Key takeaways

  • While many major card issuers offer popular business cards, picking a card from a lesser-known issuer has its advantages.
  • For example, some of the cards we selected don’t require a personal guarantee, and many of them tend to offer higher credit limit potential than other business cards.
  • Before choosing a business card, compare your options to see which one would work best for your business' needs and spending habits. Pay special attention to annual fees, hidden fees, eligibility requirements and card perks.

Having a business credit card or charge card can make life considerably easier since it lets you track all your business-related spending in one place. You may also earn cash back or other types of rewards on every purchase your business makes. Plus, many business cards for start-ups, sole proprietors and corporations offer card perks like free employee cards and travel insurance.

But which business card should you choose? If you’re in the market for a business credit card, you may be wondering which popular cards are out there and which ones you may be missing out on. You may even wonder if some of the lesser-known business cards are worth checking out, even if they’re not offered by major issuers.

With that in mind, below are some hidden-gem business cards you may not know about, along with a rundown of their major perks and features.

Hidden-gem business cards

Karat Card: Best for digital content creators and influencers

  • Welcome offer: N/A
  • Rewards rate: 1X to 3X points per dollar spent in eligible choice categories
  • Annual fee: $0

The Karat Card*, which is a charge card, is geared toward online content creators, from podcast hosts to social media stars. For instance, the card includes social followers in its underwriting process, so you may be approved for a higher credit limit based on your cash flow and social stats. This card also comes with no annual fee, along with the ability to upgrade to Karat’s bookkeeping services (for an additional fee), Karat Books.

Additionally, the Karat Card does not have a set rewards system. Instead, cardholders can choose from eligible rewards categories, which can be changed twice a year based on spending. From there, cardholders can earn 1X to 3X points per dollar spent.

Brex 30 Card: Best for high credit limit potential

  • Welcome offer: Earn 10,000 points when you spend your first $1,000 on your Brex card, another 10,000 points when you spend $3,000 within three months of account opening and 20,000 more points when you link payroll to your Brex account
  • Rewards rate: Up to 8X points for payments made daily, and up to 7X points on eligible purchases with monthly payments
  • Annual fee: $0

The Brex 30 Card is a charge card, which means the balance needs to be paid in full each month. Either way, there is no personal guarantee for this business card, and there is no annual fee. This card also offers the potential for a high credit limit.

Business owners who choose this card can also get unlimited free employee cards and earn rewards on all their business-related purchases. Specifically, cardholders earn up to 8X points for payments made every day and up to 7X points on eligible purchases with monthly payments.

BILL Divvy Corporate Card: Best for maximizing rewards

  • Welcome offer: N/A
  • Rewards rate: 2X to 7X on restaurants, 2X to 5X on hotels, 1.5X to 2X on recurring software subscriptions and 1X to 1.5X on all other purchases (based on how often you pay off your bill)
  • Annual fee: $0

The BILL Divvy Corporate Card, which is also a charge card, comes with perks like no annual fee, free employee cards and unlimited virtual card numbers. Cardholders can also integrate their account with Divvy expense management software, and they can set up enforceable budgets for every card tied to their account. Credit lines can also be for up to $15 million, so this card is geared toward both small businesses as well as larger corporations.

This business card also lets you boost your rewards rate when you make frequent payments. For example, cardholders who pay off their balance monthly will earn 2X points on restaurant and hotel spending, 1.5X points on recurring software subscriptions and 1X points on other purchases. However, businesses that pay off their balance weekly earn 7X points on restaurant spending, 5X points on hotels, 2X points on recurring software subscriptions and 1.5X points on other purchases.

Capital on Tap Business Credit Card: Best for carrying a balance

  • Welcome offer: $200 cash back after you spend $15,000 in the first three months of account opening
  • Rewards rate: 1.5 percent cash back on all purchases
  • Annual fee: $0

The Capital on Tap Business Credit Card lets business owners earn cash back and enjoy credit limits of up to $50,000 (based on creditworthiness). All purchases earn 1.5 percent cash back, and new cardholders can earn a $200 cash bonus after they spend $15,000 on purchases within three months of account opening. No annual fee is required, and there are no foreign transaction fees on purchases made abroad.

The interest rate for this card (17.74 percent to 35.99 percent variable APR) can also be lower than the average credit card rate, based on creditworthiness, so this might be a good card to consider if you have good credit and need to carry a balance from time to time.

How do business credit cards work?

Business credit cards are similar to personal credit cards in that they extend a line of credit you can borrow against. However, business credit cards are for small businesses, sole proprietorships and entrepreneurs, and they are meant for business-related purchases and spending only.

With this in mind, there are many benefits that come with having a business credit card. For example, business cards can help you track your business spending and stay organized for tax purposes, and they also typically offer rewards and a number of business cardholder perks.

Is a business credit card right for you?

One of the main reasons all types of business owners sign up for a business card is to gain access to all the perks that come with them. This includes business owners who have hundreds of employees all the way down to solopreneurs who just want a way to keep their business and personal spending separate.

While major card issuers like Chase and American Express offer some of the top business credit cards today, picking a card from a lesser-known issuer has its advantages. For example, some of the cards we selected don’t require a personal guarantee, and many of them tend to offer higher credit limits than other business cards.

How to choose a business credit card

To find the best business credit card for your needs, you should:

  • Look at your spending habits. Figure out what your business spends the most on, and look for a card that offers bonus rewards in your top spending categories.
  • Compare annual fees and other fees. Compare business credit cards based on their annual fees, and make sure to check for hidden fees like foreign transaction fees.
  • Determine your ideal credit limit. Figure out how much your business spends every month and every year. Then, take a look at some of the best high-limit business credit cards.
  • Check for eligibility requirements. Check if the cards you’re considering require a personal guarantee or have a minimum credit score requirement. Also, look for business credit cards that let you get prequalified online without any impact on your credit score.
  • Choose the card that has the benefits and features you want the most. After all these factors are considered, select a business card that has the perks, features and rewards that make the most sense for your business.

The bottom line

While top business cards from American Express, Capital One and Chase have plenty to offer, it never hurts to think outside the box. When you do, you’ll find that some business cards you might not know of come with exceptional rewards programs and higher credit limits than you’ll find elsewhere.

By comparing all the business cards available to you and seeing how they align with the needs and goals of your company, you can get a business card that can help you take your business to the next level.

*All information about the Karat Card has been collected independently by Bankrate and has not been reviewed or approved by the issuer.