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How to Determine Which Capital One Business Credit Card is Right for Your Company
March 28, 2018
Capital-One

How to Determine Which Capital One Business Credit Card is Right for Your Company

March 28, 2018
When evaluating business credit cards, the key is to match the card with your business needs. Regardless of how good the rewards are on a particular card, if those rewards only apply to a certain purchase that you don’t often make, that card isn’t a good fit for you. One way to determine a good fit is to evaluate business credit cards based on their perks, fees, and qualifications.

Once that’s done, it’s a simple matter of analyzing your spending habits and figuring out what’s available so you can apply for the card that will provide maximum value. To get started, let’s examine the business credit cards offered by Capital One. In this post, we’ll break down five Capital One business credit cards that tend to make a good fit for small business owners.

Capital One Spark Cash for Business

If there’s one thing to note about the Spark Cash for Business card, it’s that it provides immense flexibility. With this card, you’ll get:

  • No categories to limit your purchasing (so you get cash back on everything).
  • Unlimited two percent cash back.
  • One-time $500 cash after you spend $4500 within 3 months of opening the account.
  • No annual fee for the first year.
  • Redeem cashback in any amount.
  • Rewards that never expire as long as the account is open.
  • Ability to add employee cards at no cost.

Fees

The Spark Cash card carries a $95 annual fee after the first year of opening the account.

Qualifications

Applicants must have excellent credit. According to the Capital One website, “excellent credit” means you’ve never declared bankruptcy, defaulted on a loan, been more than two months late on a bill or loan, and you’ve had a loan or credit card with a limit above $5000 for three years or more.

Capital One Spark Cash Select for Business

The main difference between the Spark Cash Select and the Spark Cash is that the Select offers a slightly lesser rate on cash back rewards at 1.5 percent. However, with the Select, there’s no annual fee, you get a 9-month zero APR period, and your APR is usually slightly lower. The perks break down as follows:

  • No categories to limit your purchasing.
  • Unlimited 1.5 percent cash back.
  • One-time $200 cash after you spend $3000 within 3 months of opening the account.
  • No annual fee.
  • Rewards never expires as long as the account is open.
  • Ability to add employee cards at no cost.
  • 0 percent APR for a 9-month introductory period.

Fees

The Spark Select carries no annual fee.

Qualifications

The Spark Cash Select Business card requires an excellent credit rating.

Capital One Spark Classic for Business

The Spark Classic is a bare-bones business credit card that’s very accessible for small business owners of all types and credit histories. If your credit history is less than perfect, and you’re struggling to find a card you qualify for, this may be the one. Perks include:

  • No annual fee.
  • One percent cash back on every purchase.
  • Fraud coverage for lost or stolen cards.
  • No foreign transaction fees.

Fees

The Spark Classic carries no annual fee.

Qualifications

Applicants must have average credit. According to the Capital One website, “average credit” means you either defaulted on a loan in the past five years or have a limited credit history (less than three years).

Capital One Spark Miles for Business

For the small business owner that travels frequently, there’s the Capital One Spark Miles for Business. Perks include:

  • Two miles earned for each dollar spent on purchases.
  • One-time bonus of 50,000 miles after spending $4500 within three months of account opening.
  • Miles never expire as long as the account is open.
  • No fee for the first year.
  • No limit to the number of miles earned.

Fees

The Spark Miles card carries a $95 annual fee after the first year.

Qualifications

The Spark Miles for Business card requires an excellent credit rating.

Capital One Spark Miles Select for Business

The main difference between the Spark Miles Select and the Spark Miles is that the Select offers a slightly lesser rate on miles at 1.5 miles earned for every dollar versus 2 miles per dollar. However, with the Select, there’s no annual fee and you get a 9-month zero APR period. The perks break down as follows:

  • 5 miles earned for each dollar spent on purchases.
  • One-time bonus of 20,000 miles after spending $3000 within three months of account opening.
  • Miles never expire as long as the account is open.
  • No annual fee.
  • No limit to the number of miles earned.
  • 0 percent APR for a 9-month introductory period.

Fees

The Spark Miles card carries no annual fee.

Qualifications

The Spark Miles Select for Business card requires an excellent credit rating.

Conclusion

All the cards mentioned above carry fees for cash advances and late payments. If you plan on using a cash advance, you can expect to pay the greater of $10 or 3 percent of the amount of each cash advance. Further, a late payment will cost you up to $39 in late fees.

Ideally, you won’t have to pay either of these fees. In fact, to make any of these cards work to your advantage, you want to avoid any extra costs like interest or fees. Make payments on time and in full, and choose the card that provides the best rewards for what you spend money on. Do that, and you’ll get the biggest bang for your buck when it comes to business credit cards.

Editorial Note: Any opinions, analyses, reviews or recommendations expressed in this article are those of the author's alone, and have not been reviewed, approved, or otherwise endorsed by any of these entities.

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