Business credit cards can be a useful tool for entrepreneurs in any field, but especially in the ecommerce space in particular. These cards allow you to keep your personal and business expenses separate, making it easier to manage your finances and track how much you’re spending on things like advertising and inventory.
They also come with rewards and perks that can be of tremendous benefit, such as cashback on business-related purchases and discounts on the services you need. In this article, we’ve selected some of our favorite cards, but if you're short on time, here’s a quick breakdown of our top picks (though we still recommend reading the full article to learn how we came to these conclusions):
- 🏆 Best credit card for advertising spend rewards - 🥇 Amex Gold
- 🎬 Best credit card for new ecommerce businesses -🥇 Ramp
- 💳 Best card for extending payment terms - 🥇 Parker
- 🏦 Best credit card for lowest interest rates - 🥇 Rho
What’re the best business credit cards for ecommerce? 🚀
There are many great business credit cards currently on the market that ecommerce business owners like yourself can take advantage of. These cards can help you free up operating cash flow and ease some of the expense-related pressure you are facing by providing you with a valuable line of credit.
It’s worth pointing out that using a business credit card can also enable you to build a credit history for your company, which can be useful for obtaining financing in the future. It can furthermore provide you with additional buying power, allowing you to make larger purchases for crucial things like goods from your suppliers.
Overall, using a business credit card can help you streamline and move your online business forward. There are several business credit cards that are well-suited for DTC ecom companies, which we’ll explore in greater detail below. These cards offer valuable perks and benefits, such as cash back on purchases, and rewards on shipping costs.
It’s important to compare the different options and choose the one that best suits the needs of your business, since like with all things in the world of ecommerce, there is not a one-size-fits-all approach.
1. American Express Business Gold
The American Express Business Gold business credit card is a rewards card designed for business owners and DTC companies looking for a reliable business credit card to sign up for. It offers a variety of exclusive perks and benefits, including the ability to earn points on everyday purchases, whether that be software or inventory-related expenses.
Holders of this card can also earn bonus points in certain categories, such as shipping expenses, and can redeem their points for a number of rewards, including on travel, gift cards, and statement credits. All in all, the American Express Business Gold business credit card is a solid choice for ecommerce business owners who want to earn rewards on the expenses that are a typical, recurring part of their operation.
American Express Business Gold Rewards, Benefits, Key Features 🧰
The American Express Business Gold Card offers a wide range of benefits and features to help you manage your finances and maximize your rewards.
At the time of this writing, key features of this card include:
- An introductory bonus of up to 70,000 points
- 4X points on the two categories of business spending that you spend the most in each month
- 25% airline bonus on flights purchased through points
- 1X points on other eligible purchases
Additionally, cardholders can take advantage of purchase and return protection, extended warranty coverage, and 24/7 customer service.
American Express Business Gold Fees and Rates 💰
The card has an annual membership fee of $295 and an APR of 18.49%-26.49%.
2. Chase Ink Business Preferred
The Chase Ink Business Preferred credit card is a rewards-based business credit card that offers bonus points on travel and business purchases, and is another great option to consider as an ecommerce seller.
Chase Ink Business Preferred Rewards, Benefits, Key Features 🧰
- Allows you to earn 3X points on the first $150,000 spent in combined purchases on travel, shipping purchases, and advertising with social media sites
- Can earn an additional 25% bonus when you redeem your rewards through Chase Ultimate Rewards
- You receive 100,000 bonus points after spending $15,000 within three months of opening an account
- Can get employee cards at no additional cost and can earn rewards from their business expenses as well
You can also take advantage of purchase protection (covers accidental damage to items bought with your card) and extended warranty protection.
Chase Ink Business Preferred Fees and Rates 💰
With the Chase Ink Business Preferred card, there is a $95 annual fee and an APR of 19.74%–24.74%.
3. Capital One Spark Cash for Business Card
The Capital One Spark Cash business credit card is a great choice for businesses that need to make frequent purchases, offering substantial cash back that you can put to work immediately.
Capital One Spark Cash for Business Card Rewards, Benefits, Key Features 🧰
- Unlimited 2% cash back on every purchase (no category restrictions)
- $1,000 cash bonus after you spend $5,000 in the first 3 months and $50,000 in the first 6 months
- No APR, since you must pay your balance in full every month
- $200 annual cash bonus if you spend $200,000 or more in a year
Capital One Spark Cash for Business Card Fees and Rates 💰
There is an annual fee of $150 per year to sign up and be a member.
Parker is an innovative approach to the traditional business credit card as it offers up to net 60 payback terms and 0% interest. It also has a more intuitive and easy-to-use interface than much of the competition. It is valuable for reporting key metrics and measuring the profitability of your spend, particularly when it comes to something like advertising campaigns.
