Best Credit Cards for Contractors and Construction Businesses [2024]

Business owners, especially contractors, can harness the power of rewards credit cards to manage their cash flow effectively and benefit from their rewards rates and potential welcome bonuses.

Some of our favorite business cards for contractors and businesses include the Ink Business Unlimited^® Credit Card and the The Blue Business^® Plus Credit Card from American Express. Both cards have a simple flat-rate structure that takes the guesswork out of earning rewards.

Let’s explore the top small business credit card options and explore the benefits they can add to your business.

Key takeaways

• Among our business credit card recommendations are the Ink Business Unlimited^® Credit Card, the Ink Business Cash^® Credit Card, the Capital One Spark Cash Select for Good Credit, and The Blue Business^® Plus Credit Card from American Express.
• These credit cards offer employee cards at no additional cost. They also offer rewards on various types of purchases, providing construction businesses with an opportunity to earn money on their spending.
• Using a business credit card for your expenses can help you keep personal and business finances separate.
  
• Some of our recommended credit cards offer purchase protection or extended warranty protection, which can help you have more peace of mind when making your purchases.
• Some of these cards offer an intro APR period on purchases, which can be beneficial for contractors who need to pay off their purchases over time.

The best credit cards for contractors

• Ink Business Unlimited^® Credit Card
• Ink Business Cash^® Credit Card
• Ink Business Preferred^® Credit Card
• Capital One Spark Cash Select for Good Credit
• The Blue Business^® Plus Credit Card from American Express
• Lowe's Business Rewards Card from American Express

Compare the best credit cards for contractors

As a contractor with a limited liability company (LLC), it’s important you stick with business credit cards for your business expenses. You carry a lot of liability in your profession, and using a personal credit card for your business expenses opens you up to being held personally liable should something go wrong on the job. Using a business card for all your business expenses keeps you and your business completely separate from one another.

With that in mind, I’ll walk you through a handful of the best business credit cards I recommend for contractors.

Ink Business Unlimited^® Credit Card

The Ink Business Unlimited^® Credit Card is a straightforward credit card that takes the guesswork out of earning rewards. There’s no need to worry about spending categories with this card. You simply earn a flat amount every time you swipe your card. There are no spending caps either, which means you’ll earn unlimited rewards on all your business expenses. This card has a $0 annual fee.

Welcome offer: Earn $750 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening.

Recommended credit score: Excellent, Good

Why we like it: You can earn unlimited 1.5% cash back on every purchase using the Ink Business Unlimited^® Credit Card. You’ll also have a 0% intro APR on your purchases for the first 12 months (then 17.99% - 23.99% Variable). This is huge if you have to carry a balance until you get paid for a project, as you can save money on interest charges. And because Chase doesn’t report business activity to your personal credit, carrying a balance on this card won’t negatively impact your personal credit score by increasing your credit utilization.

What we don’t like: The Ink Business Unlimited^® Credit Card offers a fixed rewards earning rate, so it doesn’t have elevated rates for certain categories like some other cards do. While this might not be a deal breaker, it means that you might be able to earn more rewards on certain purchases using a different card.

Apply now or read more in our Ink Business Unlimited^® Credit Card review.

Ink Business Cash^® Credit Card

The Ink Business Cash^® Credit Card rewards you for spending within certain categories. This card comes with a $0 annual fee.

Welcome offer: Earn $350 when you spend $3,000 on purchases in the first three months and an additional $400 when you spend $6,000 on purchases in the first six months after account opening.

Recommended credit score: Excellent, Good

Why we like it: With this card, you can earn 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable and phone services each account anniversary year; 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year; and 1% cash back on all other purchases. The Chase Ink Business Cash Credit Card also comes with 12 months of 0% intro APR on purchases (then 17.99% - 25.99% Variable), so you can have the freedom of carrying a balance until you get paid while saving money on costly interest charges.

What we don’t like: While the Ink Business Cash^® Credit Card offers bonus categories, these categories are capped. This means you’d earn the base rewards rate on spending that exceeds the maximum amount for these categories.

