If you’re looking for an affordable business card with a simple, yet generous rewards program, the Capital One Spark Cash for Business (learn more) may fit the bill.
While this card doesn’t offer a ton of fancy perks or bonus categories, its best feature is its simplicity: you simply earn a flat 2% cash back on every purchase, every day, and you can redeem your cashback rewards at any time with no minimums.
An affordable annual fee waived the first year and a generous early spend bonus also make this card a great option for small business owners who just want an easy, affordable card.
This Capital One Spark Cash for Business review will help you decide if it’s the best option for you.
Unlimited Cash Back
- Who should get the Capital One Spark Cash for Business Card?
- Card basics
- Capital One Spark Cash for Business benefits and perks
- Drawbacks to the Capital One Spark Cash for Business Card
- Earning & redeeming cash back with the Capital One Spark Cash for Business
- Capital One Spark Cash for Business FAQs
- Other cards to consider
Who should get the Capital One Spark Cash for Business Card?
The Capital One Spark Cash for Business is an ideal card if you don’t tend to spend the bulk of your funds on travel, shipping costs, or technology. While there are other business cards that give you bonus rewards for these common types of business spending, the Capital One Spark Cash for Business doesn’t offer bonuses but instead provides a generous 2% cash back on every purchase you make.
To get the most from the card, you’ll want to make sure you spend enough to offset the $95 (waived first year) annual fee.
Thankfully, there are perks that can help balance out the fee, including:
- Auto rental collision insurance that offers primary coverage when renting a vehicle for business purposes.
- Extended warranties that double the length of manufacturer warranties.
- Purchase protection that entitles you to repair or reimbursement of eligible items damaged within 90 days of purchase.
|Credit card issuer||Capital One|
|Credit card network||Mastercard|
|Annual fee||$95 (waived first year)|
|Welcome bonus||Earn a $500 cash bonus after spending $4,500 in the first 3 months of account opening|
|Reward rate||2% cash back on every purchase, every day|
|Recommended credit score||Excellent, Good|
|Foreign transaction fee||None|
Capital One Spark Cash for Business benefits and perks
- Generous early spend bonus: Cardholders can earn a $500 cash bonus after spending $4,500 in the first 3 months.
- Simple rewards program: Earn 2% cash back on every purchase, every day. Cash back never expires and can be redeemed at any time.
- Free cards for employees: Get as many employee cards as you need at no extra cost and earn rewards for purchases made by employees. You also have the option to set spending limits for employee cards.
- No foreign transaction fee: Purchases can be made abroad without any fees being charged. Other credit cards charge as much as 3% when purchases are made outside of the U.S. or in foreign currencies.
- Auto rental collision damage waiver: Rest easy with this benefit that offers primary coverage for losses caused by collision or theft on car rentals for business purposes.
- Purchase security: If you have a problem with an eligible product you purchased with your card, you can get it repaired or replaced, or you can be reimbursed for its cost within 90 days of the purchase.
- Extended warranty: Visa will double the length of your manufacturer’s warranty for eligible purchases made on your card.
- Accounting made easy: You can download transactions into popular business accounting programs, including Quickbooks, Excel, and Quicken. Cardmembers also get year-end summaries of business transactions, which can simplify the budgeting process.
- Zero fraud liability: With this card, you get zero fraud liability, which offers valuable protection if your card is lost or stolen.
Drawbacks to the Capital One Spark Cash for Business Card
- Annual fee: This card comes with an annual fee of $95 (waived first year). If you are looking for a business credit card with no annual fee, there are other options that could be a better fit.
- High minimum spend requirement: While the early spend bonus is generous with this card, you also need to spend a relatively large amount to earn it. If you don't have hefty business expenses each month, you may not be able to spend enough to earn the welcome offer.
- No intro APR: This card does not offer an introductory APR on new purchases or balance transfers. If that's important to you, a card like the Capital One Spark Cash Select would likely be a better option. It offers a 0% intro APR for 9 months on new purchases.
