With all kinds of rewards programs and other benefits, it makes sense for small business owners to take the time to shop for the best credit card for their business.
American Express Business Gold Rewards Card
Annual fee: None for the first year; $180 after that
Interest rate: This is a charge card, not a credit card; it needs to be paid in full each month. Interest is 30 per cent when the card is not paid on time.
Credit limit: Adjusts according to your spending patterns.
• Bonus of 25,000 rewards points if you charge $3,000 in purchases during first three months.
• One membership rewards point for every dollar in purchase (no cap or expiration date).
• Annual thank-you bonus of up to 40,000 points a year, depending on amount charged.
Tip: American Express Travel Emergency Assistance is a strong selling point for frequent travellers.
BMO Premium CashBack MasterCard for Business
Annual fee: $69, plus $5 for each employee card.
Interest rate: 19.9 per cent. Low-rate option: 12.9 per cent for $50 a year.
Credit limit: $1,000 minimum
Features: 1 per cent cash back on every purchase as an annual credit. Up to 3 per cent for certain retailers.
Tip: You get free membership in basic BMO Roadside Assistance program (includes battery boosts, flat tire changes).
Capital One Aspire Cash World MasterCard
Annual fee: None
Interest rate: 16.8 per cent plus prime on purchases, balance transfers and cash advances.
Credit limit: $5,000 to $15,000 (depending on factors such as credit status)
Features: 1 per cent cash back (plus extra 50 per cent of cash rewards earned each year), $100 bonus for first purchase.
Tip: Employee and supplemental cards are free, and earn the same cash rewards.
CIBC Aerogold VISA Card for Business
Annual fee: $180
Interest rate: 12.99 to 18.99 per cent for purchases (depending on credit status), 14.5 to 21.5 per cent for cash advances, balance transfers and Convenience Cheques.
Credit limit: $5,000 minimum.
• Earn 1 Aeroplan Mile for every dollar charged, redeemable for reward travel on Air Canada and its travel partners.
• Earn 1.5 Aeroplan Miles for every dollar spent on travel-related expenses at certain merchants.
• Welcome bonus of 15,000 Aeroplan Miles when you use the card for the first time.
Tip: This card has three different interest rates, depending on the card holder’s credit status, making it a great option for those with good credit.
RBC Visa Platinum Avion
Annual fee: $120
Interest rate: 19.99 per cent for purchases, 21.99 per cent for cash advances.
Credit limit: Minimum $1,000; no set maximum limit.
• Earn 1 point for each $1 spent, extra reward points for purchases at select vendors.
• Receive 15,000 bonus points on sign-up.
• RBC points may be freely exchanged for WestJet dollars, Asia Miles, Avios Points or American Airlines AAdvantage miles.
Tip: For cardholders who travel less frequently, reward points can be used for other items.
TD Business Travel Visa card
Annual fee: $149
Interest rate: 19.99 per cent on purchases, 21.5 per cent on cash advances.
Credit limit: $1,000 minimum.
• Three TD points for every dollar spent.
• Allows you to redeem for any travel expenses you charge to the card including air, package, hotel, car rental, train.
• Points do not expire as long as you remain a cardholder.
• 30,000-point welcome bonus.
Tip: TD recommends booking travel online through Expedia TD, which is optimized for TD Visa cardholders.