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Choosing the right business credit card with rewards is like hiring a dedicated employee for your venture. Not only does it help manage finances, but it also accumulates rewards with every business purchase, making it an indispensable asset for your company.
What is a Rewards Business Credit Card?
A Rewards Business Credit Card is a specialized type of credit card designed specifically for businesses. When you make transactions using this card, especially eligible ones, you accumulate points or rewards.
Here’s how it generally works: After conducting your business transactions and purchases with the card, you’ll receive your monthly statement. Upon settling the bill for those eligible purchases, the card provider calculates rewards based on the total spent.
These rewards can manifest as cash back, travel miles, or other forms. The amount and type of rewards often depend on the card issuer and the specific program details.
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Notably, for potential applicants, having a creditworthiness rating in the range of fair to excellent will significantly boost the likelihood of approval by business credit card companies.
Types of Credit Card Rewards
You have options to choose from, and there are many different types of credit cards that best suit the type of rewards program for your small business. For example:
Cashback – You get a percentage reward based on the amount of your paid purchases. Standard offers are 1.5 or 2% cash back, but you can do better than that. With $25,000 spent in combined purchases at 2%, you’d earn $500 back.Miles – Your paid purchases count towards airline and other travel expenses, such as rental vehicles.Points – Points can be redeemed a couple of ways. You can use them towards the cost of hotels or airfare. Points can also be redeemable for products and services. Or you can turn points into cash and apply as statement credits.
Beyond reward cards, financial institutions offer a wide range of credit cards, and getting well informed is the best thing you can do before you apply for one. Get the answer to what are business credit cards and why should I get a business credit card so you can make an informed decision.
Why You Should Consider a Rewards Business Credit Card
What are the key business categories where you spend the most money?
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Small business credit cards need to work for your specific business needs. Once you’re matched with the right card, you’ll earn money back on your business purchases. Here’s how:
Statement credit – You can earn $750 or more in three months.Travel – You can use rewards to get reduced fees on air travel and hotels.Many Rewards cards have no annual fees.You can find bonus rewards such as a sign-up bonus or an anniversary bonus.You can find 0% APR for one year and with a good payment history after account opening, a low APR after the account anniversary year.
Our Methodology: How We Chose the Best Business Credit Cards with Rewards
Navigating the array of business credit cards with rewards can be a challenge, especially when determining which one genuinely meets the needs of an entrepreneur or small business owner.
We believe every recommendation should be supported by robust research and understanding. Here’s our methodology:
Rewards Rate and Structure (10/10)
A higher rewards rate ensures better value for your expenses. We assess how many points, miles, or cash back you earn per dollar spent and whether rewards are category-specific or flat-rate.
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Sign-Up Bonus (9/10)
A valuable sign-up bonus can offer immediate value. We evaluate the feasibility of the bonus requirements and its comparative worth.
nnual Fee (8/10)
A high annual fee can diminish the benefits of rewards. We measure the rewards against any associated costs.
Redemption Flexibility (9/10)
It’s crucial how you can use earned rewards. Cards that offer varied and flexible redemption options take precedence.
dditional Perks (7/10)
Extra benefits, from insurance protections to lounge access, can amplify the value of a card.
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Interest Rates and Other Fees (8/10)
We consider the APR and other potential costs that can impact your finances. Favorable interest rates and minimal fees are significant factors.
Every business has distinct needs. While our list is thorough, it’s vital to see how each card aligns with your specific requirements. A top card for one entity might not suit another.
12 Best Business Credit Cards for Travel Rewards
Before our in-depth analysis of each credit card, take a look at this quick comparison table. It offers an at-a-glance view of the key features of the top 12 business credit cards for travel rewards:
Card NameSign-Up BonusAnnual FeeAPR RangeCredit NeededBusiness Platinum Card® from American Express150,000 points$00% – 22.24%GoodInk Business Preferred® Credit Card100,000 points$9515.99% – 20.99%GoodBlue Business® Plus American Express Card$250 credit$013.24% – 19.24%GoodCapital One Spark Miles for Business50,000 miles$9520.00%GoodAmerican Express® Business Gold Card80,000 points$2950% – 22.24%GoodHilton Honors Business Card80,000 points$015.74% – 24.74%ExcellentInk Business Unlimited Credit Card$750 cash back$00% – 19.24%GoodWorld of Hyatt60,000 points$9515.99% – 22.99%GoodSouthwest Rapid Rewards Performance80,000 points$14915.99% – 22.99%GoodDelta SkyMiles Business Gold50,000 miles$9915.74% – 24.74%GoodBank of America Business Advantage Travel Rewards30,000 points$013.99% – 23.99%GoodMarriott Bonvoy Business American Express75,000 points$12515.24% – 24.74%Good
What is the best small business rewards credit card?
Choosing the best rewards card for a small business is subjective and depends on specific needs. However, two standout options from American Express are the Business Platinum and Business Gold.
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Both cards offer enticing features for businesses, such as a 0% APR introductory rate for the first 12 months. Specifically, the Business Platinum stands out with its zero annual fee and a compelling rewards offer of 150,000 points if you spend $15,000 within the initial three months.
The ability to utilize this card without accruing interest is beneficial, especially for businesses looking to manage cash flow efficiently.
Can you get points on a business credit card?
Absolutely, one of the primary features of business rewards credit cards is the ability to earn points on purchases. Depending on the specific card and program, the earning rate can vary. For instance, some cards might offer a flat rate of 1.5 points for every dollar you spend.
However, premium or specialized cards can provide even higher rates, granting up to 7 points per dollar spent on certain categories or merchants.
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These points can then be redeemed for various perks, ranging from travel to merchandise or even cash back, depending on the issuer’s program.
Can you use a business credit card for personal rewards?
The age-old adage goes, “never mix business with pleasure,” and this holds true in the world of finance. If you’re an entrepreneur or a small business owner, it’s crucial to maintain clear financial boundaries.
While business credit cards come with perks and benefits that might be tempting for personal use, it’s advised to reserve them strictly for business-related expenses.
Using personal credit cards for business transactions can complicate your financial records, potentially leading to accounting and tax challenges down the road.
