Introduction
Earning cash back on business expenses is a smart way to maximize your company’s spending and put money back into your bottom line. Cash back rewards are versatile and easy to redeem, making them an attractive option for business owners seeking simplicity and value.
If you’re in the market for a new cash back business credit card, you’ll want to consider factors like bonus categories, welcome offers, annual fees, and additional perks. With so many options available, it can be challenging to determine which card is the best fit for your business needs.
In this comprehensive guide, we’ll explore the top five cash back business credit cards of 2024, their key features, and how to select the right card for your specific circumstances. We’ll also address frequently asked questions to help you make an informed decision.
The Top 5 Cash Back Business Credit Cards of 2024
Ink Business Cash® Credit Card
The Ink Business Cash® Credit Card from Chase is a standout choice for businesses that heavily spend in categories such as office supply stores, internet, cable, and phone services, gas stations, and restaurants. Here’s what makes this card so appealing:
Rewards:
- 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable, and phone services each account anniversary year
- 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year
- 1% cash back on all other purchases
Welcome Bonus: Earn up to $750 bonus cash back – $350 after spending $3,000 on purchases in the first three months and an additional $400 after spending $6,000 on purchases in the first six months after account opening.
Annual Fee: $0
Other Perks:
- 0% intro APR on purchases for the first 12 months (then 18.49% – 24.49% Variable APR)
- No additional fee for employee cards
- Generous purchase and travel protection benefits
- Ability to combine rewards with other Chase Ultimate Rewards-earning cards for enhanced redemption options
The Ink Business Cash® Credit Card is an excellent choice for businesses that can maximize the bonus categories and take advantage of the lucrative welcome bonus. However, keep in mind that the bonus categories have spending caps, so if your expenses exceed those limits, you may want to consider other options.
Ink Business Unlimited® Credit Card
If simplicity is your preference, the Ink Business Unlimited® Credit Card from Chase could be the ideal cash back business credit card for you. With its straightforward earning structure and no annual fee, it’s a low-maintenance option that still delivers solid rewards.
Rewards: Earn an unlimited 1.5% cash back on every purchase made for your business.
Welcome Bonus: Earn $750 bonus cash back after spending $6,000 on purchases in the first 3 months from account opening.
Annual Fee: $0
Other Perks:
- 0% intro APR on purchases for the first 12 months (then 18.49% – 24.49% Variable APR)
- No foreign transaction fees
- Free employee cards with customizable spending limits
- Ability to combine rewards with other Chase Ultimate Rewards-earning cards for enhanced redemption options
The Ink Business Unlimited® Credit Card is an excellent choice for businesses with varied expenses that don’t fit neatly into traditional bonus categories. The flat-rate cash back ensures you’ll earn rewards on every purchase, without the hassle of tracking categories.
READ ALSO: Top 0% APR Business Credit Cards for 2024: Save on Interest Charges
Capital One Spark Cash Plus†
For businesses with substantial spending power, the Capital One Spark Cash Plus† is a compelling option. This charge card offers exceptional rewards, a generous welcome bonus, and the flexibility of no preset spending limit.
Rewards:
- Unlimited 2% cash back on every purchase
- Unlimited 5% cash back on hotels and rental cars booked through Capital One Travel
Welcome Bonus: Earn a $1,200 cash bonus after spending $30,000 in the first three months.
Annual Fee: $150 (but this fee is refunded every year you spend $150,000 or more)
Other Perks:
- No preset spending limit (spending power adjusts based on your payment history and credit profile)
- Free employee cards that earn unlimited 2% cash back on all purchases
- No foreign transaction fees
- Travel and purchase protection benefits
The Capital One Spark Cash Plus† is an excellent choice for businesses with substantial spending needs and the ability to pay their balance in full each month (as it’s a charge card). The high welcome bonus and potential annual fee refund make it an attractive option for big spenders.
The American Express Blue Business Cash™ Card
For small businesses seeking simplicity and value, The American Express Blue Business Cash™ Card is a strong contender. With its flat-rate cash back structure and no annual fee, it’s an accessible choice for companies with moderate spending levels.
Rewards: Earn 2% cash back on all eligible purchases on up to $50,000 per calendar year, then 1%.
Welcome Bonus: Earn a $250 statement credit after spending $3,000 in purchases in the first 3 months of account opening.
Annual Fee: $0
Other Perks:
- 0% intro APR on purchases for 12 months from account opening (then 18.49% – 26.49% Variable APR)
- Expanded Buying Power for eligible cardholders, allowing spending beyond the credit limit
- Employee cards with customizable spending limits
- Travel and shopping benefits like car rental insurance, purchase protection, and extended warranty
The American Express Blue Business Cash™ Card is an excellent choice for businesses that don’t want to pay an annual fee and prefer a straightforward cash back earning structure. However, if your annual spending exceeds $50,000, you may want to consider a card without a spending cap on the higher earning rate.
U.S. Bank Business Triple Cash Rewards World Elite Mastercard®
The U.S. Bank Business Triple Cash Rewards World Elite Mastercard® offers a unique combination of bonus categories and a valuable introductory APR offer, making it a strong contender for businesses with diverse spending needs.