Parker Rewards, Benefits, Key Features 🧰
- Gives you flexible payment terms and higher spending limits
- You can select from three card options to be able to choose the right terms for you
- Offers a standard 30-day card with 1.5% cash back, a net 30-day card with 1% cash back, and a net 60-day card that can be used to extend payments and optimize your cash conversion cycle
- Payment is due 30-60 days from when a charge is placed on the card, instead at the end of every month
- Provides virtual cards that you can use for your digital services
Parker Fees and Rates 💰
Parker is free to use, and does not pull from your personal credit or require personal guarantees.
Divvy is an all-in-one spend management solution that allows you to apply for a line of credit in a few simple steps. It is a software-first approach to credit that is ideal for online business owners.
Divvy Rewards, Benefits, Key Features 🧰
- Can select either a weekly, semi-monthly, or monthly payoff schedule
- Provides travel, gift card, statement credit, and cash back rewards on your spend
- Automatically categorizes business expenses, eliminating the need to create expense reports manually
- Gives you real-time tracking of funds and allows you to build a budget on the fly
- Unlimited physical and virtual cards that you can use for yourself or your employees
Divvy Fees and Rates 💰
It is free to use the Divvy app and access their spend management software. There are no annual or monthly fees.
Rho is a high-end corporate spending solution that offers a flexible way to manage your expenses. It is optimal for larger businesses doing over $1 million/year in sales or have raised a significant amount of equity capital.
Rho Rewards, Benefits, Key Features 🧰
- Up to 1.75% cash back on expenses
- Gives you up to 60 days to repay
- Can customize and control your payment terms
- No interest rates
- Either 1 day, 30 day, 45 day, or 60 day repayment available
- Unlimited physical and virtual cards
Rho Fees and Rates 💰
If approved, Rho is free to use as there are no platform fees or annual fees.
Ramp gives you access to both the technology and the funds you need to scale your business. It provides a credit card that gives you real money back on your purchases instead of points, making it a favorable solution for ecommerce businesses looking to make the most of their expenditures.
Ramp Rewards, Benefits, Key Features 🧰
- Unlimited 1.5% cash back
- No personal credit checks or personal guarantees required
- Live support on standby to help you troubleshoot issues
- Physical and virtual cards available, which you can add to your mobile wallet
Ramp Fees and Rates 💰
Ramp is free to use. There are no foreign transaction, setup, or replacement fees involved.
8. American Express Blue Business Plus
The American Express Blue Business Plus business credit card is a great no-annual-fee credit card that gives you expanded buying power and allows you to earn valuable points and rewards for your ecommerce business.
American Express Blue Business Plus Rewards, Benefits, Key Features 🧰
- 15,000 membership rewards points after spending $3,000 in 3 months
- Earn 2X points on your first $50,000 in purchases and 1X points afterward
- Extended warranty, purchase protection, and dispute resolution support is available
- Can redeem points for crucial equipment like office supplies, gift cards for team dinners, or flights to take business trips
American Express Blue Business Plus Fees and Rates 💰
There is no annual fee and a 0% introductory APR on purchases during your first 12 months.
How to choose the best business credit card for ecommerce? 🤔
Choosing the best business credit card for your ecommerce business can be a daunting task, as there are many options available with different features and benefits. However, as we’ve laid out in this article, with proper research and careful consideration, you can find the perfect credit card for your business needs.
If your business frequently makes large purchases, it makes sense to look for a card with a high spending limit and low interest rates (like Parker). If you travel frequently for business, consider a credit card that offers rewards or points for travel-related expenses (like American Express Blue Business Plus).
Next, consider the fees associated with each credit card. Some credit cards charge annual fees, balance transfer fees, or foreign transaction fees. These fees can add up and eat into your profits, so be sure to compare the fees of different cards before making a decision. Innovative solutions like Ramp and Divvy are ideal from this perspective.
You also always want to be sure to read the fine print and understand the terms and conditions of each credit card before applying. Pay attention to the interest rates, late payment fees, and any other potential charges that may not be immediately apparent. By doing your due diligence and comparing all of your different options, you can find the best credit card to give your ecommerce business the boost it needs.
Benefits of using business credits for ecommerce? 📈
The benefits business credit cards can provide to ecommerce companies are numerous. Aside from making it easier to track and manage spend, they can also help improve your organization’s financial health by providing a clear picture of your income and expenses.
Not only that, but by securing a credit card with flexible payment terms, you can extend the time you have to repay your expenses and free up your operating cash flow in the process. This can help optimize your cash conversion cycle.
In addition to assisting with expense tracking and management, business credit cards can also offer rewards and benefits specifically designed for ecommerce companies. This can include things like cash back on business-related purchases such as inventory and ad spend, rewards points that can be redeemed for travel or other business expenses, and access to exclusive discounts and offers.
As we’ve highlighted in this article, there are an abundance of different business credit cards to choose from. The rewards and benefits they provide can help you save money, streamline your operation, and improve the overall efficiency of your online business.