Best Business Credit Card for New Businesses: Newbie Recommendations

_{December 10, 2023 by JoyAnswer.org, Category : Finance}

What is the best business credit card for new businesses? Discover the best business credit card options tailored for new businesses. This article highlights cards suitable for startups and new ventures.

What is the best business credit card for new businesses?

Selecting the best business credit card for a new business depends on various factors, including your specific needs, spending patterns, and preferences. Here are some recommendations for business credit cards that are often considered suitable for new businesses:

Chase Ink Business Cash® Credit Card:
- Key Features:
  - Earn cash back on business purchases.
  - No annual fee.
  - Introductory 0% APR on purchases for the first 12 months.
  - Employee cards at no additional cost.
Capital One Spark Cash Select for Business:
- Key Features:
  - Unlimited 1.5% cash back on all purchases.
  - No annual fee.
  - Introductory 0% APR on purchases for the first 9 months.
  - Cash back rewards do not expire.
American Express Blue Business Cash™ Card:
- Key Features:
  - Earn 2% cash back on all eligible purchases on up to $50,000 per calendar year, then 1%.
  - No annual fee.
  - Introductory 0% APR on purchases for the first 12 months.
  - Expense management tools and account management features.
CitiBusiness® / AAdvantage® Platinum Select® Mastercard®:
- Key Features:
  - Earn AAdvantage miles on business purchases.
  - Annual fee waived for the first year.
  - Companion certificate for domestic travel after qualifying spend.
  - Travel benefits, including priority boarding on American Airlines flights.
Discover it® Business Card:
- Key Features:
  - Cash back rewards on purchases.
  - No annual fee.
  - Discover matches all the cash back earned in the first year.
  - Introductory 0% APR on purchases for the first 12 months.
Wells Fargo Business Secured Credit Card:
- Key Features:
  - Secured credit card for businesses with limited or no credit history.
  - Variable credit line based on security deposit.
  - Opportunity to transition to an unsecured credit card with responsible use.
  - Earn rewards on purchases.
U.S. Bank Business Platinum Card:
- Key Features:
  - 0% APR on purchases and balance transfers for the first 20 billing cycles.
  - No annual fee.
  - Free employee cards.
  - Online account management and spending reports.

When choosing a business credit card, consider factors such as annual fees, rewards structure, introductory APR offers, and any additional benefits that align with your business needs. Additionally, be mindful of responsible credit use and ensure that the chosen card supports the financial goals of your new business.

Before applying for a credit card, carefully review the terms and conditions, and consult with financial professionals if needed. Keep in mind that credit card offerings may change, so it's advisable to check the latest details from the card issuer.

Which business credit card is recommended for new businesses?

Unfortunately, there isn't a single "best" business credit card for new businesses as the ideal option depends greatly on your individual needs and spending habits. However, here are some top picks for new businesses in different categories, along with their pros and cons to help you decide:

Overall Best:

American Express® Blue Business Cash™ Card:
- Pros: No annual fee, generous 3% cash back on up to $6,000 in annual spending at U.S. supermarkets and gas stations, and 1% cash back on all other purchases.
- Cons: Foreign transaction fees, limited rewards categories.

Best for Cash Back:

Ink Business Cash® Credit Card:
- Pros: Earn $900 bonus cash back after spending $6,000 on purchases in the first 3 months from account opening, 5% cash back on office supplies and internet, cable and phone services, 2% cash back at gas stations and restaurants, and 1% back on all other purchases.
- Cons: $95 annual fee, rewards categories may not be applicable to all businesses.

Best for Travel Rewards:

Capital One Spark Miles Select for Business:
- Pros: Earn 2x miles on all purchases, no foreign transaction fees, annual travel credit up to $100.
- Cons: $95 annual fee, miles may not be as valuable as other travel rewards programs.

Best for Rewards Flexibility:

Chase Ink Business Unlimited® Credit Card:
- Pros: Earn unlimited 1.5% cash back on all purchases, $750 bonus cash back after spending $7,500 on purchases in the first 3 months from account opening.
- Cons: $95 annual fee, lower cash back rate compared to other cards with category bonuses.

Best for Building Business Credit:

Capital One Spark Classic for Business:
- Pros: No annual fee, good for building business credit history, earn 1% cash back on all purchases.
- Cons: Limited rewards, lower credit limit may be offered for new businesses.

Tips for Choosing the Best Business Credit Card:

Consider your spending habits: Analyze your business's typical monthly expenses to identify the categories where you spend the most. Choose a card with bonus rewards in those categories.

Assess your creditworthiness: New businesses may have limited credit history, so choose cards with lower credit score requirements.

Compare annual fees and benefits: Weigh the annual fee against the potential rewards to ensure the card offers long-term value.

Research redemption options: Understand how you can redeem your rewards and whether they align with your business goals.

Additional Resources:

NerdWallet: https://www.nerdwallet.com/best/credit-cards/small-business

WalletHub: https://wallethub.com/best-business-credit-cards-for-new-businesses

Bankrate: https://www.bankrate.com/finance/credit-cards/best-business-credit-cards-startups/

Remember, choosing the right business credit card is an important decision that can impact your business finances. Take your time to research different options, compare features, and choose the card that best aligns with your business's needs and goals.