Best Credit Cards for Small Businesses in 2023: A Comprehensive Guide

Starting and running a small business is a challenging but rewarding endeavor. One of the key elements for success is managing your finances effectively. Credit cards can be a valuable tool for small business owners, providing access to working capital, rewards, and valuable perks. But with so many different credit cards available, it can be overwhelming to determine which one is right for your specific needs.

This comprehensive guide will help you navigate the world of small business credit cards and find the best card for your business. We will explore the different types of cards available, key features to consider, and provide recommendations for the top cards in each category.

Types of Small Business Credit Cards

Small business credit cards generally fall into two main categories:

• Business credit cards: These cards are specifically designed for small businesses and often offer benefits tailored to the needs of business owners, such as purchase protection, extended warranties, and travel insurance.
• Personal credit cards with business use: While not specifically marketed as business credit cards, some personal credit cards allow for business use. However, these cards may have limited benefits or features tailored for businesses.

Choosing the right type of card depends on your specific business needs and your creditworthiness. If you are just starting out or have limited credit history, a personal credit card with business use may be a good option. But, if you have a well-established business and need access to more benefits and features, a dedicated business credit card may be the better choice.

Key Features to Consider

When selecting a small business credit card, it is important to consider the following key features:

• Rewards program: Many small business credit cards offer rewards programs, such as cash back, travel points, or airline miles. Consider your spending habits and choose a card that offers rewards that align with your business needs.
• Sign-up bonus: Some cards offer sign-up bonuses, which can provide a significant financial benefit. Be sure to read the terms and conditions of the bonus offer to understand the requirements and limitations.
• Annual fee: Some cards have an annual fee, while others do not. Consider the value of the card’s benefits and features against the annual fee. A card with a high annual fee may be worthwhile if it offers significant rewards or benefits, while a card with no annual fee may be more suitable for businesses with lower spending levels.
• Interest rate: The interest rate is the cost of borrowing money on your credit card. It is important to choose a card with a low interest rate, especially if you plan to carry a balance.
• Credit limit: The credit limit is the maximum amount you can charge to your credit card. A higher credit limit gives you more flexibility, but it is also important to manage your spending responsibly and avoid exceeding your credit limit.
• Perks and benefits: Many small business credit cards offer additional perks and benefits, such as purchase protection, extended warranties, travel insurance, and access to travel and entertainment discounts. Consider the benefits that are most valuable to your business.
• Customer service: It is important to choose a card issuer that offers excellent customer service. This includes prompt responses to inquiries, helpful and knowledgeable representatives, and a transparent and straightforward billing process.

Top Credit Cards for Small Businesses

Here is a list of the top small business credit cards available in 2023, categorized by their key features and benefits.

Best Overall Small Business Credit Card: Chase Ink Business Preferred Credit Card

• Annual Fee: $95
• Sign-up Bonus: Earn 80,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening. That’s $800 toward travel when you redeem through Chase Ultimate Rewards.
• Rewards: Earn 3 points per $1 spent on travel and dining purchases, 1 point per $1 spent on all other purchases.
• Perks and Benefits: Includes travel and purchase protection, car rental insurance, and access to Chase Luxury Hotel & Resort Collection.

The Chase Ink Business Preferred Credit Card is a top choice for small businesses due to its generous rewards program, valuable benefits, and excellent customer service. The card’s high earn rate on travel and dining purchases makes it ideal for businesses that spend heavily in these categories. The sign-up bonus is also very generous, making it a great option for new businesses.

Best Cash Back Credit Card for Small Businesses: Capital One Spark Cash for Business

• Annual Fee: $0
• Sign-up Bonus: Earn a one-time bonus of $500 cash back after you spend $4,500 on purchases in the first 3 months from account opening.
• Rewards: Earn unlimited 2% cash back on all purchases.
• Perks and Benefits: Includes purchase protection, extended warranties, and travel insurance.

The Capital One Spark Cash for Business is a great choice for businesses that prefer cash back rewards. The card offers a simple and straightforward rewards program with no caps or categories, making it easy to maximize your earnings. The $500 sign-up bonus is also very appealing, making it a valuable card for new businesses.

Best Travel Rewards Credit Card for Small Businesses: Amex Platinum Business Card

• Annual Fee: $595
• Sign-up Bonus: Earn 80,000 Membership Rewards® points after you spend $15,000 on purchases in the first 3 months from account opening.
• Rewards: Earn 1.25 Membership Rewards® points per $1 spent on eligible purchases.
• Perks and Benefits: Includes access to airport lounges, travel insurance, Global Assist Hotline, and more.

The Amex Platinum Business Card is an excellent choice for businesses that travel frequently. The card offers valuable travel perks, including access to airport lounges, travel insurance, and a Global Assist Hotline. The high sign-up bonus is also very generous, making it a great option for new businesses. The card’s annual fee is high, but the benefits and rewards can be valuable for businesses that travel extensively.

Best for Small Businesses with Limited Credit History: American Express Blue Business Cash Credit Card

• Annual Fee: $0
• Sign-up Bonus: Earn a $250 statement credit after you spend $3,000 on purchases in the first 3 months from account opening.
• Rewards: Earn 2% cash back on the first $50,000 spent each calendar year on eligible purchases, then 1% back on all other purchases.
• Perks and Benefits: Includes purchase protection, extended warranties, and travel insurance.

The American Express Blue Business Cash Credit Card is a great option for small businesses with limited credit history. The card offers a low annual fee and a generous sign-up bonus, making it an accessible choice for new businesses. The card’s rewards program offers 2% cash back on eligible purchases, making it a valuable card for businesses that spend heavily in specific categories.

Best for Small Businesses with High Spending: U.S. Bank Business Leverage Visa Signature Card

• Annual Fee: $0
• Sign-up Bonus: Earn a one-time bonus of 50,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening.
• Rewards: Earn 1.5 points per $1 spent on purchases.
• Perks and Benefits: Includes travel and purchase protection, car rental insurance, and access to airport lounges.

The U.S. Bank Business Leverage Visa Signature Card is an excellent choice for small businesses with high spending. The card offers a generous rewards program with a high earn rate on all purchases. The sign-up bonus is also very appealing, making it a valuable card for new businesses. The card’s annual fee is low, making it a cost-effective choice for businesses with high spending levels.

Best for Small Businesses That Travel Frequently: The Business Platinum Card® from American Express

• Annual Fee: $595
• Sign-up Bonus: Earn 100,000 bonus points after you spend $10,000 on purchases in the first 6 months from account opening.
• Rewards: Earn 1.25 Membership Rewards® points per $1 spent on eligible purchases.
• Perks and Benefits: Includes access to airport lounges, travel insurance, Global Assist Hotline, and more.

The Business Platinum Card® from American Express is an excellent choice for small businesses that travel frequently. The card offers a generous sign-up bonus and a valuable rewards program. The card’s annual fee is high, but the benefits and rewards can be valuable for businesses that travel extensively. The card offers access to airport lounges, travel insurance, and a Global Assist Hotline, making it a great option for businesses that need these features.

Conclusion

Choosing the right small business credit card is an important decision that can impact your business’s financial health. By understanding the different types of cards available, the key features to consider, and the top cards in each category, you can make an informed decision and select a card that meets your specific needs. Be sure to compare the features, benefits, and rewards of different cards before making a final decision.

Remember, a small business credit card can be a valuable tool for managing your finances, but it is important to use it responsibly. Monitor your spending, make payments on time, and avoid carrying a balance to minimize interest charges. By using your credit card wisely, you can unlock its benefits and help your business succeed.