Best Secured Business Credit Cards for [2024]: Start Building Business Credit Today

CREDIT CARDS - BUSINESS CREDIT CARDS
These four cards can help you work toward building business credit.
Updated May 22, 2024
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With the right secured business credit card, business owners can build their credit history and gain access to additional financing options, making it easier to grow their businesses.

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Secured business credit cards are an excellent way for entrepreneurs and small business owners to establish or improve their business credit scores while accessing financing options at the same time. The top secured business credit cards provide perks like cashback rewards, low annual fees, and flexible credit limits.

With the right secured business credit card, business owners can build their credit history and gain access to additional financing options, making it easier to grow their businesses. In this article, we’ll provide a comprehensive overview of our picks for the best secured business credit cards, highlighting each card’s unique features and benefits.

In this article

Key takeaways

  • The Bank of America® Business Advantage Unlimited Cash Rewards Mastercard® Secured credit card is a no-nonsense cashback credit card that offers 1.5% cash back on every purchase. Plus, you’ll pay a $0 annual fee.
  • The First National Bank of Omaha Business Edition Secured Mastercard Credit Card offers the unique luxury of allowing you to request your own credit limit. You can request a limit ranging from $2,000 all the way up to $100,000.
  • The Valley Visa Secured Business Credit Card will work for businesses looking to make a big purchase soon, as it comes with a 0% intro APR on purchases for the first 6 billing cycles (then 16.20% to 27.75% (variable)).
  • The OpenSky® Secured Visa® Credit Card, while a personal card, is a credit-building card entrepreneurs will appreciate. There’s no credit check, which makes it accessible if you have poor or limited credit.

The best secured business credit cards

Compare the best secured business credit cards

Card name Best for Rewards Annual fee
Bank of America® Business Advantage Unlimited Cash Rewards Mastercard® Secured credit card Cash back 1.5% cash back on every purchase $0
First National Bank of Omaha Business Edition Secured Mastercard Credit Card High credit limits None $39
Valley Visa Secured Business Credit Card Intro APR 1% cash back on all purchases $0
OpenSky® Secured Visa® Credit Card No credit check None $35

Bank of America® Business Advantage Unlimited Cash Rewards Mastercard® Secured credit card

Pros Cons
  • 1.5% cash back on every purchase
  • May move up to an unsecured card with responsible use
  • $0 annual fee
  • 4% of the amount of each transaction balance transfer fee
  • 3% foreign transaction fee

The Bank of America Business Advantage Unlimited Cash Rewards Secured credit card offers a suite of features that make it a worthwhile card for small businesses looking to earn cash back on their purchases.

Unlimited cash back: Cardholders earn 1.5% cash back on every purchase.

$0 annual fee: This leaves more money to put into your business.

Why we like it: Bank of America reviews your profile periodically to see if you qualify for an unsecured card. On top of that, you earn cash back on your business spending.

What we don’t like: Like other secured cards, you’ll have to pay a downpayment to secure your credit line, so if you can only come up with $1,000 (the minimum required), that’ll be your entire credit line. Businesses that need to use their card frequently for larger purchases may want to opt for a higher limit card and a larger deposit.

Other benefits include:

  • Choose how you want to redeem your rewards — via a deposit into a Bank of America account, a credit card statement credit, or via check
  • Access to cash flow tools like automatic payments, transfers, and the ability to download your transactions into QuickBooks

First National Bank of Omaha Business Edition Secured Mastercard Credit Card

Pros Cons
  • Wide range of credit limits
  • Ability to earn interest on your security deposit
  • $39 annual fee
  • Minimum deposit of $2,200

The First National Bank of Omaha Business Edition Secured Mastercard Credit Card is built for businesses that want more control over their credit card limit.

Request your own credit limit: Although subject to credit approval, you can request your own credit limit, ranging from $2,000 and $100,000. You do have to pay a 110% deposit to secure your line of credit.

Earn interest on your deposit: The deposit you put down to secure your line is held in a savings account and can earn interest.

Why we like it: It’s rare to find a secured card that pays interest on your deposit.

What we don’t like: The biggest drawback of the card is the $39 annual fee. However, as long as you can earn enough rewards to cover that fee (without racking up interest charges), the card may still be worthwhile. Additionally, you’ll have to pay a 110% downpayment in order to secure your credit line.

Other benefits include:

  • QuickBooks discount of 30%
  • Cash flow management tools
  • Management reports available for free

Valley Visa Secured Business Credit Card

Pros Cons
  • 0% intro purchase APR for 6 billing cycles (then 16.20% to 27.75% (variable))
  • $0 annual fee
  • 1% cash back on all purchases
  • Security deposit must be 110% of your credit limit

The Valley Visa Secured Business Credit Card is perfect for businesses looking for a card that offers a little bit of everything.

Good intro APR promotion: 0% intro APR on purchases for 6 billing cycles (then 16.20% to 27.75% (variable)).

Unlimited cash back: You’ll earn 1% cash back on all purchases, with no limit on earnings.

