7 Best Business Credit Cards for Startups

Start-up businesses can consider taking out a business credit card as one of the short-time business financings.

Business credit cards are very much helpful especially during the early phases of an industry, when the start-up is struggling to arrange the capital for expansion.

Business credit cards also help start-ups to manage their cash flow which is challenging especially during the early phases. Also, a business credit card helps the new growing industries to build a strong credit history that is effective for the future.

Business credit cards offer more attractive rewards to start-ups compared to personal credit cards. You can be offered perks that range from up to 2% cash back on purchases on point-based rewards schemes. This strategy enables start-up businesses to redeem points against purchases.

So, starting with a business credit card is one of the best bets for start-ups. Below, we are going to cover the 7 best business credit card options that you must consider today.

Why should a start-up business owner consider a business credit card?

A business credit card is one of the great financial tools to gain access to funds and grow the business very quickly for start-up businesses. Especially for businesses that don’t qualify yet for business loans.  Business credit cards are very much essential for not only big firms but also for small industries, freelancers, and start-ups.

The best business credit cards offer balance transfers, travel packs, higher credit limits, 0% intro APR, and rewards in specific purchase categories. A business credit card helps you to keep your business and personal account separate and distinct.

7 best business credit cards for startup businesses:

1. Chase Ink Business Cash:

Intro APR: 0% Intro APR on purchases

Annual fee: $0

Regular APR: Variable; 16.24%-22.24%

Credit needed: Good, Excellent

Chase Ink Business Cash is our no. 1 business credit card for startups because it offers various opportunities to lower your credit cost and generous rewards. When you are establishing a new office for your business, you can earn a 5% cashback offer on office supplies, cable, internet, and phone services for up to $25,000 each year.

Chase credit card also offers:

• You can enjoy 0% APR for the first 12 months of your first ownership which is very essential if you plan to make a large purchase.
• It reduces your overall credit cost as you do need not to pay an annual fee as well as you can get free employee cards.
• If you spend $6,000 on purchases then you can earn a $750 bonus cashback in the following first three months after opening your account.

2. Capital One Spark Classic for businesses:

 Intro APR: N/A

Annual fee: $0

Regular APR: 29.99% (variable)

Credit needed: Fair

If you owe a fair credit score (580 to 699) and are planning for a new business, you have a chance to be qualified for the Capital One Spark Classic business credit card. It provides you with various benefits that help you to boost your business. It offers startup businesses a 0% annual fee and unlimited 1% cash back on each purchase. It also helps you to strengthen your credit rating and also comes with free employee cards with customizable spending limits.

Some other benefits are:

• No annual fee
• You can earn a $500 bonus if you spend $4,500 between the first three months of opening the account.
• Rewards will not expire for the life of the account
• You can enjoy 5% cash back on hotels and rental cars if you rent them by using a capital one spark classic business card.

3. US Bank Business Platinum:

Intro APR:

Annual fee: $0

Regular APR: variable 16.74%- 25.74%

Credit needed: Good/ excellent credit

If the primary need of your startup is to frequently purchase business equipment and furniture, then you can opt for a US bank Business Platinum Card. This will be a great choice for your business to grow. It provides the longest 0% APR periods compared to other credit card companies on the list. So, it makes this card the best 0% APR Business credit card in the US.

It provides you with a zero-interest financing option on purchases and balance transfers for 18 billing cycles. This helps you to budget your monthly payments because within a year or half your balance is likely to be zero till the time when regular APR kicks in.

Some other benefits are:

• This business card comes with an average ongoing APR, which makes this business card one of the ideal options for businesses that plan to carry a balance even after the 0% APR period.
• It doesn’t have any annual fee which means you can borrow money for 18 months without any cost.

4. US Banks Triple Cash Rewards World Elite MasterCard:

Intro APR: 0% APR for first 15 billing cycle

Annual fee: $0

Regular APR: Variable 16.99%-25.99%

Credit needed: Excellent/Good

If you are looking for a business card that offers you free interest for the longest period for both the purchases as well as the balance transfers and also you want to get rewards on purchases, then you can go forward with US Bank Triple Cash Rewards World Elite MasterCard.  It is one of the great options for startups.

