The best small business credit cards offer a variety of benefits tailored to the needs of your business. But, while there are various types of cards, keep in mind there’s no single best option for all small business.
So, to pick the right one for your small business, it’s important to understand how the best small business credit cards can help your business and what features and qualities to look for.
Small business credit cards can help business owners in five ways:
- Provide ongoing capital: Small business credit cards offer a revolving credit line, and you can draw on that line of credit over and over again as you pay it off. They’re also typically easier to get than a general business line of credit.
- Allow you to float payments: A credit card statement lasts roughly 30 days and small business credit cards typically give more than 20 days after that to make your payment without charging interest. This means you could make a needed purchase and have up to 50 or more days to pay for it.
- Help you build business credit: If you want to expand your small business down the road, you’ll likely need to take on more capital. That would be hard, however, if your business doesn’t have a credit history. Small business credit cards can help you build that history.
- Offer rewards and other perks: If your business spends a significant amount of money, you could be leaving cash on the table if you’re not using a rewards credit card. Also, some small business credit cards offer other perks, such as expense management tools.
- Provide promotional financing: Some business credit cards offer a 0% introductory APR promotion to new cardholders, which can allow you to make a large purchase and pay it off interest-free over the course of a year or more.
As you compare the best small business credit cards, consider three things:
- Your personal credit score: All small business credit card issuers will run a credit inquiry on your personal credit report before approving your application. Most of the best cards out there are looking for good to excellent credit. But there are some available for bad and fair credit.
- Your business’ spending: Since many of the best small business credit cards offer business-related rewards, it’s important to pick the rewards program that fits your expense categories the best.
- Your preferences: Small business credit cards come in all shapes and sizes. You’ll find ones with and without annual fees, some with cash-back rewards and others with travel rewards. Some offer 0% APR promotions and others don’t. Before you apply for a card, it’s important for you to understand the needs of your business to know exactly what to look for in the best small business credit card.
Editorial Note: This content is not provided or commissioned by the credit card issuer. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through a credit card issuer partnership.
This article was last updated April 25, 2019 but some terms and conditions may have changed or are no longer available. For the most accurate and up to date information please consult the terms and conditions found on the issuer website.