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If you’re thinking, “Why should I get a business credit card for travel?”, here are your answers. It’s not the right type of credit card for every small business owner. But if the bulk of your spending involves airfare, lodging and rental car expenses, a travel rewards-focused card is for you.
What is a Business Travel Credit Card?
If you’re a small business owner and/or sole proprietor, you need separation between your personal and business credit cards. What are business credit cards? They are cards used solely for business expenses.
A business travel card is designed for small business owners who primarily incur travel-related expenses. With this card, you earn travel rewards in the form of points for every dollar spent on eligible purchases.
Why You Should Get a Business Credit Card for Travel
Here are reasons to get business credit cards for travel:
- You’ll get rewards and bonuses on eligible purchases
- You’ll get discounts on travel-related purchases
- In addition to deals and discounts, you will also get insurance coverage on rental cars
- You’ll get purchase protection on those expenses
- Businesses have a variety of credit card options available, and you might opt for a card that emphasizes discounts on gas purchases.
How to Choose the Best Business Credit Cards for Travel
Choosing the best business credit cards for travel depends on where you spend most on travel expenses.
- Foreign Transaction Fees – Foreign transaction fees can cause additional expenses for you. Fees can range from 1 to 5% on purchases.
- Rewards – You have the opportunity to earn membership rewards points through hotel and car rental partners. These points can be accumulated for every dollar you spend and can be applied to lower your credit card bill or to receive discounts on future purchases. Additionally, some cards provide cash credits for transactions with partner businesses. For instance, the American Express Business Gold Card from American Express (see below) offers credits for purchases made at Dell, Indeed, and on wireless telephone services.
- Purchase Protection – Purchase protection acts as insurance on your purchases. For example, purchases eligible for protection may include airfare, lodging, and rental cars.
- Fees – Some business credit cards have no annual fee. Those with an annual fee negate that against other discount programs. For example, the Hilton Honors American Express business credit card (see below) has $95 in annual fees, but you get 130,000 bonus points if you spend $3,000 during the first 3 months you have the card from American Express.
- Gas – If your small business involves extensive driving or operates a fleet of vehicles, consider selecting a card that offers cashback on gas purchases. Options like the Chase Freedom Unlimited or the Discover IT cards could be ideal for you. Please refer to the details on these cards below.
8 Best Business Travel Credit Cards
Here are some of the details for our picks for the 8 best business credit cards.
1. Chase Ultimate Rewards Freedom Unlimited
APR: 15.24-23.99 variable
Annual Fee: 0
With the Chase Ultimate Rewards, you can earn 5% cash back on travel expenses and an extra 3% cash back on dining. Additionally, you can receive 5% cash back on gasoline purchases, up to a limit of $6,000. There are no foreign transaction fees associated with this card. Consider also the Chase Ink Business Preferred credit card, which offers similar benefits. Both cards come with free employee cards, allowing you to set individual spending limits for each. Another excellent choice is the Chase Venture Rewards credit card, which lets you earn 2 miles for every dollar spent. If you’re interested in maximizing your rewards, these options are among the best business credit cards for travel.
2. American Express Business Platinum Card
APR: 14.99-22.99
Annual fee: 0
With American Express business card platinum membership, rewards points per dollar spent are multiplied. With the platinum business American Express card membership, you’ll get 5X points on flights and prepaid hotels and 1.5X on select business categories (shipping purchases, eligible delivery services, shipping providers) and purchases of 5K or more. On opening an American Express business card account you’ll get a $400 credit to use on Dell purchases, $360 for Indeed search engine advertising and $120 for wireless telephone services and cloud system providers. When you fly, you’ll be treated to Global Entry – you’ll wait in a lounge for your flight to be called.
3. Hilton Honors Business Card
APR: 16.49-25.49
Annual fee: $95
Another business American Express card, the Hilton Honors card membership includes 12X Hilton honors bonus points at Hilton hotels, 6X points at restaurants, plus 130,000 bonus points if you spend $3,000 on hotels, restaurants and other purchases (where your business spent money, such as office supply stores) during the first 3 months you have the card. You can get an additional free night award after set amounts of lodging purchases.
