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The 5 best business credit cards with no annual fee for December 2024
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Business credit cards with no annual fee are free to open, and the best ones offer extra benefits like a promotional 0% APR period, which can help you save money.
This article will list our top picks for no-annual-fee business credit card offers, the benefits of no-fee cards, and whether you should get one of these cards for your business.
5 best business credit cards with no annual fee
The Ramp Business Credit Card provides cashback on purchases and comes with no annual fee or foreign transaction fees. It offers integrated tools for expense management, including spend controls and automated reporting features. The card does not require a personal guarantee, and there is no preset spending limit, allowing for flexibility based on business needs.
Ramp also integrates with accounting software to help businesses track spending and simplify reconciliation. Its analytics tools provide detailed reports on financial activity, enabling businesses to monitor and control expenses effectively. The card is designed to support businesses in managing costs while earning cashback on their purchases.
The U.S. Bank Business Triple Cash Rewards World Elite Mastercard provides 3% cashback on eligible purchases such as gas stations, office supply stores, cell phone services, and restaurants, with 1% on other purchases. It includes a $500 bonus after spending $4,500 within the first 150 days and has no annual fee. The card offers 15 months of 0% APR on purchases and balance transfers, followed by a variable APR of 18.49% to 27.49%.
While the card offers elevated rewards for certain categories, businesses with diverse spending patterns may find the 1% rate on non-category purchases limiting. The variable APR can be on the higher side for cardholders who carry a balance after the introductory period. Additionally, the cashback structure may not suit businesses that prioritize flat-rate rewards over category-specific bonuses.
The Chase Ink Business Unlimited® Credit Card provides 1.5% cashback on all purchases, regardless of category. It has no annual fee and offers a $750 cashback bonus after spending $6,000 in the first three months. The card’s variable APR ranges from 17.74% to 23.74%, depending on creditworthiness.
The flat-rate cashback structure may not maximize rewards for businesses with significant spending in specific areas, such as travel or dining, where other cards may offer higher rates. Additionally, the card does not include an introductory 0% APR period, which could be a drawback for businesses looking to finance purchases over time.
The Capital One Spark Classic provides 1% cashback on all purchases with no annual fee and is available to businesses with fair credit. It offers standard features like fraud protection and the ability to issue employee cards without additional costs. The card is designed to help businesses build credit while earning consistent rewards.
The 29.99% variable APR is relatively high, making the card less suitable for businesses that carry a balance. Additionally, the 1% cashback rate is lower than many other business credit cards, which may limit its appeal to businesses seeking more substantial rewards on their spending.
The American Express Blue Business Plus provides 2X Membership Rewards® points on the first $50,000 spent annually, with 1X points thereafter. The card has no annual fee and offers features like purchase protection, extended warranty benefits, and the ability to spend above the credit limit with timely repayment.
While the rewards program allows for flexibility in point redemption, the higher earning rate is capped at $50,000 annually, which may not meet the needs of businesses with substantial expenses. Additionally, the lack of cashback rewards may not align with the preferences of businesses looking for immediate savings rather than points-based redemptions.
Summary of the best business credit cards with no annual fee
Should you get a business credit card with no annual fee?
When deciding on a business credit card with no annual fee, it's important to look beyond the absence of the fee. Here are key factors to consider to help determine if it's the right fit for your business.
Ongoing fees
Although no annual fee cards save you from an annual charge, be aware of other potential fees, such as:
- Foreign transaction fees: Some cards charge a fee (typically 2-3%) on international purchases. If your business operates globally, a card with no foreign transaction fees is essential.
- Late payment fees: Missing a payment can result in late fees and higher interest rates. Ensure you're aware of these costs and the card’s penalty APR before applying.
- Balance transfer fees: If you plan to transfer balances from another card, review the card’s balance transfer fee, which can be a percentage of the amount transferred.
Even though a card may have no annual fee, these other costs can add up, depending on your business's spending and payment habits.
Rewards
When choosing a no annual fee business credit card, it's essential to look closely at the rewards program, as it can significantly impact the card's overall value for your business. Different cards offer varying types of rewards, and the best choice depends on your spending habits and how you plan to redeem those rewards.
- How you earn: Some cards provide a flat percentage of cash back or points on all purchases, while others offer higher rewards in specific categories like travel, office supplies, or gas. Choose a card that matches your business’s main expenses to maximize your earning potential.
