Are you running a nonprofit organization and seeking the best business credit cards to support your cause? Choosing the right card can be a game changer for streamlining your operational expenses and cash flow. In this guide, we will explore the top business credit cards for nonprofits and how they can benefit you. Let Flik Eco be your trusted advisor, making the complex world of financial products simple and easy to understand!
Best Business Credit Cards For Nonprofits Table of Contents
Why Nonprofits Need Business Credit Cards
- Separate personal and organizational expenses: Using a business credit card helps draw a clear line between personal and nonprofit costs, making it easier to track expenses and simplify bookkeeping.
- Improve cash flow management: Utilizing a credit card allows nonprofits to manage their cash flow more effectively, as they can make purchases on credit and pay them off later when funds become available.
- Earn rewards and cashback: Many business credit cards offer rewards, cashback, and/or discounts, which can help reduce costs and support your organization's mission.
- Establish credit history: Using a business credit card responsibly allows nonprofits to build a credit history, which can improve their borrowing capacity and access to credit lines in the future.
Top Business Credit Cards for Nonprofits
1. American Express® Blue Business Cash Card
This card offers a competitive 2% cashback on the first $50,000 of eligible purchases each calendar year, and 1% cashback on any additional spending. There is no annual fee, and it also features an introductory 0% APR for the first 12 months on purchases.
2. Chase Ink Business Cash® Credit Card
The Ink Business Cash card is an excellent option for nonprofits in need of a versatile card with generous cashback rewards. With 5% cashback on office supplies, phone, and Internet services (up to $25,000 per year), and 2% cashback on gas and dining expenses, you can save on purchases while running your organization. There is no annual fee and an introductory APR of 0% for the first 12 months on purchases.
3. Bank of America® Business Advantage Cash Rewards Mastercard®
This card offers tiered cashback rewards based on your organization's spending habits: 3% on a category of your choice, 2% on dining, and 1% on all other purchases. The rewards are capped at $50,000 per calendar year. The card carries no annual fee and has an introductory APR of 0% for the first 9 billing cycles on purchases.
4. Capital One® Spark® Cash for Business
For nonprofits looking for a straightforward cashback option, the Spark Cash card offers an unlimited 2% cashback on every purchase, with no caps or tiered rewards. There is a $95 annual fee, but it is waived for the first year. It also has a competitive welcome bonus for new cardholders: Earn a one-time $500 cash bonus once you spend $4,500 on purchases within the first 3 months.
Best Business Credit Cards For Nonprofits Example:
Imagine your nonprofit organization focuses on environmental conservation. You have a team of five employees who frequently purchase office supplies, use telecommunication services, and attend conferences. You opt for the Chase Ink Business Cash® Credit Card because of its 5% cashback on office supplies and telecommunication services (up to $25,000 per year).
In one year, your organization spends $20,000 on office supplies and telecommunication services, earning $1,000 (5% of $20,000) in cashback rewards. You also spend an additional $10,000 on gas, yielding $200 (2% of $10,000) in cashback. Without considering any other expenses, your nonprofit has already saved $1,200 simply by utilizing the right business credit card.
Choosing the right business credit card for your nonprofit organization can help streamline your finances, manage cash flow, and save on expenses. By doing your research and comparing the cards in our guide, you’ll be taking an important step towards making the best possible decision for your nonprofit's financial future.
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