Business Credit Cards

Moneyfacts Star Ratings

For over 30 years Moneyfacts has analysed financial products and the Moneyfacts Star Ratings are the badge of quality for the retail financial industry. Every year, impartial Product Experts assess the features of financial products to identify the very best available in the market.

When looking at products a number of factors are taken into consideration. These include how many features a product has and whether it has any additional benefits, optional extras or add-ons that make it stand out from the rest of the products on the market.

The Moneyfacts Star Ratings for Business Credit Cards are based on the weighting of specific product features, that are likely to be the most relevant to those businesses looking to take out a card.

A considerable number of features will add to the final score, and some of this information includes:

Click the headings below to see the full list of star ratings awarded.

Business credit cards explained

Our preferred invoice finance broker can help you to compare the options. Businesses that need credit for larger purchases can compare business loans.

Business credit cards can be used to manage employee expenses too. This provides an audit trail of spend and can include spending limits to help control costs. And, those businesses with members of staff that need to travel abroad or conduct business internationally can look for a business credit card with reduced foreign exchange fees. Businesses with large and frequent international transactions or for those operating in multiple jurisdictions then a specialist foreign exchange broker may be more financially beneficially. 

• Manage your cashflow with an interest free period
• Easy to track spending and review business expenses
• Separate personal and business costs for easier accounting
• Convenient way to purchase goods for your business, online and in store
• Remove the need for petty cash – easy to track and no need for reimbursement
• Easy for purchases internationally or expenses abroad
• Build the credit score of your business
• Some business credit cards offer cashback and rewards

You should start by comparing business credit cards on our chart above. The key things to compare are each card’s APR, annual fee, any cashback or rewards, associated costs and the interest-free grace period, as well as if there are any introductory 0% deals on offer. 

Next, you can apply for the card with your preferred credit card lender. In some cases you’ll need to be an existing business banking customer with the brand, but not always, so make sure to check the criteria before you apply. Alongside that, make sure you meet all other eligibility requirements – some lenders have minimum annual turnover requirements and others have different cards for different kinds of businesses, so it’s important to check where you stand.

You can typically apply online or over the phone and will be expected to answer some questions about the business, its turnover (or expected turnover), financial information and the kind of credit limit you’re hoping for, together with the names of any additional cardholders. You’ll likely be expected to provide copies of bank statements and related financial and personal details, including tax statements.

The lender will then perform a credit check on your business – and sometimes a personal credit check too – and will offer you a deal accordingly, with a higher credit score meaning you’ll be eligible for better interest rates and potentially a higher credit limit. Your application will then be approved or declined and, if it’s the former, you’ll be sent your new card(s), usually within five to 10 working days. You can check your personal credit score for free.

Yes, but it’s not advisable because you need to be able to identify and track those items that are for your business use only to complete your company accounts. A separate card and account make this more straight forward and simple. 

If you have employees, then sharing your personal credit card is also a security risk and if misused could impact your credit score. 

The route to getting a business credit card is largely the same whether you’re a new business or a more established one, the main differences being in terms of the information you’ll be expected to provide, and the credit check process.

As a new business you won’t have any evidence of turnover, cashflow or trading history, so you’ll instead have to provide estimates, and will likely have to show a business plan as well. Similarly, your business won’t have built up its own credit score yet which means your personal score will come under greater scrutiny. It’s therefore wise to check your credit score ahead of time and see if you can make any improvements.

It’s also more likely that you’ll be asked to provide a personal guarantee, which states that you’ll be personally liable for any debts should your business default on the repayments. This may not always be required, and in some cases may be required even if you’re an established company, but it’s worth bearing in mind if you’re a new business. If you’re still in the early stages, find out more about how to start a small business in the UK.

You can, though it will be more difficult to source suitable options. It’s likely that you’ll only be eligible for cards that come with a higher interest rate and/or lower credit limit, while additional features may be limited and you’re more likely to be asked for a personal guarantee. You should ideally seek providers that offer an eligibility checking tool prior to making a full application – this will give you an indication of whether or not you’ll be accepted without running a full hard search on your credit profile, and so won’t show up on your report or impact your score. 

Don’t make the mistake of applying for a lot of cards, either; not only will each hard enquiry dent your score, but if you’re refused it’ll have an even greater impact that can be harder to recover from, so only apply for a single card you’re confident you’ll be approved for.