- How you redeem: Flexibility matters when using your rewards. Check if you can redeem points for cash back, statement credits, or travel. Some cards allow transfers to hotel and airline partners, which can add value if your business requires frequent travel.
- Limits on rewards: Some cards impose spending caps in bonus categories. After hitting the limit, you'll typically earn at a lower rate for the remainder of the year. Be aware of these limits to avoid earning less than expected.
Make sure the rewards structure fits your business’s spending habits and offers the most value for your typical expenses.
Credit score impact
Most no annual fee business credit cards require good to excellent credit, and applying for a card involves a hard inquiry on your credit report. Consider:
- Minimum credit score: Before applying, check the card's typical credit score requirement to avoid unnecessary inquiries. Most business cards require a score of at least 670 or higher.
- Credit utilization: Keep in mind that using a high percentage of your available credit can hurt your credit score. Consider whether the card's credit limit is high enough for your needs without negatively impacting your credit utilization ratio.
- Personal guarantees: Some business cards require a personal guarantee, meaning your personal credit score could be affected if you fail to pay off the card’s balance.
Be sure to assess how applying for and using a business credit card will impact your credit score in the long term.
Introductory offers
Some no annual fee business credit cards offer lucrative introductory offers to attract new cardholders. These can include:
- Sign-up bonuses: Many cards provide bonus points, cashback, or miles if you spend a certain amount within the first few months. Compare bonuses and their redemption options, but also consider if your regular spending will reach the required threshold.
- 0% APR periods: Some cards offer an introductory 0% APR on purchases or balance transfers for a limited time. If you need to make a large purchase or consolidate debt, this feature can save your business money in the short term.
While these introductory offers can provide significant value upfront, they are temporary. Make sure the card’s long-term benefits meet your ongoing business needs.
Benefits of a business credit card with no annual fee
Businesses of all sizes can enjoy several benefits from business credit cards without an annual fee. For one, it’s often easier for new businesses to qualify for these cards. Many of them are made for companies with recently established credit, so you won’t need an excellent credit history to apply.
Since the card doesn’t cost your business anything, getting and keeping a no-annual-fee card open is a great way to build a positive credit profile. You won’t need to worry about finding ways to offset the cost of the card. Instead of paying to qualify for future savings, you can earn cashback on purchases immediately.
Get a Ramp Business Credit Card with no annual fee
If you’re looking for a fee-free card for your business, consider Ramp. Our business credit cards come with no annual fees, late fees, card replacement fees, or interest. Plus, earn cashback on purchases.
All you need to sign up for Ramp is an EIN number attached to a registered business and at least $25,000 in a U.S. bank account for your business. We don’t need your SSN or business credit score. Plus, our e-commerce underwriting program may help you get a higher credit limit than a traditional credit card.
Ramp’s spend management software and real-time insights also help you manage business expenses and get control of your cash flow. We also empower employees to spend responsibly with customizable spend limits and vendor controls on unlimited free employee business cards.
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- The Ramp Business Credit Card is ideal for incorporated businesses
- Comes with automated expense management tools
- Provides 5% net savings on average
- Features AI-powered tools for detailed spending insights and cost-cutting recommendations
- Integrates seamlessly with accounting software to aid financial tracking and reporting
- No annual fees, foreign transaction fees, or card replacement fees
- Best for businesses aiming to streamline financial operations and enhance savings
- Offers 5% net savings on average through expense-cutting features
- No personal guarantee or credit check required for eligibility
- Automated expense management features like spending limits and receipt-matching
- Integration with accounting platforms including NetSuite, Quickbooks, and Xero
- Offers AI-powered cost-saving insights
- Unlimited physical and virtual employee cards
- Not available to sole proprietors or unregistered small businesses
- Requires $25,000 in a business bank account to qualify
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- 0% introductory APR on purchases and balance transfers for the first 15 billing cycles
- No annual fee
- Earns 3% cash back on eligible purchases at gas stations, office supply stores, cell phone service providers, and restaurants
- Earns 1% cash back on all other eligible purchases
- Provides a $500 cash back bonus after spending $4,500 in the first 150 days of account opening
- Tailored for small businesses, particularly those with fair credit that are aiming to build or improve their credit history
- Offers a 1% cashback on all purchases
- There's no annual fee, making it a cost-effective option for small business owners.
