Maria Adams, Credit Cards Moderator
@m_adams
A good first business credit card is the Ink Business Preferred® Credit Card. This card offers 100,000 points for spending $15,000 in the first 3 months. Plus, you can earn 1 - 3 points per $1 spent on purchases. The card comes with a $95 annual fee and it requires at least good credit for approval.
Here are some good first business cards:
What you should know about business credit cards:
- A first business credit card is beneficial because it allows you to separate your personal and business expenses.
- Business cards usually come with a higher credit limit than personal credit cards.
- In most cases, activity on your business card won’t affect your personal credit report. However, you’re still personally liable for any debt incurred on a business credit card.
- Business cards generally come with better rewards. You can make the same purchases you normally would for your business and earn more points.
- Businesses can also distribute credit cards to employees as expense accounts. All eligible spending on an employee’s business card earns rewards toward your account.
- Many good first business cards require good or excellent credit to qualify. Your personal credit profile will be a major factor in determining if you’re ultimately approved for a business credit card.
One glaring difference between business cards and personal credit cards is that business cards are excluded from protections under the Credit CARD Act. Most notably, an issuer can arbitrarily raise the interest rate on a business card balance. For personal credit cards, payment has to be at least 60 days before a higher interest rate kicks in. Fortunately, many of the major issuers have implemented some of the CARD ACT’s key policies for their business cards.
Ultimately, you can check our editors’ latest picks for the best business credit cards and weigh your options.
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