4. American Express Business Gold Card
APR: 14.99 – 22.99
Annual fee: $295
This American Express business card has a high annual fee but lets you focus on points where you spend the most. For example, you’ll earn 4X points in your two chosen categories. You can pay with points while booking airfare, and also get 25% of those points credited back to you.
5. Bank of America Business Advantage Travel Rewards World Mastercard
APR: 12.49 – 22.49
Annual fee: 0
When you activate the Bank of America card, you’ll receive 30,000 bonus points. You can earn 1.5% cash back on all combined purchases, and for travel purchases, you’ll earn 3 points per dollar. Additionally, if you hold a business checking account with Bank of America, you’ll earn 75% more points—2.62 points for every dollar spent—on travel and other purchases. This makes it one of the best business credit cards for travel.
6. Discover IT
APR: 12.24 – 23.24
Annual fee: 0
With the Discover It card, you can earn 2% cashback on qualifying purchases for gas and dining, up to a maximum of $1,000 each quarter. Additionally, you will earn 1% cashback on other eligible purchases, including those made at office supply stores and for phone services. For every dollar spent on eligible purchases, you will also earn 1.5 miles once you have paid for them. At the end of your first year, and on each anniversary of your card account, you’ll receive the Discover Cash Back Match, which matches the cashback you’ve earned, allowing you to use it as statement credits.
7. Southwest Rapid Rewards Performance Business credit card
APR: 16.24 – 23.24
Annual fee: $69
With the Chase Southwest Rapid Rewards Performance card, you’ll earn 2X points on Southwest purchases, and 1X points on other airline purchases. You’ll get 3,000 account anniversary year points annually, and can earn up to 40,000 points on qualifying purchases, including internet cable and phone services. Points can be applied to travel purchases or you can redeem points as a statement credit.
8. Delta SkyMiles Reserve Business
APR: 16.49 – 25.49
Annual fee: $550
With the Delta SkyMiles card, you’ll earn 60,000 bonus miles plus 10,000 qualification miles if you spend $4,000 during the first 3 months you have the card. You’ll earn 3 miles for every dollar you spend with Delta, up to $150,000. After you spend $150,000, you’ll get 1.5 miles for every dollar. There will be no baggage fees for your first checked bag.
How to Apply for a Business Travel Credit Card
It’s easy to apply. Just take these steps:
- Go to the websites we’ve listed here. Look at the features of the listed cards, but surf the site and see if there’s a similar card that better suits your needs.
- Complete an application that requires you to provide your income details. The credit card company will then assess your creditworthiness.
- Your creditworthiness will determine the APR rate – low, someplace in the middle, or high.
- Many times card companies offer a special sign-up bonus on account opening.
- Once you’ve received a card, take the steps to activate it.
What is the best credit card for business travel?
Business travelers have different needs. There’s the salesperson who routinely flies and rents a vehicle, for example. Or there’s the small business owner who drives to make sales calls or pick up products.
We choose Chase Freedom Unlimited for its flexibility. You can earn 5% cashback on travel, which includes airfare and rental cars, plus 5% back on gas purchases.
Explore our card descriptions to find the card that best suits your business needs. For instance, if you are located in Atlanta and often travel, a Delta Skymiles card would be a practical choice since you’ll be departing from a Delta hub. Alternatively, if you are interested in an annual cashback match, consider the Discover IT card.
Can you use business credit card points for personal travel?
Yes. But you shouldn’t try to write off personal travel as a business expense.
If you choose to use your points for personal travel, you are reducing the credit available for your business purchases.
Do corporate travel cards affect credit score?
No, a business credit card doesn’t affect your personal credit score. But, if you default on the amount owed and/or make late payments, that will affect your ability to obtain loans for the business.
If you have a poor personal credit score, it’s a good practice to get a pre-paid or deposit secured credit card. You’ll use that card only for business, but by making regular payments on time, you’ll begin to improve your personal credit score. And by only using it for business, you’ll have an accurate account of expenses and costs.
Do I have to tell my business credit card company when I travel?
It’s a great practice to do so. A credit card company gets “used” to your purchases. When something unusual crops up – such as a gas fillup in another state – your card may be flagged. To avoid this type of problem, make it a point to provide travel start and end dates.
Image: Depositphotos
More in: Credit Cards, Small Business Travel
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