Best 5 Small Business Credit Card In India 2024
The right small business credit card can dramatically simplify the lives of business owners and startups, improving cash flow and earning rewards at the same time.? These credit cards are optimized for small business use, and some of the features include cashback on purchases you make often, free miles on travel expenses, envelope-style tracking tools to manage expenses easily at a very small cost per month, employee card options based on how well you know your employees. The right small business credit card can lower the cost of doing day-to-day business and provide access to short-term but important financing to improve overall financial management.?
In this post, we will discuss the best business answers, better personal credit cards, what they offer, and how they can help you in growing your range.
List of Top Small Business Credit Cards?
1. SBI Prime Business Credit Card
The SBI Prime Business Credit Card was created to meet the financial demands of small business owners. This card earns users 10 reward points for Rs. 100 spent on utility bills, travel, and meals, as well as 2 reward points on other categories, which makes it suitable for everyday business spending. The card provides free access to domestic airport lounges, which adds value for frequent workers. Additionally, business owners can receive a milestone bonus of up to Rs. 7,000 per year for spending Rs. 3 lakh and Rs. 5 lakh, as well as cost waivers on fuel surcharges at all petrol pumps in India. The card also provides greater security with an EMV chip and allows for easy tracking of staff spending by providing add-on cards.
2. AMEX Platinum Travel Credit Card
The AMEX Platinum Travel Credit Card is a great fit for entrepreneurs providing a variety of travel and lifestyle benefits that can elevate both their personal and professional lives. The card is a travel-centric credit card with accelerated rewards to earn 5,000 Membership Reward points on spending Rs. 1.90 lakh in a year and also enjoy a Travel Voucher worth Rs. 7,700 on reaching spends of Rs.4 lacs annually You will also have access to 31 domestic airport lounges that can help business owners to travel with more than comfort. In partnership with an online travel platform, the card also provides special offers on accommodation, booking, and flight tickets to help customers spend less on business travel. In addition to this, 0% interest on EMIs and flexible repayment options also ensure better cash flow management for small businesses.
3. Kotak Corporate Platinum Credit Card
The Kotak Corporate Platinum Credit Card is designed to aid new business starts by providing crucial features for managing money and optimizing operational expenses. This card enables entrepreneurs to simplify their spending with thorough expense records and monitoring capabilities, allowing business owners to maintain control over their cash flow. One of its noteworthy features is the option to issue add-on cards to employees, allowing for centralized payment of business-related expenses while receiving rewards on each transaction. Businesses can save money on key expenses by receiving up to 1.5% cashback on particular groups such as office supplies, travel, and meals. The card also waives fuel surcharges and provides availability of airport lounges, adding value for firms that require travel.
4. IndusInd Bank Corporate Card
The IndusInd Bank Corporate Card offers a host of advantages for the small business owner, assisting in transaction and expense management automation and optimizing efficiency. Businesses can keep track of what they spend on and when, thus keeping a tab on extravagant spending and staying within the budget, leading to better financial planning. The card also enables multiple stakeholders to apply for add-on cards, making it a suitable mode of payment for business transactions such as travel, office supplies, and utilities. Moreover, small businesses can get cashback offers and other travel benefits like airport lounge access, fuel surcharge waivers, etc, which can help them save on their operational expenses. EMI options help businesses to make large purchases without affecting cash flow. Besides, the IndusInd Corporate Card has been packed with security features such as chip and PIN protection to ensure safety.
5. Citi Corporate Credit Card
The Citi Corporate Credit Card is programmed to provide an assortment of welcome benefits and managing-expense aids that pervade small businesses; the card gives their renovators a common edge. As soon as it is issued, business owners can take advantage of a welcome offer that includes exclusive deals on travel bookings, office supplies, and dining. Business expenses are accurately recorded and categorized, which can help business owners keep track of spending, manage budgets, or just find the best way for more cost-effective alternatives. Citibank has also embedded the new Citi Corporate Credit Card with complimentary access to domestic lounges and travel insurance benefits, which should suit various business cases, especially during these efforts to expand or frequent business travels.?
Small Business Credit Card Features & Benefits
The following are some of the most significant features and benefits of small business credit cards, each with an explanation:?
1. Expense Management & Tracking Tools: Small business credit cards frequently include comprehensive tools for tracking and managing expenses, which let business owners categorize and monitor spending. These tools also give real-time reports and statements, which make it easier to identify business costs and manage budgets. Finally, small business credit cards allow business holder's to establish limits on employee cards, monitor their spending, as well as automate expense reports.
