Question
Hi all,
We have a small business. We need to get credit cards for 3-4 employees.
We suspect that the annual charges will range between $40k-150k. We have no concern about the interest rate, because it will be paid in full each month. We will not pay an annual fee...nor a fee for additional employee cards.
Cash back or airline miles would be nice, but it's not that big of a deal. Visa or MC preferred due to their greater acceptance by vendors with which we deal.
Any suggestions? We love Advanta, but already use them for another business. They won't allow us to have two business accounts through them. :(
Thanks for your help!
Tim in Hollywood
Answer
Doh! Advanta was going to be my suggestion to stick with a Visa/MC. The only other cards I can think of, off the top of my head, that offer cash-back rewards are AMEX cards (i.e. Blue Cash). You may also want to look at CitiBusiness w/ Thank You Network or something similar. While it is not cash-back, you can earn points towards whatever, similar to AMEX's MR program. No annual fee, limits on the companion cards established by you.
To enjoy the REAL perks, you'd want to pay the annual fee and get something like a Citi/AAdvantage card with a $75 annual fee. Very much worth it if you can handle the $75.
Good luck!
Answer
To enjoy the REAL perks, you'd want to pay the annual fee and get something like a Citi/AAdvantage card with a $75 annual fee. Very much worth it if you can handle the $75.
Good luck!
I did not get it. Can you elaborate on what is meant by REAL perks? And also how hard it is to get if you have a very small home based business with not much revenue.
Answer
Go to my website below, click on Credit Cards, then click on each of Free Cards and Annual Fee Cards . (There are often free offers on the latter page.) Click on the page you get (important), then do a word search on Business.
Sorry I can't give you specifics. There are too many offers on my site for me to memorize.
Answer
Doh! Advanta was going to be my suggestion to stick with a Visa/MC. The only other cards I can think of, off the top of my head, that offer cash-back rewards are AMEX cards (i.e. Blue Cash). You may also want to look at CitiBusiness w/ Thank You Network or something similar. While it is not cash-back, you can earn points towards whatever, similar to AMEX's MR program. No annual fee, limits on the companion cards established by you.
To enjoy the REAL perks, you'd want to pay the annual fee and get something like a Citi/AAdvantage card with a $75 annual fee. Very much worth it if you can handle the $75.
Good luck!
My wife and I own a small home based business and have a few business cards that we use to pay almost all business related expenses. Did not have any trouble getting them because most of them look at your personal credit history instead of business.
I do recommend that you go with point or mile earning cards over cash back because I have found no place on my tax returns to report miles earned or rewards used. Cash back value will be taxed as income or a rebate etc... that cuts the value in half. Besides My wife is very happy when I take her on trips from the Caribbean to Hawaii and I am happy it is all free! Makes my home life much more enjoyable!
We are currently using an Amex Plat. AADvantage Citi Matercard & AADvantage Citi Visa and a United Visa. We are very happy with AA and AMEX in that we can seem to get rewards often -just go the united visa. Have gone thru Delta Amex - Never able to use miles - and BOA power rewards only nice for domestic coach!
From the posts I have been reading City Thankyou rewards may not be a great choice if your wanting flights in that they appear to be hard to book!
Have fun! Sounds silly but I love my miles and points because I love to travel for free!
Answer
Hi all,
We have a small business. We need to get credit cards for 3-4 employees.
We suspect that the annual charges will range between $40k-150k. We have no concern about the interest rate, because it will be paid in full each month. We will not pay an annual fee...nor a fee for additional employee cards.
Cash back or airline miles would be nice, but it's not that big of a deal. Visa or MC preferred due to their greater acceptance by vendors with which we deal.
Any suggestions? We love Advanta, but already use them for another business. They won't allow us to have two business accounts through them. :(
Thanks for your help!
Tim in Hollywood
MBNA fidelity mastercard was a good deal when the rebate was 1.5%. But they have changed it to 1% which you can credit to you investment account with fidelity. Not a good deal anymore.
Today i received my Chase business card with premier cash rebate. According to the materials i had received, you get 3% rebate at gas stations, restaurants, office supply stores and home improvement stores. For all other purchases, its 1%. Drawback is that bonus rebate is limited to only 2000 dollars in purchases in a month. However there is no limit on the 1% rebate.
I think its a good deal.
Answer
Today i received my Chase business card with premier cash rebate. According to the materials i had received, you get 3% rebate at gas stations, restaurants, office supply stores and home improvement stores. For all other purchases, its 1%. Drawback is that bonus rebate is limited to only 2000 dollars in purchases in a month. However there is no limit on the 1% rebate.
I think its a good deal.
As mentioned in post # 5, how do you deal with the following issue "I do recommend that you go with point or mile earning cards over cash back because I have found no place on my tax returns to report miles earned or rewards used. Cash back value will be taxed as income or a rebate etc... that cuts the value in half."
Answer
As mentioned in post # 5, how do you deal with the following issue "I do recommend that you go with point or mile earning cards over cash back because I have found no place on my tax returns to report miles earned or rewards used. Cash back value will be taxed as income or a rebate etc... that cuts the value in half."
I am not aware that i will get 1099 for the rebate that i will receive. There is nothing in the terms and conditions which would lead me to believe that it will be reported as taxable income. I can make a phone call to the credit card company to check but that may not be a good idea to bring this one up. Maybe some other members have had the cashback cards since last year and they can report in a few weeks whether or not they got 1099 for the cash rebate they received.
Answer
I am not aware that i will get 1099 for the rebate that i will receive. There is nothing in the terms and conditions which would lead me to believe that it will be reported as taxable income. I can make a phone call to the credit card company to check but that may not be a good idea to bring this one up. Maybe some other members have had the cashback cards since last year and they can report in a few weeks whether or not they got 1099 for the cash rebate they received.
Whether or not you receive a 1099 you have to report the cash income one way or another either as a savings in purchases or as an income. I know you can deny the income but if you are talking about some serious cash ie. spend $500,000 and get $5000 in cash back - I personally don't like to hide that much taxable income so obviously. I guess if they sent you a check you could cash it without depositing it in either a personal or business account. But why take a chance when you are audited - as all successful small businesses eventually are - when I can get $10,000 in free travel without the worry!
Answer
One area of potential concern is that you indicate you are getting these cards for your employees. The employee can charge non-business expenses to the card (up to your credit limit) and then skip town. It is much safer to have the employee charge to a personal credit card, submit documentation, and then you reimburse them. It is even worth it to pick up the annual fee for the employee, and let them have the miles, rather than have them take off and stick you with $10,000 or $20,000 in charges.