Ever found yourself in a cash crunch while trying to run your UK business? You’re not alone. Business credit cards can be your secret weapon to keep things running smoothly—while earning rewards in the process. Whether you’re a freelancer, sole trader, or manage a growing SME, there’s a card out there tailored for you.
Let’s break down the best business credit card UK and help you find the perfect fit.
Benefits of Using a Business Credit Card
Improved Cash Flow Management
Got clients who pay late? A business credit card can cover your essential expenses while you wait for those invoices to clear. Think of it as a financial buffer that keeps the wheels turning.
Separation of Business and Personal Expenses
Mixing personal and business transactions is like mixing oil and water—it just doesn’t work. A dedicated card simplifies accounting and makes tax season way less stressful.
Building Business Credit Score
Just like personal credit, your business can build its own credit profile. Timely repayments boost your score, which helps when applying for future loans or funding.
Employee Spending Control
Need to give your staff access to company funds? Many business credit cards allow employee cards with adjustable spending limits, giving you control without micromanaging.
Types of Business Credit Card UK
Rewards and Cashback Cards
Earn points or cashback on every purchase. These are perfect for businesses that spend consistently on office supplies, advertising, or travel.
Travel Business Cards
Frequent flyer? These cards often include travel perks like air miles, airport lounge access, or no foreign transaction fees.
Low Interest/Balance Transfer Cards
Ideal for businesses carrying a balance or wanting to consolidate debt. They typically offer low introductory APRs or even 0% interest for a set period.
Charge Cards vs Credit Cards
Charge cards require full monthly payment, while credit cards allow you to carry a balance. Choose based on your cash flow habits.
Top Features to Look For in a Business Credit Card
APR and Interest Rates
Lower is better, especially if you tend to carry a balance. Always compare the Representative APR.
Credit Limit
Make sure the card provides enough breathing room for your business needs without tempting you to overspend.
Rewards and Points Schemes
Some cards offer airline points, cashback, or gift vouchers. Pick a rewards system that aligns with your business expenses.
Foreign Transaction Fees
Planning to use the card abroad or for international purchases? Opt for a card with no or low FX fees.
Customer Service & App Integration
In 2025, a mobile app is non-negotiable. Make sure it supports expense tracking, card locking, and quick support.
Best Business Credit Card UK (2025 Picks)
American Express® Business Gold Card
- Annual Fee: Free for the first year, £125 thereafter
- Rewards: Earn Membership Rewards® points
- Perks: Expense management tools, travel insurance
- Ideal for: Businesses spending over £20,000 annually
Barclaycard Select Cashback
- Annual Fee: Free
- Rewards: 1% cashback on eligible purchases
- Perks: Online account tools, employee cards
- Ideal for: Small businesses looking for simple cashback
Capital on Tap Business Credit Card
- Annual Fee: From £0
- Rewards: 1% cashback, Avios points
- Perks: Up to £250,000 credit limit
- Ideal for: Startups and SMEs with decent turnover
HSBC Commercial Card
- Annual Fee: Varies
- Rewards: Tailored loyalty options
- Perks: Integration with accounting software
- Ideal for: Established businesses
Metro Bank Business Credit Card
- Annual Fee: £0
- Rewards: No rewards, but 0% foreign transaction fees
- Perks: Instant card issue in branch
- Ideal for: Internationally active businesses
Comparison Table of Top Business Credit Card UK
| Card Name | Annual Fee | Rewards Type | Ideal For | Foreign Fees |
|---|---|---|---|---|
| Amex Business Gold | £125 | Points | High spenders | Yes |
| Barclaycard Select Cashback | £0 | Cashback (1%) | Small business | Yes |
| Capital on Tap | From £0 | Cashback / Avios | SMEs | Yes |
| HSBC Commercial | Varies | Loyalty schemes | Established businesses | Yes |
| Metro Bank | £0 | None | International spenders | No |
How to Apply for a Business Credit Card UK
Eligibility Criteria
Most cards require:
- A registered UK business
- A UK-based director/owner
- Minimum annual turnover (varies)
Required Documents
- Company registration number
- Proof of identity
- Business bank statements
Application Process
Apply online or in-branch. Approval can be instant or take a few days depending on the provider.
Common Mistakes to Avoid
Maxing Out Credit Limit
Using too much of your credit limit can harm your business credit score.
Missing Payment Deadlines
Late payments = late fees + damaged credit score. Always set up reminders or direct debits.
Not Reading the Fine Print
Watch out for hidden fees, like late payment charges or card issuance fees.
How to Maximize Rewards and Cashback
Use for Recurring Business Expenses
Think rent, ads, office supplies. Put all regular expenses on the card.
Pay Balance in Full Each Month
Avoid interest and get full value from your rewards.
Utilize Bonus Categories
Some cards offer extra rewards in specific categories. Take advantage!
What Size Business Should Use a Credit Card?
Sole Traders
Perfect for separating expenses and managing cash flow.
SMEs
Useful for employee expenses and earning rewards on bigger purchases.
Large Enterprises
Ideal for expense tracking, multi-user access, and robust credit limits.
Credit Card vs Business Loan – What’s Better?
It depends. Credit cards are great for flexibility and short-term needs. Loans are better for large, one-time purchases or investments.
Is a Business Credit Card Safe?
Fraud Protection and Security
Most cards offer advanced fraud monitoring and zero liability for unauthorised charges.
Liability Policies
Some cards protect you from employee misuse if policies are followed.
Conclusion
Picking the best business credit card UK isn’t about grabbing the flashiest deal—it’s about finding the one that matches your spending habits, offers real value, and helps your business grow.
Whether you’re looking to improve cash flow, earn rewards, or manage employee expenses, there’s a perfect card out there for you. Just make sure to compare wisely, read the fine print, and use your card responsibly.
FAQs
1. Can I get a business credit card with bad credit in the UK?
Yes, some providers offer cards for those with limited or poor credit history, but expect higher interest rates and lower limits.
2. Do I need to be a registered business to apply?
Most issuers require a registered UK business, but some cards are available to sole traders and freelancers.
3. Are there business credit cards with no annual fee?
Absolutely! Cards like Barclaycard Select Cashback and Metro Bank offer £0 annual fees.
4. Can I get employee cards for my staff?
Yes, many business cards offer free or low-cost employee cards with individual limits.
5. What happens if I miss a payment?
You could face late fees, higher interest rates, and damage to your business credit score. Always pay on time.
