Are All Small Business Credit Cards Created Equal?

As a small business owner, there may come a point when you realize that your financial situation is not as clear as it could be.

While not required to reach your goals, don’t be surprised if you come to find that a small business credit card is exactly what you need.

If you find yourself learning more about this financial tool, here’s something to remember: there are hundreds upon hundreds of offers to choose from.

You don’t want to fall into the trap of believing that all small business credit cards are the same. Even when two offers appear similar, digging into the finer details is likely to turn up a different story.

Here are several ways in which small business credit cards differ:

• Interest rate. This is one of the most important details to consider, as it will have a big impact on your company’s finances if you carry a balance from month to month. As a general rule of thumb, you want to secure the credit card with the lowest interest rate.
• Rewards program. There’s no better feeling than earning points for the money you spend on your credit card. The right rewards program can work in your favor over the long run, as the points you accumulate can be redeemed for everything from cash to travel (depending on the program).
• There are small business credit cards that don’t have many fees, as well as those that are bogged down by these. For example, some offers have a large annual fee (possibly as high as $500). Others charge a fee if you use your card outside of the United States. Be sure to check on this detail before making a final decision. You may be shocked (either in a good way or bad way) at what you find.

These are the types of details that prove that no two small business credit cards are exactly the same. As long as you choose the right one for your company, you’ll feel good about using it as necessary.