Editor’s note: This is a recurring post with regularly updated card details.
If you’re a sole proprietor, it’s likely your expenses range across several spending categories. For that reason, you should consider business credit cards that pay fixed-rate rewards. Cards like these typically free you of annual fees, provide cheap introductory financing, and pay out big when it comes to sign-up bonuses—all benefits we believe can help get your business off the ground.
The best sole proprietorship business credit cards are:
- Chase Ink Business Unlimited®: Best overall for 1.5% cash back and a sign-up bonus
- American Express Blue Business CashTM Card: Best for a high fixed-rate cash back return
- American Express Blue Business® Plus: Best for earning 2x points per dollar
- U.S. Bank Business Platinum Card: Best for no-interest financing on purchases and balance transfers for 15 billing cycles
- Capital One® Spark® Classic for Business: Best for fair credit (580 to 669)
Chase Ink Business Unlimited®: Overall Best Sole Proprietorship Business Credit Card
Ink Business Unlimited® Credit Card
BEST FOR
Pocketing 1.5% cash back on every single purchase
- Earn $750 bonus cash back after you spend $7,500 on purchases in the first 3 months from account opening
- Earn unlimited 1.5% cash back on every purchase made for your business
- No Annual Fee
- Redeem rewards for cash back, gift cards, travel and more through Chase Ultimate Rewards®.
- Earn rewards faster with employee cards at no additional cost. Set individual spending limits for greater control.
- With Fraud Protection your card transactions will be monitored for possible signs of fraudulent activity using real-time fraud monitoring.
- With Zero Liability you won't be held responsible for unauthorized charges made with your card or account information.
- 0% introductory APR for 12 months on purchases
Pros
- 0% APR on purchases
- Unlimited cash back rewards on all purchases
Cons
- Introductory APR period doesn’t apply to balance transfers
- 5% balance transfer fee
- Auto rental collision damage waiver: Coverage is primary—meaning it replaces any coverage your personal insurance might offer—when renting for business purposes; it provides reimbursement up to the actual cash value of the vehicle for theft and collision damage for most cars in the US and abroad
- Purchase protection: Covers your new purchases for 120 days against damage or theft up to $10,000 per claim and $50,000 per account per year
- Extended warranty protection: Extends the time period of the US manufacturer’s warranty by an additional year on eligible warranties of three years or less
Why we like it: As an expert who’s evaluated nearly every card on the market, I’m confident in saying that Chase Ink Business Unlimited® stands out because of its perfect mix of offers and features. It combines a sign-up bonus, fixed-rate rewards, and cheap introductory financing. Fixed-rate rewards are typically a smart approach as your expenses may spread across a variety of reward categories. You can count on unlimited 1.5% cash back.
Not only can you expect rewards on every purchase, but this business credit card also gives you a shot at earning hundreds of dollars through a sign-up bonus. If you typically spend at least $1,000 per month, then you’re set up to cash in on that bonus. In my mind, sign-up bonuses are a handy way to earn extra cash you can use to get your sole proprietorship up and running.
This card also offers exceptional value through an interest-free financing period. You can finance purchases for 12 months with no interest. Skipping past interest for 12 months is the perfect way to make necessary purchases for your sole proprietorship now that you can repay later.
American Express Blue Business CashTM Card: Best for Earning High Fixed-rate Rewards
American Express Blue Business Cash™ Card
BEST FOR
Earning 2% cash back every time you swipe and 0% introductory APR for 12 months
- Earn a $250 statement credit after you make $3,000 in purchases on your Card in your first 3 months.
- Earn 2% cash back on all eligible purchases on up to $50,000 per calendar year, then 1%. Cash back earned is automatically credited to your statement.
- From workflow to inventory to floor plans, your business is constantly changing. That’s why you’ve got the power to spend beyond your credit limit with Expanded Buying Power.
- Just remember, the amount you can spend above your credit limit is not unlimited. It adjusts with your use of the Card, your payment history, credit record, financial resources known to American Express and other factors.
- 0.0% intro APR on purchases for 12 months from the date of account opening, then a variable rate, 13.24% - 19.24%, based on your creditworthiness and other factors as determined at the time of account opening.
- No Annual Fee
- Terms Apply
Pros
- No interest for 12 months
- Earn consistent 2% cash back rewards on every purchase
Cons
- Offers no cash sign-up bonus
- 2% cash back category is capped at $50,000 in annual spending
- Extended warranty protection: American Express provides up to an additional year of coverage on warranties of up to 5 years. Coverage is limited to $10,000 per occurrence and $50,000 per account each year.
