Small business owners in India often need financial tools to manage day-to-day operations, handle cash flow, and pay vendors. Credit cards can be a useful solution for managing expenses while also earning rewards and availing benefits like interest-free credit periods and discounts. 

Many Indian banks offer business credit cards designed specifically for small business needs. These cards can help owners track spending, simplify accounting, and access short-term credit. Let us look at some of the best credit cards for small business owners from Indian banks.

Top Credit Cards for Small Business Owners in India

HDFC Bank Business MoneyBack Credit Card

The HDFC Bank Business MoneyBack Credit Card is ideal for small businesses looking to save on their daily expenses. It offers cashback, reward points, and easy repayment options.

Key Features:

• 2 Reward Points for every Rs. 150 spent.
• Redeem points for cashback or gift vouchers.
• Up to 50 days of interest-free credit.
• Fuel surcharge waiver of up to Rs. 250 per billing cycle.

Annual Fee: Rs. 500 (waived on spending Rs. 50,000 annually).

This card is suitable for small business owners who frequently make purchases and wish to save money through rewards and cashback.

SBI Platinum Corporate Credit Card

The SBI Platinum Corporate Credit Card is a great choice for managing business expenditures and cash flow efficiently. It provides detailed MIS reports to help track expenses.

Key Features:

• Earn up to 5 Reward Points per Rs. 100 spent.
• Complimentary access to domestic airport lounges.
• Simplified expense management with MIS reports.
• Fuel surcharge waiver.

Annual Fee: Rs. 999.

This card works well for business owners who want better visibility into their business expenses and enjoy additional benefits like airport lounge access.

Axis Bank My Business Credit Card

Axis Bank offers the My Business Credit Card to help small businesses manage transactions easily. It also provides reward points and discounts on business-related spending.

Key Features:

• 4 Reward Points for every Rs. 200 spent.
• Special discounts on travel, dining, and utility bill payments.
• Option to convert large transactions into EMIs.
• Interest-free credit period of up to 50 days.

Annual Fee: Rs. 999.

For business owners who need flexibility and rewards on regular transactions, this card is a good fit.

ICICI Bank Business Advantage Black Credit Card

The ICICI Bank Business Advantage Black Credit Card is designed for small and medium enterprises. It helps in managing expenses while offering savings and discounts.

Key Features:

• 1 Reward Point per Rs. 100 spent on regular purchases.
• Special cashback on utility payments and office expenses.
• No-cost EMI options on big purchases.
• 48-day interest-free period

Annual Fee: Rs. 1,000.

This card is ideal for businesses that want cashback on specific categories like office and utility expenses.

Kotak Corporate Wealth Signature Credit Card

The Kotak Corporate Wealth Signature Credit Card is suitable for businesses looking to track expenses and reduce costs.

Key Features:

• Up to 5% savings on business expenses.
• Complimentary access to select airport lounges.
• Expense tracking tools and detailed reporting.
• Fuel surcharge waiver.

Annual Fee: Rs. 1,499.

Small business owners who frequently travel and want detailed expense tracking can benefit from this credit card.

Also Read: The Best Credit Cards for Dining Out in India

Benefits of Using Credit Cards for Small Businesses

Using a credit card for business purposes has several advantages for small business owners:

1. Better Cash Flow Management: Business credit cards allow owners to make purchases and payments even when cash is short, with interest-free credit periods helping manage cash flow effectively.
2. Rewards and Cashback: Most business credit cards offer reward points, cashback, or discounts on transactions, saving money on daily expenses.
3. Simplified Expense Tracking: Banks provide detailed reports and statements to help track business expenses and manage budgets efficiently.
4. Access to Short-Term Credit: Credit cards can act as short-term financing solutions without the need for lengthy loan approval processes.
5. Emergency Fund Support: In case of emergencies, credit cards can provide quick access to funds.

How to Choose the Right Business Credit Card

Selecting the right credit card for your small business depends on your specific needs. Here are a few factors to consider:

• Annual Fees: Compare annual fees and check if they are waived based on spending.
• Rewards Structure: Choose cards that offer rewards or cashback on the categories you spend most on, such as fuel, utilities, or office supplies.
• Interest-Free Period: Look for cards that offer a longer interest-free period to manage cash flow better.
• Expense Management Tools: Opt for cards that provide detailed expense reports to track and manage spending.
• Additional Benefits: Consider extra perks like airport lounge access, fuel waivers, or no-cost EMI options.

Conclusion

Credit Cards for small business owners in India can be valuable tools to manage expenses, track spending, and enjoy rewards. Leading Indian banks like HDFC, SBI, Axis, ICICI, and Kotak Bank offer credit cards with features designed to meet business requirements. By choosing the right credit card, small business owners can streamline their financial management, improve cash flow, and save money on everyday expenses. Before selecting a card, it is important to compare features like rewards, fees, and benefits to find one that aligns with the needs of your business.