It’s no secret that I’m a big fan of Chase’s lineup of personal credit cards. They have some of the best travel rewards cards, like the Chase Sapphire Preferred card (full review here). Fortunately, if you’re a small business owner, their portfolio of business cards are just as strong. In fact, the Chase Ink Business Preferred is the one I use most often.
This card has one of the best sign-up bonuses out there for new cardholders. The card also provides some really good benefits as well that are specifically geared towards small businesses. What’s really great about this card, is that you can use it in conjunction with some of Chase’s personal cards to get the most value out of our Ultimate Rewards points.
Who Should Apply
If you’re running your own business, it is imperative that you accurately keep track of your expenses. One great way to do this is by using a small business credit card. This way you’ll be able to easily keep your personal and businesses purchases separate from each other.
Keep in mind the Ink Business Preferred card is subject to Chase’s 5/24 rule. While applying for the card won’t add to your “5/24 total”, you do need be under the threshold to be approved. While Chase restricts the ability to earn a welcome bonus for their Sapphire products, this is not the case for their Ink business products. If you already have the Ink Business Unlimited or Ink Business Cash cards, you can still apply for the Ink Business Preferred card and get the welcome bonus if you’re approved.
A lot of people wonder if they need to have a formal business in order to apply for a business credit card. The short answer is “no”. Even if you haven’t formed a formal company, you can definitely apply for a business card as a “sole proprietor”. Applying this way may just may take a little extra effort. Typically, a bank will ask for additional documentation demonstrating that a business actually exists. As long as you can do this, the business’ structure shouldn’t be a problem if you meet their other application standards.
Incredible Sign-Up Bonus
The welcome bonus for new qualifying Ink Business Preferred cardholders is a whopping 80,000 bonus points after spending $5,000 within 3 months of being approved for the card. This is one of the best standard welcome bonuses you’ll find for a small business card.
Similarly to their personal cards, these points can be easily redeemed through the Chase Ultimate Rewards travel portal. With this card, you can redeem them at a rate of 1.25 cents per point. That means you can redeem the bonus points you get through the portal for $1,000 in travel! You also have the ability to transfer these points to one of Chase’s 12 travel partners which can make them worth even more than that.
The Ink Business Preferred card gives you a standard one Ultimate Reward point for every dollar you spend with the card. The card has the same great bonus categories that are great for a lot of small businesses. You will earn 3 Ultimate Rewards points for every dollar spent on all travel, shipping, Internet, cable, phone services and advertising purchases you make with social media sites and search engines.
The points earned from the bonus categories are capped at $150,000 each anniversary year. There is no limit on the number of standard points you can earn. If your business spends a lot in any of these categories, the points can really add up quickly.
Redeeming Chase Points
The great thing about Chase points is that they offer several great options to redeem them for travel. As I mentioned previously, you can always conveniently book flights and hotels without any blackout dates through the travel portal. However, my favorite way to use my points is by transferring them to one of 12 airline and hotel partners.
I have redeemed my points to British Airways to fly my family to Hawaii for only 25,000 points per person. If I had used my Aadvantage miles, these same flights would have cost me a minimum of 45,000 points each. I have also found some great values using BA Avios points for short distance flights on American.
One of my favorite hotel transfer partners I use frequently is the World of Hyatt program. There are some excellent values at their high end Park Hyatt properties. You can also find great options by staying at some of their Hyatt Place business hotels. I recently booked at stay at the Hyatt Place Austin Airport for 5,000 points per night when the cash rate was over $200/night. That’s a value of more than 4 cents per point!
Here is a full list of the programs that partner with the Chase Ultimate Rewards. You can redeem your UR points with any of these programs at a ratio of 1:1. The great thing about these partners is that the points transfer almost instantaneously to each partner’s program. That way, if you find availability you don’t have to risk losing that seat waiting for the points to show up in your account.
- Aer Lingus AerClub
- Air France/KLM Flying Blue
- British Airways Avios
- Iberia Plus
- Jet Blue TrueBlue
- Singapore Airlines KrisFlyer
- Southwest Airlines Rapid Rewards
- United Airlines MileagePlus
- Virgin Atlantic Flying Club
- IHG Rewards Club
- Marriott Bonvoy
- World Of Hyatt
The Ink Business Preferred card comes with many great benefits specifically for small businesses. This isn’t a complete list but here are a few of my favorite perks that come with this card.
Cell Phone Protection – This is easily my favorite benefit that you won’t typically find with other cards. When you pay your monthly phone bill with your Ink Business Preferred card, your phone is covered against damage or theft. Your phones are covered up to $600 for each incident with a $100 deductible. You can also file up to 3 claims within a 12 month period. Considering what other cell phone insurance plans charge, this benefit alone is worth the $95 annual fee.
Trip Delay Insurance – You will covered up to $500 per ticket should your flight be delayed by a qualifying incident for more than 12 hours or if it requires you to stay overnight. As long as you pay for at least part of your ticket with the card, you’re covered. You’re also covered on award flights if you pay for the airport taxes with the card.
Purchase Protection/Extended Warranty – If you purchase an eligible item with this card, you are covered up to $10,000 per claim if the item is stolen or damaged within 120 days of purchasing it. Also, if you purchase an item that has a US manufacturer’s warranty of three years or less, you will be covered for an extra year. I have used this benefit multiple times over the years and the process is pretty painless.
Primary Rental Car Insurance – If you pay for your entire rental car with your Ink Business Preferred card, you can decline the rental company’s collision insurance. The coverage is primary when you’re renting the car for business purposes. It provides reimbursement up to the actual cash value of the vehicle for theft and collision damage for most cars in the U.S. and most countries abroad.
There are many different small business cards to choose from but I think the Chase Ink Business Preferred card is one of the best. Not only do you get a large welcome bonus but the card also comes with some really great benefits and perks. Look at where your company spends most of it’s money and evaluate if this card is right for you. If you are looking for your first business card, or have other Chase cards in your wallet, I think this card could be a great option for you.