- Purchase protection: The issuer will repair, replace, or reimburse you for an item purchased with the card that was damaged or stolen within 90 days of purchase. Coverage is limited to $1,000 per occurrence and $50,000 per account each year.
- Baggage insurance: If your luggage is damaged or lost when you travel on a common carrier, such as a plane, trip, ship, or bus, American Express will reimburse you for losses not covered by your own personal insurance.
Why we like it: It’s pretty common for sole proprietors to have expenses that range across a variety of spending categories, such as gas stations, office supplies, and even dining or groceries. Using a card like the American Express Blue Business CashTM Card that pays the same rewards rate on every purchase is a quick fix for maximizing your rewards 24/7. You’ll earn the highest fixed-rate rewards on our list at 2% cash back on up to $50,000 annual spending.
This card also provides an interest-free financing period for 12 months on purchases, making it a solid startup business credit card too. What stands out about this card is the fact that most cards that offer this financing and 2% cash back rewards usually will tack on annual fees close to $100. This card charges no annual fee.
Tip: After the introductory period ends, any unpaid balances, whether above or below your limit, will be charged interest until you repay it fully. Only spend what you know you can afford.
American Express Blue Business® Plus: Best for Fixed-rate 2x Points Rewards
The Blue Business® Plus Credit Card from American Express
BEST FOR
Pocketing 2x points per $1 and 0% introductory APR for 12 months
- Earn 15,000 Membership Rewards® points after you spend $3,000 in eligible purchases on the Card within your first 3 months of Card Membership.
- Earn 2X Membership Rewards® points on everyday business purchases such as office supplies or client dinners. 2X applies to the first $50,000 in purchases per year, 1 point per dollar thereafter.
- You’ve got the power to use your Card beyond its credit limit* with Expanded Buying Power.
- *The amount you can spend above your credit limit is not unlimited. It adjusts with your use of the Card, your payment history, credit record, financial resources known to American Express, and other factors.
- 0.0% intro APR on purchases for 12 months from the date of account opening, then a variable rate, 13.24% - 19.24%, based on your creditworthiness and other factors at account opening.
- No Annual Fee
- Terms Apply
Pros
- 0% APR for 12 months on purchases and balance transfer
- Earn 2x points on all spending
Cons
- No lucrative welcome offer
- 2x points rewards are capped at $50,000 in spending
- Extended warranty protection: American Express will match the length of the original manufacturer’s warranty if it’s less than 2 years. It provides an additional 2 years if the original manufacturer’s warranty is between 2 and 5 years. Coverage is limited to $10,000 per occurrence and $50,000 per account each year.
- Purchase protection: The issuer will repair, replace, or reimburse you for an item purchased with the card that was damaged or stolen within 120 days of purchase. Coverage is limited to $1,000 per occurrence and $50,000 per account each year.
Why we like it: Trust me, I understand that cash back rewards aren’t for everyone, and that’s why we believe the 2x points you can earn on the American Express Blue Business® Plus card makes it worthy of this list. This card is nearly identical to the American Express Blue Business CashTM Card. It differs only in how you receive rewards: points vs cash back.
This also means both of these American Express business cards share the same strong introductory financing offer of 0% annual percentage rate (APR) for 12 months on purchases. An offer like this can relieve the stress of having to save up enough cash to make a purchase that is necessary for your business.
Additionally, the card does offer expanded buying power. This means if you need extra capital, American Express Blue Business® Plus has you covered. You’ll be able to spend above your credit limit if you need the financing. However, the extra limit is not unlimited.
U.S. Bank Business Platinum Card: Best for 0% APR for 15 Billing Cycles
U.S. Bank Business Platinum Card
BEST FOR
Extended 0% APR period on purchases and balance transfers
- 0% Intro APR* on purchases and balance transfers for the first 20 billing cycles. After that, variable APR, which is currently 11.99% to 17.99%*
- No annual fee*
- Free employee cards
- Zero fraud liability* protects you against unauthorized transactions
Pros
- One of the longest 0% APR period offered
- No annual fee
Cons
- Comes without rewards
- Extended warranty protection: U.S. Bank will double an original manufacturer’s warranty up to an additional one year for warranties of three years or less. Coverage is limited to $10,000 per item.