Rewards:
- 5% cash back on prepaid hotels and car rentals booked directly in the Travel Rewards Center
- 3% cash back at gas and EV charging stations, office supply stores, cell phone service providers, and restaurants
- 1% cash back on all other eligible purchases
Welcome Bonus: Earn $500 cash back after spending $4,500 in the first 150 days of opening the account.
Annual Fee: $0
Other Perks:
- 0% intro APR on purchases and balance transfers for 15 billing cycles (then 19.24% – 28.24% Variable APR)
- $100 annual software credit for recurring software subscription expenses
- World Elite Mastercard benefits, including cell phone protection
The U.S. Bank Business Triple Cash Rewards World Elite Mastercard® is an excellent choice for businesses that can maximize the bonus categories and take advantage of the introductory APR offer. However, keep in mind that there are foreign transaction fees, which may be a drawback for businesses that frequently make international purchases.
READ ALSO: Maximize Travel and Cash Back with the Best Rewards Credit Cards
How to Choose the Best Cash Back Business Credit Card
When selecting a cash back business credit card, it’s essential to consider your specific business needs and spending patterns. Here are some factors to evaluate:
- Bonus Categories: Assess where your business spends the most money and look for cards that offer bonus cash back in those categories. If your expenses are spread across various categories, a flat-rate cash back card may be more suitable.
- Welcome Bonus: Consider the welcome bonus offer and determine if it’s achievable based on your typical spending levels. A lucrative welcome bonus can provide a significant boost to your cash back earnings, especially during the first year of card ownership.
- Annual Fee: Evaluate whether an annual fee is justified by the card’s rewards and benefits. Some cards offer enough value to make the annual fee worthwhile, while others may not.
- Additional Perks: Look for cards that offer perks tailored to your business needs, such as employee card access, spending management tools, purchase and travel protections, and introductory APR offers.
- Redemption Options: Ensure that the card’s redemption options align with your preferences. Some cards offer flexible redemption options, while others may be more limited.
By carefully considering these factors, you can narrow down your choices and select the cash back business credit card that best suits your business’s unique requirements.
Conclusion
Choosing the right cash back business credit card can significantly impact your company’s bottom line by rewarding you for expenses you’re already incurring. By carefully evaluating your business’s spending patterns, desired perks, and overall financial goals, you can select a card that provides substantial value and aligns with your unique needs.
The five cards we’ve highlighted – the Ink Business Cash® Credit Card, Ink Business Unlimited® Credit Card, Capital One Spark Cash Plus†, The American Express Blue Business Cash™ Card, and U.S. Bank Business Triple Cash Rewards World Elite Mastercard® – offer diverse rewards structures, bonus categories, and perks, ensuring that there’s an option to suit nearly any business.
Remember, the key to maximizing cash back rewards is using your business credit card responsibly and consistently for eligible business expenses. By doing so, you can enjoy the benefits of earning cash back while streamlining your business finances and potentially unlocking additional value through introductory offers, employee cards, and flexible redemption options.
Whether you prioritize simplicity, bonus categories, or a combination of both, the right cash back business credit card can be a valuable asset for your company’s financial success. Take the time to thoroughly evaluate your options and make an informed decision that aligns with your business goals and spending habits.
Frequently Asked Questions (FAQs)
Are cash back rewards from business credit cards taxable?
No, cash back rewards from business credit cards are generally not considered taxable income. They are treated as rebates or discounts on purchases, rather than income.
Can I use a business credit card for personal expenses?
While technically possible, it’s not recommended to use a business credit card for personal expenses. Mixing business and personal expenses can create complicationsfor tax purposes and recordkeeping. It’s best to keep personal and business expenses separate to maintain clear financial records and comply with tax regulations.
Do I need an Employer Identification Number (EIN) to apply for a business credit card?
No, you don’t necessarily need an EIN to apply for a business credit card. Many issuers allow you to apply using your Social Security number if you’re a sole proprietor or have a small business without an EIN.
How do employee cards work with business credit cards?
Most business credit cards allow you to request employee cards at no additional cost. These cards are linked to your primary account, and employee spending contributes to your overall credit limit and cash back earnings. You can often set individual spending limits and track employee expenses through online account management tools.
Can I transfer my cash back rewards to airline or hotel loyalty programs?
While some business credit cards allow you to transfer cash back rewards to airline or hotel loyalty programs, it’s not a common feature. Most cash back business credit cards require you to redeem your rewards as statement credits, direct deposits, or gift cards.
Should I consider a business charge card instead of a credit card?
Business charge cards, like the Capital One Spark Cash Plus†, can be a good alternative to traditional credit cards for businesses with high spending needs. Charge cards typically have no preset spending limit, but you must pay the balance in full each month. This can be advantageous for businesses that require flexibility but can manage their cash flow effectively.
How do I maximize my cash back earnings with a business credit card?
To maximize your cash back earnings, focus on using your business credit card for all eligible business expenses, especially in bonus categories if your card offers them. Additionally, take advantage of welcome bonuses and other promotional offers, and consider pairing your cash back card with other rewards cards to unlock additional redemption options.