2. Reward Programs & Cashback: The most appealing advantage of small business credit cards is their reward program, which allows business owners to collect points, miles, or cashback for purchases made with the card. Special categories for many of these cards include bonus rewards points when spending on office supplies, gas, or utilities, common costs in running a business, in addition to categories like travel.?
3. Fraud Alerts & Insurance: A few small business credit card accounts offer built-in insurance and warranties such that the company is protected whether there is fraudulence or maybe in case the product is damaged. In addition, fraud alerts and purchase insurance help secure unapproved transactions the minute they occur, shielding the business from financial harm.
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4. Build Business Credit: Responsibly using a small business credit card is a great way to build your company's credit score. When the business successfully pays off its balance on time and maintains a low credit utilization rate, this enhances its credit profile, making it more likely that it will be approved for larger future business loans or lines of credit. It also helps a lot in renegotiating better vendor and supplier terms through a robust business credit score.?
5. Employee Cards: The majority of small business credit cards come with the option to provide extra cards to workers, each with their spending limits. This feature helps you centralize and control employee-related costs, like travel, dinners with clients, or supply purchases, without having to worry about reimbursements. Centralized spending also makes it simpler to keep track of total company expenses, lowers the possibility of misuse, and offers a smooth method of managing business operations.?
6. Working Capital & Short-Term Financing: For the new business, this type of credit is an important way to manage cash flow and have a revolving line of credit. Providing credit buying and repayment facilities acts as a stopgap to alleviate near-term cash strain. A few cards have an APR of 0% for purchases and balance transfers by which businesses can spread out relatively high costs over a long period of time without incurring interest.
Small Business Credit Card Eligibility Criteria
Companies must meet eligible standards to apply for a small business credit card. Here are the typical requirements that have been briefly explained;
1. Registered Business Entity: Applicants must have an incorporation document and a real active business. This could be in the skin of a sole proprietorship, partnership, limited liability company (LLC), or corporation. The cards also will look at freelancers, and even some independent contractors if they report business income.
2. Personal Credit Score: Most issuers will look at your personal credit history, so business owners should generally have a personal credit score of about 650 or higher. Small businesses, especially startups, may not have a long business credit history so the personal credit of the owner is important in getting approval.
For business revenue & financial stability: You are usually required to meet a minimum level of annual revenue per card. They also may review business financial statements to determine how creditworthy the company is and whether it can pay off debts. Two-half-one funds with consistent cash flow are more likely to be approved on the same day.
Time in Business: Some issuers might require your business to have been operating for at least 6 months to a year. Startups with no operational history will encounter more strict reviews, but if a startup is backed by a substantial personal credit history, it should still be able to get approved.
Documents Required
How To Compare Small Business Credit Cards & Choose The Best One?
While finding the right small business credit card in India, it is important to consider different points, such as whether the card sits in line with your spending habits, growth plans, and financial needs of your company. Let us take a detailed look that can help you compare and pick the best small business credit card in India.
Conclusion
In conclusion, a small business's special needs and spending patterns ultimately determine which credit card is ideal for them. Features like rewards structure, yearly fees, interest rates, and other perks like travel benefits, spending management tools, or employee card alternatives play a key part in optimizing value. Regardless of your company's preference for flexible credit limits, cashback, or reward points, selecting a credit card that matches your needs both operationally and industry-specific can pay off handsomely. Small businesses can maximize cash flow, manage spending effectively, and unlock substantial benefits that support their continued success by carefully evaluating cards according to these factors.
FAQs
Q1. Which credit score is required to be eligible for a business credit card??
Ans: The majority of business credit cards demand approval on strong to outstanding credit. Generally speaking, a score of 700 or more is good. A score of 800 or more is regarded as exceptional. Small business owners with fair credit can apply for a few different business credit cards. The range of 640 to 699 is considered fair credit.?
Q2. Can one easily obtain a company credit card??
Ans: In most cases, personal credit is a need for getting an unprotected business credit card. Most lenders will want exceptional or very good credit. If, however, you have no credit history at all, you may need to apply for a personal credit card first, raise your credit score, and then get a business credit card.?
Q3. In India, who qualifies for a small company credit card??
Ans: A small business credit card can be applied for by entrepreneurs, business owners, and independent contractors who have registered enterprises (LLPs, partnerships, sole proprietorships, and private limited corporations). Revenue from the firm, stability in finances, and high personal credit scores are typically taken into account.?
Q4. Which fees are usually attached to credit cards for small businesses??
Ans: There may be annual fees, penalty costs, foreign transaction costs, and fees for additional worker cards associated with small company credit cards. Some cards provide low or nil annual fees, whereas premium cards with more advantages can charge higher annual fees.