The Best Business Credit Card Offers For Your Small Business

March 10 2008
By MoneyBlueBook

Updated List Of The Best Business Credit Cards Below!

Like most small business owners, I have my eyes on the prize with expectations based on the potential of future expansion. While my current small home business is still in the early growth stages and has not developed to the size where I needed to incorporate, I decided early on that now was a good time as any to start keeping my personal and business expenses separate by taking advantage of the expense tracking and management benefits afforded by business credit cards.

Whether you are a small business owner who works from your own home, or have your own dedicated virtual office setup, there may eventually come a time when you will need additional cash and credit infusion to pay for business expenses such as inventory, office supplies, or utility fees including wireless services. More than half of all small businesses currently use credit cards to pay for expenses, but less than half of the users utilize business credit cards. While most seem content on relying on their existing consumer cards, there are a number of key reasons why it's better to use business credit cards under your company's banner.

For those running a business as a sole proprietorship like myself, you may have already applied for an Employer Identification Number (EIN), sometimes referred to the Federal Tax ID. If so, you will need to enter it when applying for a business credit card. If you are a regular non-business consumer who wants to take advantage of the rewards and benefits that business cards have to offer, you can still apply by entering your personal name as the name of the business, thereby leaving the Federal Tax ID part on the card application blank. That's generally permissible because individuals can always declare themselves to be a sole proprietorship business unto themselves.

Benefits And Advantages Of Using A Business Credit Card

Business credit cards provide a focused selection of business oriented tools to help business cardholders better manage their expense transactions and day to day employee operations. Many of their advantages are not available in ordinary consumer credit cards. Here are some of the important small business benefits that they offer:

1. Special Business Rewards - Business credit cards offer unique discounts and rewards for an array of business expenditures that range from office furniture and equipment, to airline travel, gas fill-ups, car rentals, and utilities such as wireless services. Many businesses also choose to carry multiple business cards - using low to 0 interest APR offers to carry 0 interest balances, while using reward oriented cards to earn airline miles or cash back of up to 5% on business related purchases.
2. High Credit Limit - Compared to their consumer card counterparts, most business credit cards tend to offer higher initial credit lines, an attractive benefit for growing businesses in need of access to lots of credit. The higher business credit limit is particularly attractive when coupled with 0% APR introductory purchases and 0% balance transfer offers. High credit limits and 0% APR credit card offers help businesses build start up venture capital to better grow and expand their enterprises.
3. Avoidance Of Asset and Expense Commingling - For solo proprietorships, commingling your personal and business expenses is not as big of an issue. But as your business expands, due to liability and taxation concerns, you may ultimately want to convert your business into a limited liability company (LLC) or corporation - operations that mandate the separation of your personal expenses from your business transactions. By using dedicated small business credit cards now sooner than later, you make it easier to complete the transition in the future.
4. Multiple Cards For Employees - One useful benefit of business credit cards is the ability to request multiple linked credit cards for your business employees. By adding employees as cardholders to your account, you enable the consolidation and tracking of your business transactions from one location. Most business credit cards also offer free expense accounting, with transactions broken down by each authorized employee's card access account.
5. Itemization and Expense Tracking - The usage of business credit cards also offers the flexible and scalable ability to fix preset credit limits for each employee. Not only can you place credit usage limits for each employee cardholder working off your account, many card programs allow you to set limits on how much particular employees can spend in specific purchase categories. Business credit cards make it easier for small business owners by providing monthly and year end credit card statement summaries, with all transactions conveniently itemized and categorized. Rather than having to fumble around with a bulky envelope full of receipts, business credit cards make it easier for you to manage your cash flow and daily business transactions.
6. Opportunity To Build Business Credit - A small business credit card also offers your new business the opportunity to link your business tax ID to the account, enabling your business to build its own credit history. Maybe not now, but having a developed credit report and ready access to credit are key ingredients to growing your future business. One day, your business may very well require a capital infusion through credit loans to take it to the next level.

