Disclaimer: Details such as perks, bonuses, rewards, interest rates, limits, and qualifying criteria can change frequently. Always check with the credit card company directly for the most up to date information.
There are a lot of business cards out there. The Sam’s business credit card is just one option. But, it is right for your business?
How and When a Sam’s Business Credit Card is a Good Option for Your Business
It can be difficult to choose which business credit cards to use. There are so many options, and they all have varying benefits. It takes time and thought to figure out which ones will work best for your business and its needs. Where does the Sam’s Business Credit Card fall on the spectrum of being good for your business?
The answer to that question is widely dependent on a number of variables. The first is, do you shop at Sam’s? The card offers a lot of great benefits, but most are brand specific. If you do most of the shopping for your business at Sam’s, then you are good to go. However, if you do not shop at Sam’s a great deal already, it is likely not the best option.
Another question to ask yourself is, are you trying to build business credit? If so, there are other options that will work better. The Sam’s business credit card only reports to the personal credit reporting agencies (CRAs). These include Experian, Equifax, and TransUnion.
It can also help to compare the Sam’s Business credit card to other business credit cards. To do that, you first have to know exactly what you are getting when you get a Sam’s credit card.
What Does the Sam’s Business Credit Card Offer?
One of the biggest perks to the Sam’s Business credit card is the cash back. You get 5% cash back on gas worldwide including at Sam’s Club. This is capped at the first $6,000. After that you get 1%. You also can earn 3% back on dining and travel and 1% on other purchases.
Another perk is that there is no annual fee, but you do have to have a membership to Sam’s Club. The membership does have an annual fee.
There is a variable APR of 16.4% -24.4% and a no foreign transaction fee for new accounts. The penalty APR goes up to 29.9% and is also variable. Late fees and returned payment fees are up to $39.99.
Here’s the thing, while the Sam’s Club card is probably not a bad thing to have if you shop at Sam’s often anyway, making the membership worth it, there are other options that work just as well or maybe even better depending on what you need. There isn’t anything particularly fabulous about the rewards or interest rates with the Sam’s Club Business credit card.
What Are Some Alternatives to the Sam’s Business Credit Card?
There are hundreds of choices for business credit cards, and each one has its own pros and cons. You have to do your own research to make the best decision for your business. However, we have put together some information on some that we consider to be the best to get you started with your comparison to the Sam’s Business credit card.
Capital One® Quicksilver® Card
Take a look at the Capital One® Quicksilver® Card. It features flat-rate rewards of 1.5% on all purchases. There are no limits to the amount of cash back rewards that cardholders can attain. Also, the card has a $0 annual fee.
New cardholders have a 0% APR on purchases and balance transfers for the first 15 months after opening the account. After that, they have a 14.74 — 24.74% (variable) APR. A cash bonus of $150 is available for those who make a minimum of $500 on purchases within 3 months of opening an account.
Also, cash back rewards do not expire for the life of the account, with no limit to how much you can earn. A cash bonus of $150 is offered to cardholders who make a minimum of $500 in purchases within 3 months of account opening.
Drawbacks include the increase in interest rate after 15 months and the flat rate for rewards.
JetBlue Plus Card
The JetBlue Plus Card also has a 0% introductory APR. You can earn three points per dollar on eligible JetBlue purchases, two points/dollar at eateries and grocery stores, and one point/dollar on all other purchases.
If you spend $1,000 in the first 90 days and pay the annual fee, you get 40,000 bonus points. New cardholders receive a 12 -month, 0% introductory APR on balance transfers made within 45 days of account opening. The variable APR on purchases and balance transfers is the same. There is no annual fee.
Capital One® Spark® Classic for Business
The Capital One Spark Classic for Business offers decent cash-back rewards as well. The card earns an unlimited 1% cash back on all purchases. You also get benefits including an auto rental collision damage waiver and purchase security.
The ongoing APR is 26.99% variable, with the penalty APR even higher at 31.15%. Also, there is no sign-up bonus.