Earning & redeeming cash back with the Capital One Spark Cash for Business
Earning cash back is simple with your Capital One Spark Cash for Business Credit Card. Simply use this cashback credit card for any business expense and earn unlimited 2% cash back.
To earn the maximum rewards possible, take advantage of the opportunity to get free cards for your employees so you can earn cash back for their spending as well.
Potential earnings in years one and two
Here's a look at how your cash back can add up with the Capital One Spark Cash for Business Card.
Remember, this is an estimation. The actual value will be determined by how much you spend and in which categories you spend.
Year one earnings: $1,170
Year two earnings: $575
These values are based on the FinanceBuzz Credit Card Rewards Valuation Model, which takes a look at points earned via spending, the early spend bonus, and the annual fee.
Maximizing your redemptions
One of the nice things about the Capital One Spark Cash for Business card is that you don’t need to worry about redeeming for specific types of rewards — such as travel with particular airlines — in order to get the most bang for your buck. That’s because you can simply redeem your cash back any time and will always get the same cashback rate.
Your cashback rewards can be redeemed as a statement credit, check, or gift card. You can also choose to set up automatic redemptions either when you meet a certain spending threshold or for a set time each calendar year. There’s no expiration to your cash back, nor are there minimum amounts required to redeem, so you can redeem your rewards whenever you want.
Capital One Spark Cash for Business FAQs
What type of credit limit can I expect to receive with the Capital One Spark Cash for Business?
The minimum credit line on the Capital One Spark Cash for Business is $2,000, but your specific credit line will be determined by your credit history and other financial factors.
What credit score is needed to qualify for the Spark Cash for Business card?
To qualify for the Spark Cash for Business Credit Card, you’ll likely need to have excellent credit.
After year one, is the Capital One Spark Cash for Business worth the annual fee?
Whether the Capital One Spark Cash for Business is worth the annual fee depends on if you’re able to take advantage of the perks. It also depends on how much money you spend and earn rewards on.
For example, the Capital One Spark Classic for Business charges no annual fee but only provides 1% cash back on purchases. If you spend at least $4,750 per year, the extra 1% reward you earn with the Capital One Spark Business Cash can offset the annual fee.
Essentially, if you spend more, then you’re better off with the Capital One Spark Business Cash. If you spend less, the Spark Classic could be a better option.
The auto rental collision insurance, purchase protection, and extended warranty protection provided by the Capital One Spark Cash could also add value if you use them — but these perks are also available on the Spark Classic with no annual fee.
What are some lesser-known benefits offered by the Spark Cash for Business?
The ability to download purchase records to multiple formats is one of the lesser-known benefits of the Capital One Spark Cash for Business. This makes accounting easy and can help ensure you’re keeping track of and claiming all tax-deductible expenses for your company.
Purchase protection and extended warranty protection are also lesser-known features that could be beneficial if you find yourself with a new product that gets broken or a product that breaks just after the manufacturer warranty has expired.
Other cards to consider
While the Capital One Spark Cash for Business is a solid business rewards card, if doesn't sound like the right fit, the Blue Business Cash Card from American Express or the Chase Ink Business Cash Credit Card may be worth considering. With the Blue Business Cash Card from American Express, you can earn 2% cash back on the first $50,000 in eligible purchases each year, then 1% after that. Plus, it has a $0 annual fee.
If you'd rather earn a higher rewards rate for certain types of spending, The Chase Ink Business Cash Card may be a good option for you. This credit card offers 5% cash back at office supply stores and on internet, cable, or phone services (up to $25,000 combined annually); 2% cash back at gas stations and restaurants (up to $25,000 combined annually); and 1% cash back on everything else. It also has a $0 annual fee.
Unlimited Cash Back
Earn a $500 cash bonus after spending $4,500 in the first 3 months
See how these cards compare:
Blue Business Cash Card from American Express
- Earn 2% cash back on the first $50,000 spent each year
- 0% intro APR on purchases
- No annual fee
- Terms apply
Chase Ink Business Cash Credit Card
- New Offer: $750 cash back sign-up bonus
- No annual fee
- 0% intro APR on purchases for 12 months
- Up to 5% cash back