Starting and running a small business LLC requires careful financial management, and one of the most crucial tools is a business credit card. Choosing the right card can provide access to vital funding, help build business credit, and offer valuable rewards and benefits. This article provides a comprehensive guide to the best business credit cards for LLCs in 2024, focusing on ultimate rewards and how to maximize their value.
Top Business Credit Cards for LLCs: A Comparison
| Card Name | Key Benefits | Ideal For |
|---|---|---|
| Chase Ink Business Preferred® Credit Card | High rewards on travel and select business categories, travel protections, purchase protection, no foreign transaction fees, potential for large sign-up bonus, points can be transferred to travel partners. | Businesses with significant spending on travel, shipping, and advertising. Those who value travel rewards and want flexible redemption options. Businesses that can benefit from travel insurance and purchase protection. |
| American Express® Business Gold Card | Flexible rewards structure with 4x points on the 2 select categories where your business spends the most each billing cycle (up to $150,000 in combined purchases per calendar year, then 1x point), valuable Amex benefits like purchase protection and access to Amex Offers. | Businesses with variable spending patterns across different categories. Those who want valuable Amex benefits and are comfortable with an annual fee. Businesses that can maximize the 4x points earning potential on their top spending categories. |
| Capital One® Spark Cash Plus | Unlimited 2% cash back on every purchase, no foreign transaction fees, employee cards at no additional cost, purchase security and extended warranty protection, easy redemption options. | Businesses seeking a simple and straightforward cash back rewards program. Those who want to avoid annual fees (after the first year) and appreciate a flat-rate rewards structure. Businesses that want to earn on every purchase, regardless of category. |
| Chase Ink Business Cash® Credit Card | No annual fee, 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. | Businesses with significant spending in the bonus categories (office supplies, internet, cable, phone, gas, restaurants). Those seeking a no-annual-fee card with valuable rewards. Businesses looking to maximize cash back rewards on everyday business expenses. |
| U.S. Bank Business Triple Cash Rewards Card | 3% cash back on eligible purchases at gas stations and EV charging stations, office supply stores, cell phone service providers and restaurants, 1% cash back on all other eligible net purchases, annual bonus, introductory APR offer. | Businesses with high spending at gas stations, EV charging stations, office supply stores, cell phone service providers, and restaurants. Those seeking an introductory APR offer and an annual bonus. Businesses that benefit from extended payment terms. |
| Brex Corporate Card for Startups | Rewards tailored for startups, including points that can be redeemed for travel, statement credits, or cryptocurrency, integration with accounting software, no personal guarantee required (for eligible businesses). | Startups with strong financial backing and a need for flexible rewards and accounting integration. Those seeking a card without requiring a personal guarantee. Businesses that want to redeem rewards for a variety of options, including cryptocurrency. |
| Blue Business Plus Credit Card from American Express | 2x Membership Rewards points on the first $50,000 in purchases each year (then 1x point), no annual fee, purchase protection, extended warranty. | Businesses seeking a no-annual-fee card with a simple and valuable rewards program. Those who want to earn Membership Rewards points without paying an annual fee. Businesses that appreciate Amex benefits like purchase protection and extended warranty. |
Detailed Explanations
Chase Ink Business Preferred® Credit Card: This card is a powerhouse for businesses that spend heavily on travel, shipping, and advertising. The high rewards rate in these categories, combined with the ability to transfer points to travel partners, makes it an excellent choice for frequent travelers. The travel protections and purchase protection provide added security and peace of mind. Furthermore, the card often features a substantial sign-up bonus, making it even more appealing.
American Express® Business Gold Card: This card stands out with its flexible rewards structure. It automatically rewards you with 4x points on the two categories where your business spends the most each billing cycle (up to $150,000 in combined purchases per calendar year, then 1x point). This dynamic system ensures you're always maximizing your rewards. The card also offers valuable Amex benefits like purchase protection and access to Amex Offers, which can further enhance its value. The annual fee can be justified for businesses that can effectively utilize the 4x points categories.
Capital One® Spark Cash Plus: The simplicity of this card is its strength. It offers a straightforward 2% cash back on every purchase, with no foreign transaction fees. The inclusion of employee cards at no additional cost is a significant benefit for businesses with multiple employees. The purchase security and extended warranty protection provide added security for business purchases. It's an excellent choice for businesses that prefer cash back rewards and want to avoid the complexity of tiered rewards programs.
Chase Ink Business Cash® Credit Card: This card is a standout for its no annual fee and valuable rewards program. It offers 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, making it ideal for businesses with significant spending in these categories. It also offers 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year. The 1% cash back on all other purchases ensures that every purchase earns rewards.
U.S. Bank Business Triple Cash Rewards Card: This card is designed for businesses that spend heavily on gas, office supplies, and cell phone services. The 3% cash back in these categories can add up quickly. The annual bonus and introductory APR offer provide additional value. It's a solid choice for businesses seeking to maximize rewards on common business expenses.
Brex Corporate Card for Startups: This card is specifically tailored for the needs of startups. It offers rewards that can be redeemed for travel, statement credits, or cryptocurrency, providing flexibility in how you use your rewards. The integration with accounting software simplifies financial management. A key advantage is that it doesn't require a personal guarantee for eligible businesses, which can be a significant benefit for startup founders.
Blue Business Plus Credit Card from American Express: This card offers a simple and valuable rewards program with 2x Membership Rewards points on the first $50,000 in purchases each year (then 1x point). The fact that it has no annual fee makes it an attractive option for businesses looking to earn rewards without paying a yearly charge. The inclusion of purchase protection and extended warranty adds further value to the card.
Frequently Asked Questions
What is an LLC? An LLC (Limited Liability Company) is a business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation.
Why should an LLC get a business credit card? A business credit card helps build business credit, separates business expenses from personal finances, and provides access to rewards and benefits.
Can I use my personal credit card for my LLC? While you can, it's generally not recommended as it doesn't build business credit and can commingle personal and business finances, potentially weakening the liability protection of your LLC.
How does a business credit card help build business credit? Responsible use of a business credit card, including timely payments, is reported to business credit bureaus, helping to establish a positive credit history for your LLC.
What is a personal guarantee on a business credit card? A personal guarantee means you are personally liable for the debts of your business credit card if your LLC cannot pay them.
What are the key factors to consider when choosing a business credit card? Consider rewards structure, annual fee, APR, credit limit, and any additional benefits that align with your business needs.
What is APR? APR stands for Annual Percentage Rate, and it represents the yearly interest rate charged on outstanding balances.
What is a sign-up bonus? A sign-up bonus is an incentive offered by credit card companies to new cardholders who meet specific spending requirements within a certain timeframe.
What are travel partners? Travel partners are airlines and hotels that allow you to transfer credit card points for booking flights and accommodations.
What is purchase protection? Purchase protection is a benefit that reimburses you for damaged or stolen items purchased with your credit card, typically within a specific timeframe.
Conclusion
Choosing the best credit card for your small business LLC depends heavily on your specific spending patterns and business needs. If you value travel rewards and have significant expenses in travel, shipping, and advertising, the Chase Ink Business Preferred® Credit Card is an excellent choice. For those seeking flexible rewards and valuable Amex benefits, the American Express® Business Gold Card is a strong contender. If you prefer a simple cash back program, the Capital One® Spark Cash Plus offers a straightforward solution. Carefully evaluate your business's spending habits and prioritize the rewards and benefits that will provide the most value. Always remember to use your business credit card responsibly to build a strong credit history for your LLC.