Our Take
4.7
NerdWallet rating
The bottom line:
Unlimited 2% cash back on all purchases, with no spending caps or foreign transaction fees, makes this card an excellent option for businesses that regularly purchase inventory overseas.
Capital One Spark Cash
Annual fee
$0 intro for the first year, then $95
Regular APR
25.74% Variable APR
Intro APR
N/A
Apply now
on Capital One's website
More details from Capital One
- For businesses that want to earn 2% cash back on all purchases with the stability that comes with a traditional credit line
- Earn a one-time $750 cash bonus once you spend $7,500 on purchases within 3 months from account opening
- Earn unlimited 2% cash back for your business on every purchase, everywhere, no limits or category restrictions
- Free employee cards, which also earn unlimited 2% cash back on all purchases
- Rewards won’t expire for the life of the account, and you can redeem your cash back for any amount
- No foreign transaction fees
- $0 annual fee for the first year; $95 after that
View Rates & Fees
Pros & Cons
Pros
- High rewards rate
- No foreign transaction fees
- New cardholder bonus offer
- No reward caps
Cons
- Requires excellent credit
- Reports all card activity to consumer credit bureaus
- No Intro APR period
Compare to Other Cards
at Capital One | at Chase | at American Express |
Annual fee $95 | Annual fee $95 | Annual fee $0 |
Regular APR 25.74% Variable APR | Regular APR 20.49%-26.49% Variable APR | Regular APR 17.49%-25.49% Variable APR |
Intro APR N/A | Intro APR N/A | Intro APR 0% intro APR on purchases for 12 months from the date of account opening |
Recommended credit score 720-850excellent | Recommended credit score 690-850good - excellent | Recommended credit score 690-850good - excellent |
Full Review
The newly relaunched
Capital One Spark Cash
is an outstanding cash-back option for small-business owners. The card features unlimited 2%-5%
cash back on all purchases — no bonus categories to deal with, no spending caps to worry about — and, unlike most cash-back business cards, the Spark Cash does not charge foreign transaction fees (see rates and fees). There is an annual fee —
$0 intro for the first year, then $95
— which is one of the only drawbacks of this card. The Wells Fargo Signify Business Cash℠ Card
, for instance, has no annual fee and offers unlimited 2%
cash back (plus a long intro APR period). Another drawback of the
Capital One Spark Cash
? Capital One Spark business credit cards report all card activity to consumer credit bureaus (excluding the Spark Cash Plus), so spending on this card will show up on your personal credit report. Most other business credit cards only impact your personal credit if you don't pay your bill.That's an important factor to consider if you'll carry a balance on your business card, which impacts your credit utilization and can negatively impact your personal FICO score.
Capital One Spark Cash: Basics
- Card type: Cash-back business credit card.
- Annual fee:$0 intro for the first year, then $95.
- Sign-up bonus:Earn a one-time $750 cash bonus once you spend $7,500 on purchases within 3 months from account opening..
- Ongoing rewards:Earn unlimited 2% cash back for your business on every purchase, everywhere no limits or category restrictions. Earn unlimited 5% cash back on hotels and rental cars booked through Capital One Travel..
- Interest rate:The ongoing APR is 25.74% Variable APR.
- Foreign transaction fees: None.
- Other benefits:
- Earn 5% cash back on hotels and rental cars booked through Capital One Travel.
- Free employee cards with the ability to set spending limits for each card.
- Itemized year-end spending reports.
- Option to download purchase records quickly and securely to accounting software, including Quicken, Quickbooks and Excel.
Why you might want the Capital One Spark Cash
Simple, generous rewards on everything
Many business cash-back cards pay 1% on most purchases and a higher rate in certain categories. Those categories usually center on operating costs, such as office supplies, travel, telecommunications, advertising, shipping and so on. The
Capital One Spark Cash
offers 2%
cash back on all purchases. That makes it ideal for businesses whose expenses don't line up with other cards’ categories, or that aren't concentrated in any particular categories.Further, “2% on all purchases” includes inventory purchases — and, as many small-business operators can attest, inventory spending can easily dwarf operating expenses. Put $10,000 a month in inventory spending on the card, for example, and you've got $2,400 in rewards in a year. There is no limit on the amount of spending eligible for
2%
rewards. You can set up automatic redemption to cash in your rewards when the balance reaches a certain amount, or you can redeem on request.Big sign-up bonus
The
Capital One Spark Cash
starts you off with a huge sign-up bonus: Earn a one-time $750 cash bonus once you spend $7,500 on purchases within 3 months from account opening.
That's one of the best business credit card promotions available from a cash-back card.No foreign transaction fees
Unlike most cash-back credit cards, the
Capital One Spark Cash
doesn't charge foreign transaction fees. That's good if you do a lot of foreign travel — and great if you purchase inventory overseas. Credit card foreign transaction fees are typically 3%, meaning they can easily wipe out the value of any rewards you earn. Not a concern with the Capital One Spark Cash
.Why you might want a different card
Annual fee only makes sense for big spenders
The
Capital One Spark Cash
is one of the only major small-business cards to offer unlimited 2%
cash back on all purchases, which makes it easier to justify the annual fee ($0 intro for the first year, then $95
). But there are plenty of stellar cash-back cards that have no annual fee, including the Wells Fargo Signify Business Cash℠ Card
(unlimited 2%
cash back) and the Ink Business Unlimited® Credit Card
(unlimited 1.5%
back). No 0% APR offer
Unlike most cash-back business cards, the
Capital One Spark Cash
doesn't come with a 0% APR period. If you're planning to carry a balance in the first few months after opening your account, a 0% APR offer could help you save plenty on interest charges.The
Ink Business Unlimited® Credit Card
, mentioned above, is a good alternative. So is the The American Express Blue Business Cash™ Card
, which also has an annual fee of $0
and offers Earn 2% cash back on all eligible purchases on up to $50,000 per calendar year, then 1%. Cash back earned is automatically credited to your statement. Terms Apply.
Both cards offer a 12-month intro APR period (ongoing APRs vary by card) but both also charge foreign transaction fees.Is the Capital One Spark Cash right for you?
The more money you spend in your business, the more attractive the
Capital One Spark Cash
becomes. If you value simplicity and have expenses high enough to justify the annual fee, it's the cream of the crop. If you don't have much in the way of business expenses, though, a no-fee card is a better option.To view rates and fees of
The American Express Blue Business Cash™ Card
, see this page.Apply now
on Capital One's website
Frequently Asked Questions
The
Capital One Spark Cash
earns an unlimited 2% cash back on all purchases.The
Capital One Spark Cash
has an annual fee of $0 intro for the first year, then $95
. For the fee-averse, a similar card, the Capital One Spark Cash Select
, offers 1.5% cash back for a $0
annual fee.Yes, a generous one.
Earn a one-time $750 cash bonus once you spend $7,500 on purchases within 3 months from account opening.
The
Capital One Spark Cash Select
has a $0
annual fee but pays a lower rewards rate. See our comparison article.You don’t need an LLC, corporation or other formal business structure to apply for the
Capital One Spark Cash
. Sole proprietors such as freelancers, contractors and those with side-hustles can also apply for a small-business credit card. Issuers will consider your personal credit information, income and other factors when evaluating your application.New elevated offer