- Free employee cards, fraud coverage, and year-end summaries, which can be valuable for managing business finances and monitoring expenses.
- No annual fee
- Earns 1% cash back on all purchases
- Suitable for businesses with average credit
- Free employee cards and fraud coverage
- High APR
- Earns 2X Membership Rewards® points on the first $50,000 in purchases per year, then 1X point on all other purchases
- No annual fee
- 0% introductory APR on purchases for 12 months, then a variable APR of 18.49% to 26.49%
- Includes benefits such as extended warranty, purchase protection, and car rental loss and damage insurance
- No annual fee
- Offers a 0% intro APR for 12 months
- 2X points on first $50,000 per year
- Extended warranty and purchase protection
- No foreign transaction fees
- Points earning is capped after $50,000 in purchases per year
- High APR after the introductory period
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- Higher credit limits: Ramp offers credit limits up to 30 times higher than traditional business credit cards by evaluating factors like your company’s cash flow and bank balance, not your credit score.
- Expense controls: You can easily enforce company spending policies by setting limits on vendors, categories, or individual transactions. Ramp also flags out-of-policy spending automatically.
- Exclusive partner rewards: Ramp users can access over $350,000 in rewards and perks from major business partners, including discounts with companies like Amazon, UPS, and QuickBooks.
- Comprehensive financial platform: Beyond being a credit card, Ramp gives you access to a suite of tools, including expense management, financial reporting, and accounting integrations, all in one platform.
- Real-time spend visibility: Ramp gives you immediate insights into your company’s spending, allowing you to track and monitor expenses in real time, so you can make adjustments on the fly.
- Unlimited virtual cards: You can generate an unlimited number of virtual cards for your employees, each with custom spending controls, providing flexibility and added security for online purchases.
- Automated receipt matching: Ramp automatically matches receipts to transactions, reducing the manual workload for your team and helping ensure compliance with your company’s expense policies.
- Not available to sole proprietors: Only registered businesses are eligible to apply for Ramp.
- Requires cash-on-hand to qualify: Businesses must have at least $25,000 in a U.S. business bank to qualify.
The Ramp Business Credit Card is a top option for businesses that want to avoid paying an annual fee while keeping control over their finances. To qualify, all you need is an EIN and at least $25,000 in a business bank account—no credit check or personal guarantee required. Once you're approved, you can issue as many physical or virtual cards as your business needs, with no extra costs involved.
Ramp's business credit card comes with built-in expense management software, helping you streamline your business finances without additional effort. The card includes features like receipt matching, corporate travel management, automated expense reporting, and approval workflows. Additionally, Ramp’s AI-powered spending insights help identify areas where you can cut business spending, making it a comprehensive tool for managing your company’s financial health.
- No annual fee: Save money by avoiding annual fees while enjoying card benefits.
- 3% cashback on eligible purchases: Earn cashback on purchases like gas, office supplies, and cell phone services.
- Welcome bonus of $500 cashback: After meeting spending requirements, you can earn a generous cashback bonus.
- 3% foreign transaction fee: Additional costs when making international purchases.
- Late payment penalty APR up to 29.99%: High penalty APR for late payments.
- Rewards are capped: Cashback is capped at $50,000 in annual spending; beyond that, the rate may decrease.
- Cashback only in certain categories: Rewards are limited to specific spending categories.
- No annual fee: Access credit without additional costs.
- 1% cashback on all purchases: Earn unlimited cashback on every transaction.
- No foreign transaction fees: Useful for businesses with international expenses.
- Available to business owners with fair credit: More accessible approval compared to cards requiring excellent credit.
- High 29.99% APR: Significantly higher than average, costly if carrying a balance.
- Lower rewards rate: 1% cashback is lower than many competitors.
- Lower spending limits: May not meet the needs of businesses with higher expenses.
- Few additional perks or business tools: Limited extra benefits beyond basic cashback.
- No annual fee: Access Amex benefits without annual costs.
- 2X Membership Rewards points: Earn double points on the first $50,000 spent annually, then 1X points thereafter.
- Access to American Express benefits: Utilize Amex's expense management tools and customer service.
- 2.7% foreign transaction fee: Adds costs for international purchases.
- Points cap at $50,000 annually: After reaching the cap, rewards rate decreases.
- Limited flexibility for higher spending: May not suit businesses with spending over $50,000 per year.
- Few business-specific perks beyond points: Lacks extensive business management features.