Why we like it: For borrowers with limited credit, the Valley Visa Secured Business Credit Card offers a way to build credit and earn rewards. Plus, you can get up to 25 cards for your employees at no additional cost.

What we don’t like: With this card, you’ll need to pay a security deposit of 110% of your desired credit limit.

Other benefits include:

  • Purchase alerts
  • Fraud protection alerts

OpenSky® Secured Visa® Credit Card

Pros Cons
  • No credit check required
  • High approval rate
  • Reports to all three credit bureaus
  • $35 annual fee

The OpenSky Secured Visa Credit Card can help you build your personal credit so you can prepare to apply for an unsecured business credit card later on.

Tip
Business credit card issuers typically take your personal credit into account when deciding whether to issue you a business credit card, so having good credit is helpful for qualifying for the best business credit cards.

No credit check needed: OpenSky uses other metrics to determine your eligibility so you won’t take a hit to your score. You don’t even need a bank account to apply.

Payments are reported to all three bureaus: OpenSky reports to all three major credit reporting agencies so you can start building credit as soon as you make your first on-time payment.

Why we like it: The OpenSky Secured Visa Credit Card could help you build personal credit when you make consistent payments, as it reports to all three credit bureaus. Small business owners who can only afford smaller deposit amounts (between $200 and $3,000) may start building credit fairly quickly with this card.

What we don’t like: The personal secured credit card comes with a $35 annual fee, but since there are no rewards to offset this fee, you’ll need to be okay with paying it to potentially build your credit. And since it’s a personal card, your payment history won’t be reported to the business credit bureaus.

Other benefits include:

  • Potentially increasing your credit line in six months with on-time payments
  • Potentially moving up to an unsecured card in as little as six months

Learn more in our OpenSky Secured Visa review.

How to choose the best secured business credit card

Choosing the best business credit cards can be a crucial step in building business credit. Here are some key factors to consider when choosing the right secured business credit card account for your needs:

  • Credit limit: Look for a card that offers a credit limit that meets your business's needs. A higher credit limit can provide more flexibility, but be cautious not to take on more debt than you can manage.
  • Annual fees: Some secured business credit cards charge an annual fee, which can vary widely. Consider the fees associated with each card and weigh them against the card's benefits.
  • Rewards: Many secured business credit cards offer rewards, such as cash back or points, for purchases made with the card. Consider the rewards program and whether it aligns with your business's spending habits.
  • Interest rates: Secured business credit cards typically have higher interest rates than traditional credit cards. Be sure to understand the interest rates associated with each card and how they may impact your business's finances.
  • Reporting to credit bureaus: Choose a card that reports to the credit bureaus so that your business's responsible use of credit can be reflected in your credit history.
  • Customer support: Look for a card issuer that provides responsive and helpful customer support to assist with any issues or questions that may arise.

FAQ

Does Capital One have a secured business card?

Capital One does not offer secured business credit cards, but they do offer both secured personal credit cards and unsecured business credit cards. Check out our guide to Capital One credit cards for a list of the available cards.

Can I apply for a business credit card if I am not an LLC or corporation?

Yes, you can apply for a business credit card even if you are not an LLC or corporation. Many credit card issuers offer business credit cards to sole proprietors and partnerships as well.

Keep in mind that business credit cards may have different requirements and features than personal credit cards. You will typically be asked to provide some basic information about your business, such as its name, address, and tax identification number when applying for a business credit card.

Can I use a business credit card to pay for my personal expenses?

It’s not recommended to use a business credit card to pay for personal expenses. Business credit cards are intended for business expenses only, and using them for personal expenses could result in confusion when it comes time to do your taxes and write off business expenses. It may also violate the terms of agreement with your business credit card issuer.

Best secured business credit cards: bottom line

Business secured credit cards offer numerous rewards to business owners. Some offer rewards in the form of cash back or travel points, while others come with low interest rates or 0% intro APRs for a set time. No matter which option you choose, secured cards can also help you build your business credit.

No matter which option you choose, the most important part of having a credit card is using it responsibly. Rewards can be offset by irresponsible spending and making only minimum payments. Do your best to pay off your balance as quickly as you can and only spend what you can afford to pay back in a timely manner.

Methodology

To identify the best secured business credit cards, we reviewed the limited number of secured business cards available on the market for features that would be important to business owners, including offering employee cards and the ability to easily track expenses. We also considered personal secured cards that might assist business owners with building credit. We did not include all cards available.

Up to 5% Cash Back

4.8

Ink Business Cash® Credit Card

Current Offer

Earn $350 when you spend $3,000 on purchases in the first three months and an additional $400 when you spend $6,000 on purchases in the first six months after account opening

Annual Fee

$0

Rewards Rate

5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable and phone services each account anniversary year; 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year; and 1% cash back on all other purchases

Benefits and Drawbacks
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Author Details

Christopher Murray Christopher Murray is a seasoned personal finance writer with a passion for empowering individuals to achieve financial independence while embracing sustainable practices. Over the last few years, he has focused on various facets of personal finance—specifically saving, budgeting, investing (with an emphasis on alternative investments), credit building, and sustainability.

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