Are you a startup entrepreneur looking to take your business to the next level? Access to a reliable credit card can be essential for a small business, giving you financial freedom and flexibility when making important decisions. With so many options on the market, choosing one that best fits your needs may seem daunting – but don’t worry!
We have compiled a list of some of the best business credit cards for startups so you can confidently make an informed decision. Keep reading to learn more about what each card offers and which ones are right for you.
Why should I consider a business credit card?
Business credit cards offer several advantages to entrepreneurs, including:
- Access to trusted cash back and other rewards programs that can help you save money in the long run
- A range of competitive interest rates and flexible repayment options depending on your company's needs
- The ability to separate business expenses from personal ones, making it easier for you to manage your finances
- The potential to establish a credit history for your business which can be useful in the future if you are looking to secure loans or other financing.
When selecting a business credit card, it is important to consider factors such as
- The card's rewards program and any associated value that it provides
- Interest rates and other fees associated with the card
- Minimum spending requirements or other eligibility criteria
- Additional benefits such as free travel insurance or extended warranties.
It is also a good idea to compare multiple cards before deciding so that you can find one that best suits your needs.
Best Credit Cards For Startups And New Businesses
American Express Business Cash Card
This card offers a generous 2% cash back on all eligible purchases, with no annual fee and 0% intro APR on first-time purchases 12 months. The card also offers a range of additional perks, such as flexible payment options and no foreign transaction fees for international purchases.
Pros
- Generous 2% cash back rewards
- 0% intro APR on first-time purchases 12 months
- No foreign transaction fees
- Flexible payment options
Cons
- Cashback is capped at $50,000 annual spend
Capital One Spark Cash Select for Business Credit Card
This card offers a generous 1.5% cash back on all purchases, with no annual fee and 0% introductory APR for the first 9 months. The card also provides additional benefits, such as flexible payment options and no foreign transaction fees for international purchases.
Pros
- Generous 1.5% cash back rewards
- 0% intro APR on first-time purchases 9 months
- No foreign transaction fees
- Flexible payment options
Cons
- Cashback is capped at $50,000 annual spend
Chase Ink Business Unlimited Credit Card
This card offers a generous 1.5% cash back on all purchases with no limit or annual fee. The card also provides additional benefits, such as flexible payment options and no foreign transaction fees for international purchases.
Pros
- Generous 1.5% cash back rewards with no limit
- No annual fee
- No foreign transaction fees
- Flexible payment options
Cons
- 0% intro APR on first-time purchases 9 months
- Cashback does not apply to balance transfers or cash advances.
CitiBusiness AAdvantage Platinum Select World Mastercard
This card offers a generous 2 miles per dollar spent on eligible American Airlines purchases, with no annual fee and 0% introductory APR for the first 12 months. The card also provides additional benefits such as priority boarding, free checked bags, and 25% savings on in-flight purchases.
Pros
- Generous 2 miles per dollar spent on eligible American Airlines purchases
- 0% intro APR on first-time purchases 12 months
- Priority boarding and free checked bags
- 25% savings on in-flight purchases
Cons
- Miles earned do not apply to non-American Airlines purchases
- Cashback does not apply to balance transfers or cash advances.
Wells Fargo Business Secured Credit Card
This card offers an opportunity to build business credit with a minimum deposit of $500, with no annual fee and 0% introductory APR for the first 9 months. The card also provides flexible repayment options and additional benefits, such as employee cards, at no extra cost.
Pros
- Opportunity to build business credit with a minimum deposit of $500
- 0% intro APR on first-time purchases 9 months
- Flexible repayment options
- Employee cards at no extra cost
Cons
- Cashback does not apply to balance transfers or cash advances.
US Bank Business Edge Cash Rewards Card
This card offers a generous 3% cash back on eligible gas station and office supply purchases, with no annual fee and 0% introductory APR for the first 12 months. The card also provides additional benefits, such as extended warranty coverage and purchase protection.
Pros
- Generous 3% cash back on eligible gas station and office supply purchases
- 0% intro APR on first-time purchases12 months
- Extended warranty coverage and purchase protection
- Flexible payment options
Cons
- Cashback is capped at $250,000 annual spend.
Bank of America Business Advantage Cash Rewards Credit Card
This card offers a generous 3% cash back on eligible gas station and office supply purchases, with no annual fee and 0% introductory APR for the first 9 months. The card provides additional benefits such as bonus rewards categories and mobile banking accessibility.
Pros
- Generous 3% cash back on eligible gas station and office supply purchases
- 0% intro APR on first-time purchases 9 months
- Bonus rewards categories
- Mobile banking accessibility
Cons
- Cashback is capped at $250,000 annual spend.
Discover it, Business Card
This card offers a generous 5% cash back on select categories that rotate each quarter, with no annual fee and 0% introductory APR for the first 14 months. The card also provides additional benefits such as a 0% intro balance transfer fee and free employee cards.
Pros
- Generous 5% cash back on select categories that rotate each quarter
- 0% intro APR on first-time purchases 14 months
- No annual fee
- 0% intro balance transfer fee
- Free employee cards
Cons
- Cashback is capped at a $1,500 quarterly spend.
No matter which card you choose, it's important to read the fine print and understand all the features available to make an informed decision and find the credit card that best fits your needs. With so many options on the market, you can ensure your business is set up for success with the credit card that best suits your needs.
FAQs
What is the difference between a business and a personal credit card?
A business credit card is specifically tailored to businesses, offering benefits such as rewards for business-related expenses, higher credit limits, and special offers for business owners. Personal credit cards are generally designed to reward consumers for everyday purchases and may include perks such as cashback or travel rewards points.
Are there any hidden fees associated with business credit cards?
Many business credit cards come with additional fees such as balance transfers, foreign transactions, and annual fees. It's important to read the fine print and understand all of the features associated with the card before applying.
What is an introductory APR offer?
An introductory APR offer is a promotional rate on certain credit cards that offers an interest-free period for purchases made during the introductory offer. This can benefit those looking to save money on interest and pay down their balance with no additional cost. However, it's important to ensure you have paid your balance before the end of the promotional period so as not to incur any additional charges or interest.
Conclusion
Choosing the right business credit card is important for any startup entrepreneur. With so many options available, it's important to research and compare features before making a final decision. This article has given insight into what cards are best for startups and how to select one that fits your needs.
