Best Credit Cards for Ecommerce Businesses

E-commerce businesses are booming. And while they don’t have the high upfront costs of a physical business, expenses like web hosting, advertising, and other costs can add up. A business credit card can be a great way to fund these costs, improve cash flow, and earn big rewards.

Here, we’ll share some of the best ecommerce business credit cards along with strategies for getting the most out of the cards you use in your business.

How a Credit Card Can Help Your Ecommerce Business

One of the main advantages of using a business credit card over a personal credit card is that it’s easy to track business expenses. An online business or e-commerce store with a high volume of online transactions tends to have large bookkeeping needs. A business credit card will help you keep expense receipts in one place, which can make your bookkeeping faster and easier, whether you do it yourself or hire an accountant.

Another big reason to consider a business credit card is cash flow. Let’s say you are developing a successful online advertising campaign. You can decide to increase the spend for this campaign, and you’ll need a way to pay it off before sales come in. Put it on your business credit card and you can have up to 60 or 90 days to pay, depending on which card you choose.

Pro Tip: A business credit card with a 0% introductory annual interest rate offer can give you interest-free financing while you grow your business. (Balance transfers usually incur a fee.)

Rewards are one of the main reasons for choosing a business credit card. All of these business expenses can translate into cash back, travel points, or other credit card rewards. If you spend a lot on advertising, inventory, web hosting, or other expenses, you will likely find these cards truly rewarding.

Safety and security are also important. Online fraud is rampant, but business credit cards are covered by federal law against fraudulent use. If your card is being used without your authorization, you can notify the card issuer so they can investigate.

Best Business Credit Cards For Ecommerce

The best credit card for your online business will depend on your needs. Here are 3 great choices to consider.

Rewards offer + 0% APR: American Express Blue Business Cash â„¢ card

This card combines strong cash back rewards with an introductory 0% APR offer and welcome cash back offer.

Welcome offer: Get a $ 250 credit on your statement after making $ 3,000 in purchases with your card in the first 3 months Ein purchases on your card during your first 3 months

Savings for Amazon buyers: Amazon Business Prime American Express Card

If your business uses AWS or buys a lot from Amazon, consider Amazon Business Prime American Express Card. The annual membership fee is $ 0 $ 0 (although you will need a Prime membership). Get 5% off or 90-day terms on U.S. purchases from, Amazon Business, AWS, and Whole Foods Market with a qualifying Prime membership. You will earn 5% cashback on the first $ 120,000 in purchases each calendar year, 1% cashback thereafter.

Welcome offer: Qualifying Prime members receive a $ 125 gift card upon approval of the Amazon Business Prime American Express card.

Generous introductory APR offer at 0%: US Bank Business Triple Cash Rewards World Elite ™ Mastercard®

A 0% introductory APR credit card can provide a great opportunity to save money while starting or growing your e-commerce business. US Bank Business Triple Cash Rewards World Elite ™ Mastercard® offers a generous introductory APR: 0% for 15 billing cycles on purchases and balance transfers.

It also offers a very interesting welcome offer for new cardholders. Limited time offer: Win $ 500 cash back. Simply spend $ 4,500 on the account holder’s card within the first 150 days of opening your account

You can earn solid cash back rewards as well, but take note of the categories for higher cash back rewards: Earn 3% Cash Back on qualifying purchases at gas stations, office supply stores, cell phone service providers, and restaurants. 1% cash back on all other qualifying net purchases.

Types of Credit Cards for Ecommerce Businesses

When it comes to choosing a credit card for your e-commerce business, your first choice is to simply use one of the personal credit cards you already own or get a dedicated business credit card. We are a fan of the latter for all the reasons mentioned above:

  • Expense tracking
  • Excellent rewards
  • Building business credit

Beyond that, some cardholders are loyal to a particular brand, for example American Express or Discover. Others may have had good experience with a specific card issuer such as Chase, CapitalOne, or US Bank, for example. All of them offer some type of small business credit card. (Visa and MasterCard do not issue credit cards directly; rather, they are issued by individual credit card issuers.)

What to look for in a business credit card for ecommerce

The first question to ask yourself is how you plan to use your business credit card.

Do you need to access low cost financing for your ecommerce website? If so, look at the interest rate. Most credit cards carry a variable APR which will be based at least in part on the applicant’s personal credit scores. Some also offer introductory 0% APRs for purchases and / or balance transfers. Interest-free financing can be particularly attractive for short-term financing of new projects or for start-up e-commerce businesses.

If you plan to pay in full each month, check out reward credit cards. Business credit cards can offer significant rewards, ranging from cash back rewards to travel rewards. In fact, business credit cards can be some of the most rewarding credit cards you can get.

What does it take to qualify for an e-commerce business credit card?

Almost all small business credit card issuers will check the applicant’s personal credit, and most require good to excellent credit scores to qualify. (Most business credit cards require a personal guarantee.)

Plus, they’ll ask you questions about your income, including business income and personal income, so be prepared to answer questions about your personal finances. Many issuers will allow you to qualify based on total income, not just business income, which means ecommerce business credit cards are often suited for startups.

You should also be prepared to share information about your business, including your tax identification number (Employer Identification Number or EIN). If you operate a home business, you can use your home address for your business address, although some e-commerce business owners prefer to use a business address, even if it’s just a box address. to letters.

Other Financing Options for Ecommerce Businesses

A business credit card can provide fast and flexible financing for your e-commerce or online site. But there may be times when your business needs a small business loan instead. Or you may have bad credit which is preventing you from getting a business credit card. In that case, you’ll want to explore small business loans and other types of e-commerce finance. These include:

  • Commercial cash advance: This type of financing (also called a merchant cash advance) is based on your sales (usually credit or debit card sales). It doesn’t require good credit and can be very quick but the costs can be high.
  • Credit lines: Similar to a credit card, a line of credit allows you to access the funds you need and only pay interest on the amount you borrow. Available from banks and credit unions or online lenders.
  • Financing or equipment rental: Finance or lease equipment ranging from technological equipment to machines to 3D printers. Helps preserve liquidity and may provide tax benefits.
  • Crowdfunding. If you have a product that others will want to support, crowdfunding can help you raise hundreds to millions of dollars. No credit check is likely required, but you will need a solid marketing campaign.

This article was originally written on September 8, 2021.

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