Bank of America® Business Advantage Travel Rewards World Mastercard® Credit Card
Earn 3 points per dollar spent when you book travel through the Bank of America Travel Center and 1.5 points per dollar on all other purchases. You can get unlimited points and points never expire.
Earn 3 points per dollar spent when you book travel through the Bank of America Travel Center and 1.5
points per dollar on all other purchases. You can get unlimited points and points never expire.
There is a 30,000-point sign-up bonus when you spend $3,000 in the first 90 days of opening the
account. This can be used for a $300 travel credit. The card has no annual fee and comes with a 0% introductory APR on purchases for the first nine months. After that, the card has a 12.24 — 22.24% variable APR. There is no introductory rate for
balance transfers with this card, and bonus categories are limited.
Costco Anywhere Visa® Business Card by Citi
You can’t truly do a comparison with Sam’s Business credit card without including the Costco counterpart. The Costco Anywhere Visa® Business Card by Citi earns cash back with every purchase.
Get 4% cash back on the first $7,000 spent on eligible gas purchases annually (1% after that). Earn 3% cash back at restaurants and on eligible travel purchases. In addition, you can get 2% cash back at Costco and Costco.com, and 1% cash back on all other purchases. There is no annual fee, but of course you must have a Costco membership. There is no sign-up bonus.
United MileagePlus Explorer Business Card
If you travel a lot and are interested in earning miles, look at the United MileagePlus Explorer Business Card. Earn 2 miles per dollar with United Airlines and at restaurants, gas stations and office supply stores. All other purchases earn 1 mile per dollar. There is a 60,000-mile sign-up bonus if you spend $3,000 in the first three months after account opening. Benefits include priority boarding, and a free first checked bag for you and a companion on the same reservation.
In addition, you get two United Club passes annually. There are also upgrade options and other perks at hotels and resorts.
After the first year, the card has an annual fee of $99 and an APR of 16.49% — 24.49%, based on creditworthiness.
Ink Business Cash℠ Credit Card
The Ink Business Cash ℠ Credit Card is also a viable option. Small businesses can earn cash back with every purchase. Spend $3,000 in the first three months from account opening and earn a $750 in bonus cash back. You can also earn additional cash back on business categories. So, these include office supply stores, telecommunications, gas stations and restaurants.
There is a $0 annual fee with a 0% introductory APR for 12 months on purchases and balance transfers. Afterwards, the APR is a 13.24 – 19.24% variable.
Capital One® Spark® Classic for Business
If your credit is just ok, Capital One Spark Classic for Business could be a good option. It has no annual fee, and there are even still cash-back rewards. The card earns an unlimited 1% cash back on all purchases. There is no annual fee.
There is no sign-up bonus, and the ongoing APR is 26.99% variable APR. The penalty APR is even higher at 31.15%.
Remember, details like rewards and interest rates can change quickly. We update things regularly, but check with the company to verify current benefits.
Factors to Consider When Choosing a Credit Card
There are many factors to consider when determining which of these, or if some other card, is best for your business. First, you have to take your credit score into account. If your score isn’t very good, you will not have any many options. Then, you need to consider what your goals are. Do you want a card that earns lots of rewards, or do you want the best interest rate?
Lastly, consider your spending habits. You need a card that will first, support your spending habits. In addition, it would be nice if the perks offered reward your specific spending habits.
Is the Sam’s Business Credit Card Right for Your Business?
This is a fine card if you are already a Sam’s Club member. The benefits are respectable, and the interest rates are comparable. However, if you are not already a Sam’s Club member, it probably isn’t worth becoming one just to get this card. There are a lot of other options available that are just as good, if not better, and that do not require a membership. Look around and see what you can find that may better suit your needs.
Remember, if you are looking to build business credit, you will need to find business cards that report to the business credit reporting agencies. These include Dun & Bradstreet, Experian Business, and Equifax Business. The Sam’s Business credit card definitely does not do this.