Business credit cards can be a powerful tool for any business, small or large. They make expense management more convenient, simplify financial reporting, and help separate personal and business finances. Many of the best credit cards for businesses earn rewards, earning points per dollar spent that can be redeemed for flights and upgrades.
"Choosing a new business credit card involves a comparison of more than interest rates and fees. Look for what rewards program the card is linked with, accounting software integration, reporting tools, and card acceptance. At Credit Card Compare, our goal is to make it easier for businesses to select a card that will maximise value and truly be beneficial while making it easier to manage spend and cash flow."
David Boyd
CEO at Credit Card Compare
Benefits of business credit cards
Business credit cards offer a range of benefits that can help your business streamline expense management, earn rewards, and build credit. Consider the following advantages:
- Expense tracking: Business credit cards make it easy to track business expenses, simplifying record-keeping and budgeting processes.
- Earn rewards from business expenses: Many business credit cards offer rewards such as cashback, points for frequent flyers, or discounts on business purchases, providing additional value for your spending.
- Separation of finances: Using a business credit card for company expenses, you can separate personal and business finances. This makes tax reporting and accounting tasks more straightforward.
- Build business credit: Consistent and responsible use of a business credit card can help establish and build your business credit profile, which may be beneficial when seeking financing in the future.
"Our business credit card has been indispensable. I've lost count of the flights, upgrades, and hotel stays booked using points earned from putting business spend through it."
David Boyd
CEO at Credit Card Compare
What to consider when choosing a business credit card
When selecting a business credit card, it's essential to consider various factors to find the right fit for your business needs. Some key considerations include:
- Rewards: Evaluate the rewards programs offered by different cards to determine which aligns best with your business spending habits and preferences. Many different hotel cards come with status and give you the opportunity to transfer points into your preferred hotel's reward program.
- Annual fees: Consider any annual fees associated with the card and compare them to the potential benefits and rewards you may receive.
- Interest rates: The card's interest rates, especially if you anticipate carrying a balance, are crucial to avoiding high finance charges.
- Additional benefits: Some business credit cards offer perks such as free travel insurance, purchase protection, or airport lounge access with Priority Pass cards. Assess these extra benefits to find a card that suits your business requirements.
How business credit cards can help your business grow
Business credit cards can play a significant role in supporting your business growth and financial stability. Here are ways in which business credit cards can benefit your business:
- Cash flow management: Business credit cards provide a flexible payment option to manage cash flow fluctuations and cover unexpected expenses.
- Access to capital: A business credit card can provide access to a revolving line of credit that can be used for business investments or to seize growth opportunities.
- Building credit history: Establishing a positive credit history through responsible credit card use can improve your business's creditworthiness over time. A good credit history will be useful when seeking business loans.
- Employee spending control: Many business credit cards allow you to set spending limits for employee cards, giving you greater control over company expenses.
Methodology for our business credit card comparison
We chose what cards to include in our business credit card comparison table and their rank order after an extensive analysis of the following key features and benefits.
- Additional cardholders: If the card supports additional cardholders, how much it costs per additional cardholder, and any limits and requirements. An unlimited — or high number — of free additional cardholders is considered best.
- Airport lounge access included: If airport lounge access is available, the lounge network, and any limitations on use.
- Apple Pay enabled: If the the card can be added to Apple Pay. Being able to is considered beneficial.
- Cardholder's complimentary insurance: If available, domestic hotel burglary insurance, extended warranty, fraud protection insurance in case of unauthorised card use, international travel insurance, interstate flight inconvenience insurance, personal item theft cover insurance, price protection insurance, purchase protection insurance, refund protection insurance, transport accident insurance.
- Card type: Whether the card runs on American Express, Mastercard, Visa, or another network. Some networks have better acceptance than others domestically and internationally. Also if the card is a charge or credit card.
- Cash advance rate: Interest on cash advances and the fee charged each time a cash advance is taken out on the card. Lower is better.
- Concierge service included: Whether dedicated concierge team is available.
- Foreign exchange fee: The fee charged for transactions made while overseas or from an overseas supplier or store. Lower is better.
- Government rewards points earn rate: If the card earns points on spend with government agencies, including the ATO.
- Interest-free period: The number of interest-free days from statement close if the balance is paid in full. Longer is better.
- Maximum credit limit: The highest amount of credit extended, if made public. Higher is considered better for businesses.
- Minimum credit limit: The lowest amount of credit extended, if made public. Higher is considered better for businesses.
- Purchase rate ongoing: The interest rate charged on purchases. Lower is better.
- Rewards program: If the card earns rewards, the earn rate per dollar spent, if there are any caps or tiers affecting the earn rate, redemption options including transfers to airline partners, etc.
- Samsung Pay enabled: If the card can be added to Samsung Pay digital wallet. Being able to is considered beneficial.
- Sign-up bonus: If available, the type of bonus on offer (points, cashback, voucher, etc.) and the criteria to trigger it.
- Target market: Whether the card is designed for businesses or consumers.
Our rankings may not reflect what matters most to you. Be sure to compare key rates, fees, and features against your own financial priorities before deciding.