You can enjoy the benefit of zero-interest financing for the first 15 months of opening the account. Additionally, you can also earn up to 5% cash back based on the purchase category.

Some other benefits are:

• You can earn substantial ongoing rewards on purchases without limits or expiry that includes:
• 5% cash back offers on car, and hotel rentals booked directly in the Travel Rewards Center.
• 3% cash back offer on eligible gas and electric vehicle charging stations, office supply stores, restaurants, and mobile phone service providers.
• 1% cash back on other purchases.
• When you pay for the annual software subscription such as for QuickBooks or FreshBooks, then you can get an annual $100 statement credit.
• You can receive a $500 cashback offer when you purchase for $4,500 within the first 150 days of opening your account.

5. American Express Blue Business cash:

Intro APR: 0% on purchase

Annual Fee: $0

Regular APR: Variable 17.99%-25.99%

Credit needed: Good/ Excellent

The American Express Blue Business Cash credit card enables you to earn 2% cash back on eligible purchases ranging up to $50,000 per calendar year; after that 1% cash back. It comes with expanded buying powers that let you purchase beyond your credit limit whenever you require to.

The amount that you will spend beyond your credit limit will be adjusted based on your card usage, credit record, payment behavior, and financial resources. It will be a great initiative if you plan to use the business card right away as it offers an easy approval process if you meet the requirements.

Some other benefits that you will be offered are:

• You can enjoy 0% introductory APR for the first 12 months of opening an account.
• You can reduce your credit cost when you earn rewards as it comes with no annual fees.
• You will receive a $250 statement credit after the first three months when your purchases reach $3,000.

6. Chase Ink Business Premier Credit Card:

Intro APR: no

Annual fee: $195

Regular APR: Variable 18.74%-26.74%

Credit needed: Good/ Excellent

If your business requires big purchases frequently, Chase Ink Business Premier Credit Card offers you 2.5% cash back on transactions of $5,000 or more. So, you can save $125 per $5,000 purchases. Additionally, you can also enjoy 5% cash back on travel purchased via Chase Ultimate rewards.

Also, you can enjoy 2% cash back on other purchases. This business card is a pay-in-full card, which means your balance is due in full each month.

Some other benefits are:

• You can access the Flex for Business feature that lets you pay off eligible purchases with interest over time.
• As it is a pay-in-full business credit card, you will have access to increased buying power as well as premium benefits.
• You can use this card for international purchases without the need to pay foreign transaction fees.
• You can receive a $1,000 bonus cash back after spending $10,000 within the first three months of card ownership.

7. Chase Ink Business Unlimited:

Intro APR: 0% on purchases

Annual fee: $0

Regular APR: variable 16.24%-22.24%

Credit needed: Good/ Excellent

Chase Ink unlimited business credit card offers unlimited 1.5% cash back on every purchase, making this card an ideal one for startups who don’t have enough time to track their spending categories. Similar to Chase Ink business cash, this card also comes with a 0% APR for 12 months. Additionally, you can also earn a $750 bonus when you spend $6,000 within the first three months of the card membership.

Some other benefits are:

• Add employee cards without any additional cost.
• This card doesn’t charge any additional fees which means you can earn unlimited additional rewards besides saving on overall credit cost.

FAQ:

Should you use a business credit card for funding your business?

Ans: Using a business credit card for funding a startup is an ideal idea if you do not qualify for a startup business loan. A credit card application process is quite simpler and you will get approved quite fast compared to a small business loan.

Can I get a business credit card for a startup business?

Ans: Yes, you can opt for a business credit card for a startup business. A business credit card helps you out with business expenses. It is available for many businesses including startups.

Conclusion:

The best business credit card for your startup is the one that is tailored to your needs. You need to choose the business card that offers you lucrative rewards for each expense. Also, a business card helps you with interest-free financing on substantial purchases.

So, if you are getting confused in selecting the best business credit then check out our list of 7 best business credit cards for startups.