Best Business Cards
If you're a corporate executive or a business owner, the cards that we cover below will offer you outstanding rewards that can help you save money and cut down on expenses. There is also a lot of overlap here between the rewards you can earn via a regular business credit card and those you can receive through cards that provide general rewards, hotel and travel rewards, or even airline miles. This list also includes prepaid cards that cater to businesses. Compare the different cards in this category below.
Starwood Preferred Guest® Business Credit Card from American Express OPEN
| Intro APR | Intro Period | Regular APR |
| None | N/A | 15.24% - 19.24% Variable |
| Annual Fee | Balance Transfers | Credit Needed |
| $0 introductory annual fee for the first year, then $65 | Yes | Excellent |
Business Green Rewards Card from American Express OPEN
| Intro APR | Intro Period | Regular APR |
| None | N/A | N/A [You must pay your balance in full each month] |
| Annual Fee | Balance Transfers | Credit Needed |
| $0 introductory annual fee for the first year, then $95 | N/A | Excellent |
The Business Gold Rewards Card® from American Express OPEN
| Intro APR | Intro Period | Regular APR |
| None | N/A | N/A [You must pay your balance in full each month] |
| Annual Fee | Balance Transfers | Credit Needed |
| $0 introductory annual fee for the first year, then $175 | N/A | Excellent |
Why Get A Business Credit or Debit Card?
Having a credit or debit card to help separate and manage your business expenses is a must in many cases. Business cards can also offer an easy way to track employee spending and limits, as well as provide another way to help finance your business. But does all that convenience come at a price? Not necessarily.
If used wisely, business credit cards are a valuable asset to any business, no matter if you are the only employee or if you employ thousands of people. In many cases, such cards offer a multitude of rewards including air miles, hotel rewards points or other loyalty program points which allow you the opportunity to stretch each business dollar even further than before. Of course, there is a downside when talking about using credit in your business. Depending on how your business is structured, you may become personally liable for all expenses charged on those cards if the business can’t pay them. This can be personally devastating financially. Before applying for a business card, take into account some of the following tips:
- Business credit cards require good credit. In almost every case, you (or your business) needs to have good credit or you won’t qualify. This is because credit card companies want you to spend and use their cards, and they can’t take the chance if you are a credit risk.
- Personal liability can be imposed with a business credit card. You can face personal liability even if you own a business and use a business credit card. In the early years of owning a business card, your personal and business finances are mingled. If you are able to cultivate a good relationship with your issuer over time, then the personal liability condition may be lifted.
- Business organization also matters. If you have a small business or are a contractor, odds are that your business is structured simply (such as in a sole proprietorship or partnership), which puts you and/or any partners you may have, on the hook for charges if the business can’t make the payments. Not only could this jeopardize your current finances, but it has the potential to devastate your personal credit, making it almost impossible for you to get any kind of credit in the future for quite some time. The good news is that this can be mitigated by simply using another business structure like an LLC or S corp, though there may be tax implications.
But, if you are ready to jump in, there are tons of products out there for the taking. As always, comparison shopping is a must when deciding which product will work the best for your unique business situation. There are general business cards that you can sign up for, but if travel is your thing, you might decide to pick up an air miles or hotel rewards business card instead. If you’re a business person about town, getting a business gas card that will give you cash off of fill ups at the pump is a must. If you like building up loyalty points and then redeeming them for gift cards, gadgets or other items, then you can opt for a card that shares these benefits. Or you could just settle for getting a percentage of your monthly spend back as a cash rebate. The choice is yours.
{ 2 comments… read them below or add one }
I read somewhere that business cards are presenting with better rewards now than they did before. Have you noticed that to be the case? Also, how important is it for your business to have a long term track record? Are you required to be in business for a long time before you are accepted as a customer of these cards? This is a great list, thanks!
@Susan,
Actually, your business track record will have some kind of bearing upon your eligibility as a customer. Card companies are certainly going to look at the big picture when assessing your qualifications as a customer for a particular card. It’s akin to the evaluation you receive when issuers check your credit history (track record) for personal cards. The healthier your business appears to be, the better the terms you are usually given. If your business has been around for a couple of years or more, you’re likely to get more attractive terms.
There are some things you will want to be aware of though — the CARD Act is known to have only covered personal cards and it appears that these regulations only apply to consumers (at least, at this time). That is, business cards may still be subject to higher costs and penalties that you may not see in the consumer card realm. For instance, be careful with using business cards as your rates may skyrocket at any time due to any violation (like a missed payment or late payment, etc).
Also, be aware of what could happen in case your business fails — is it possible for an individual to be liable for their business card debt? There is such a thing as “Individual and Company Liability” which may be part of a card’s terms of use — so do check this out carefully before signing up. If you are found liable and are unable to pay off your business card, it may hit your consumer credit record.
Be aware that issuers may give you a pass or may let you off the hook (with regards to your short term debt) if you have outstanding credit. Issuers make these decisions on a case by case basis and there’s always a possibility that they will want to continue keeping you as a customer. Check if your card issuer honors any form of liability clause.