- Purchase protection: U.S. Bank offers purchase protection for items that are damaged or stolen within 90 days of purchase. The coverage is limited to $500 per claim and up to $50,000 per cardholder, per year.
Why we like it: If all you want of a card is the best introductory financing offer, this is the one for you. The U.S. Bank Business Platinum Card offers no-interest for a whopping 15 billing cycles on purchases and balance transfers. An offer like this opens the gates to financing large purchases or paying down other high-interest credit cards. Once the introductory period ends, you’ll also have a card with one of the lowest ongoing APRs available.
While this card gives you some of the cheapest introductory financing, it’s missing common business features other cards on this list offer. For example, it offers no welcome bonus or ongoing rewards, so the card’s value lives within the 0% APR offer and low ongoing APR. Only choose this card if you value cheap financing over rewards.
Capital One® Spark® Classic for Business: Best for Fair Credit
Capital One® Spark® Classic for Business
BEST FOR
Fair credit business owners (580 to 669)
- 1% cash back every time you swipe
- Build your business credit through responsible usage
- Issue employee cards for free
Pros
- Opportunity to build business credit
- Earn fixed-rate rewards even with fair credit scores
- Rewards never expire
Cons
- High APR
- No sign-up bonus
- Reports to personal credit bureaus
- Purchase protection: Capital One will replace, repair, or reimburse you for eligible items in the event of theft or damage within the first 90 days of purchase.
- Extended warranty protection: You’ll get additional warranty protection on eligible items that are purchased with your business card, up to 1 year past the manufacturer’s warranty.
- Auto rental collision damage waiver: You’re covered for damage due to collision or theft when you rent an eligible car with your Capital One® Spark® Classic for Business card.
Why we like it: If you happen to have fair credit (580 to 669), don’t worry because there are cards like Capital One® Spark® Classic for Business that give you a shot at accessing capital. But what’s even better is you can build both your business and personal credit while earning 1% cash back on all spending.
While this card offers some ongoing rewards, they aren’t the best available. However, you should look at these rewards as an added benefit to building your credit score. Once your score improves to at least 670, you can apply for a traditional business credit card that offers a more lucrative rewards program.
Applying for a Sole Proprietor Business Credit Card
As a sole proprietorship, you can apply for a business credit card with an employer identification number (EIN) or your Social Security number (SSN). You’ll still need to provide a personal guarantee, which means you’ll become personally liable for the business’s debt if it fails to repay its obligations. However, there are some business credit cards without personal guarantees.
Tip: To ensure you don’t end up with interest charges and become personally liable for your company’s debt, it’s best to pay off your balance every month. If you have a card with an introductory 0% APR period, be sure to repay those balances before the introductory period ends.
How We Evaluated Sole Proprietor Business Credit Cards
Small business credit cards offer a variety of sign-up bonuses, and ongoing rewards as well as a range of APRs and low annual fees. We looked at these factors closely when choosing cards for this list. The best credit card for your sole proprietorship is one that offers the strongest mix of rewards and benefits that can help your business.
Frequently Asked Questions (FAQs)
Some questions are asked more often than others, and we address those here. If you have any additional questions, please leave a comment below, and we will provide an answer.
Can you get a business credit card as a sole proprietor?
You’re a sole proprietor if you own and run your business by yourself, and there’s no distinction between you—the owner—and your business. If you fall into this category, you don’t need an EIN to get a small business credit card. Instead, you can get a business credit card as a sole proprietor using your Social Security number. This also means there is no distinction between your business and personal debts.
Can I get a business credit card with my EIN?
If your business has employees, you must have an EIN. Once you have an EIN, you can use it to apply for a business credit card. You can apply for an EIN online, receive it immediately, and use it right away for most business purposes.
How do you get approved for a business credit card?
To get a business credit card, we recommend having a personal credit score of at least 670. When you know your credit score, compare credit cards to find an option that fits your business. Once you’ve found the right card, apply online with your EIN or Social Security number, and you could receive an immediate decision.
Bottom Line
Sole proprietors should consider opening a business credit card that pays fixed-rate rewards to help maximize earnings on varied expenses. While rewards can help your business save money, the best cards also offer cheap introductory financing and no annual fees. Consider these factors when comparing and choosing cards for your business.
For rates and fees on the American Express Blue Business CashTM Card, please click here.
For rates and fees on American Express Blue Business® Plus, please click here.