List Of The Best Business Credit Card Offers:

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1) Citi Premier Pass-Elite Level - This card is the ultimate rewards card for earning free airline miles. If you are a frequent flyer you will greatly appreciate the miles earning potential it has. With the Citi PremierPass Elite, you earn 1 reward point for every 1 mile you fly, 2 points for every dollar spent at gas stations, supermarkets, drug stores, and transportation related businesses including parking, and 1 point for everything else. You can redeem the points for free plane tickets with no airline restrictions, no blackout dates, and no seating limitations. A $75 annual fee does apply but if you are a frequent business traveler, you will easily make it up in the form of free airline tickets. It is currently offering a $200 bonus gift card for new sign ups.

2) Citi AT&T Business Reward Card – This popular business credit card offer from Citi Card offers 5% reward back for eligible AT&T products and services purchased directly from AT&T. It also offers 3% back on purchases at gas stations, office supply stores, and on professional services. All other card purchases earn 1% back. ThankYou points earned can be redeemed for air travel, statement credit, gift cards, business merchandise, and more. The CitiBusiness network also provides numerous pretty sought after features and services - perks such as business-enhanced online account management privileges and special prescription drug discount benefits for cardmembers and their dependents. Currently, the Citi ATT business card is also touting an attractive 6 month promotional 0% interest rate for all purchases.

3) Discover Business Card - With this card, businesses can earn 5% cash back reward bonuses on office supplies, 2% on gas, and up to 1% on everything else. The card also offers a 12 month 0 APR balance transfer deal with a 3% balance transfer fee, capped at $75. Perks for small business owners include free employee cards with customizable spending limits and monthly reports, categorized online quarterly and annual statements, and free travel benefits. One of the best benefits of the Discover Business credit card is the ability to write and issue fee-free purchase checks. The unique purchase check function allows you to write checks to business suppliers who do not accept credit cards. Your purchase check interest rate will be the normal purchase APR on the card. Best of all, there is no transaction fee for this service, and there is no annual fee.

4) Advanta Business World Master Card - This card allows you to earn 1% back on all purchases with an additional 50% worth of extra bonus point rewards every year. In regards to the credit card rewards earned, there are no earnings cap, no travel redemption restrictions, or any sneaky blackout dates. There is also no preset spending limit or annual fee.

5) Advanta Net 90 Platinum Business Card - Advanta presents consumers and small business owners with the opportunity to enjoy continuous and recurring 90 days worth of 0% interest free purchases. This is not an introductory offer, but a permanent grace period feature that allows you to pay no interest for 3 months after any card purchase. This reward credit card also earns 1% back with a generous credit limit and no annual fee.

6) Advanta Platinum Business Card Unlimited Rewards - Advanta Bank has emerged as a leader of the small business credit card market. This particular Advanta card offers both an introductory 15 month, 0% APR offer for balance transfers, as well as the ability to earn 1% rebate rewards, redeemable for cash, travel, and merchandise, with no annual fee. The plastic credit cards provided can also be uniquely personalized with your company's name on the top of the card.

7) Advanta Customizable Platinum Business Card With Unlimited Rewards - This custom credit card offer provides the same 15 month, 0% balance transfer offer as the regular Advanta Business Unlimited Card, along with the ability to earn unlimited 1% purchase rebates. However, not only can you customize the card with your company's name, you can also customize the card design to display your small business or company's logo or trademark colors.

8) Advanta Kiva Business Card - With this joint public interest Advanta-Kiva offer for small business owners and entrepreneurs, as you earn purchase rewards for yourself, the card issuer matches your redeemed rewards in the form of loan grants for people in developing countries. Cardholders get a 5% statement credit on the first $1,200 each year for Kiva grants, charitable donations, and other eligible purchases. The card also provides an unbeatable 15 month, 0% balance transfer offer, with no annual fee.