use Ink Cash Business for our company & have for a while. We use it for a lot for business & sometimes have somewhat high balances, but have for years. About 3-4 years ago, our interest rate was around 12%. Now it is 25.99%. I just got off the phone with them trying to find out why. I was told “the high cost of lending money”, “the cost of the cards”, and a few others. We will be switching to a credit union. Be careful if you have monthly balances.
One awesome thing is that interest rates are sooooo low. Even though some credit companies are freaking out about having so much disclosure on their interest policies and pricing, it still ends up being advantageous to many small business owners. And when it comes down to it, that is who keeps our economy rolling.
Yay small business owners!