Apply now or read more in our Ink Business Cash^® Credit Card review.

Ink Business Preferred^® Credit Card

The Ink Business Preferred^® Credit Card comes with a lucrative welcome offer and elevated rewards rates on certain spending categories. This card comes with a $95 annual fee, but it easily pays for itself when you consider its benefits.

Welcome offer: Earn 90,000 bonus points after you spend $8,000 on purchases in the first 3 months from account opening.

Recommended credit score: Excellent, Good

Why we like it: Using this credit card, you can earn 3X points on the first $150,000 spent in combined purchases on travel, shipping purchases, Internet, cable and phone services, advertising purchases made with social media sites and search engines each account anniversary year; and 1X points per $1 on all other purchases.

What we don’t like: The Ink Business Preferred^® Credit Card has an annual fee of $95. While this fee can be easily justified thanks to this card’s welcome offer and rewards rates, it’s still money out of your pocket. Additionally, this card doesn’t offer an intro APR period on purchases.

Apply now or read more in our Ink Business Preferred Credit Card review.

The Blue Business^® Plus Credit Card from American Express

The Blue Business^® Plus Credit Card from American Express is a flat-rate rewards credit card that helps you earn rewards using a simple structure. This credit card comes with an annual fee of $0.

Welcome offer: Earn 15,000 Membership Rewards points after you spend $3,000 on eligible purchases within the first 3 months of card membership.

Recommended credit score: Excellent, Good

Why we like it: The Blue Business^® Plus Credit Card from American Express allows you to earn 2X Membership Rewards points on everyday eligible business purchases up to $50,000 each year, and 1X points on eligible purchases after that. Plus, thanks to its intro APR period on purchases, this card can help you save money on interest charges.

What we don’t like: Having a fixed rewards rate simplifies your earning potential. However, it also means that you might miss out on earning elevated rewards on specific categories. That’s why you may want to pair the The Blue Business^® Plus Credit Card from American Express with another credit card that offers higher rewards for certain expenses.

Apply now or read more in our Amex Blue Business Plus Credit Card review.

Capital One Spark Cash Select for Good Credit

The Capital One Spark Cash Select for Good Credit is another solid option for contractors who simply want a flat-rate rewards credit card that allows them to earn cash back using a straightforward structure.

Welcome offer: Introductory APR on purchases.

Recommended credit score: Good

Why we like it: With this card, you can earn Unlimited 1.5% cash back on all purchases on all cards attached to the account; plus 5% cash back on hotels and rental cars booked through Capital One Travel. You can also benefit from its 0% intro APR on purchases for the first 12 months, then 21.24% - 29.24% (Variable) APR. It also offers purchase protection and extended warranty protection.¹

What we don’t like: Like other credit cards with fixed rewards rates, using the Capital One Spark Cash Select for Good Credit for your business expenses may not provide the highest possible earning potential. But its simple rewards rate means that you won’t have to carry several credit cards to find the best one to use in every situation.

Learn more in our Capital One Spark Cash Select for Good Credit review.

Lowe's Business Rewards Card from American Express

The Lowe's Business Rewards Card from American Express is a decent card for frequent Lowe's shoppers who enjoy discounts and want to benefit from rewards on their Lowe's purchases.

Welcome offer: Earn 5% cash back on purchases at Lowe’s for the first 6 months. 2% back after (new accounts only).

Recommended credit score: Excellent, Good

Why we like it: With this card, you can earn 2% cash back on business categories (U.S. restaurants, U.S. office supply stores, and purchases with U.S. wireless telephone service providers) and at Lowe's stores and Lowes.com; 1% cash back on all other eligible purchases. It has a $0 annual fee, so you don’t have to worry about it adding extra costs. It also offers valuable business management tools, including detailed transaction reporting and spending limits for employees, which helps with control over business expenses.

What we don’t like: This card’s rewards program is primarily focused on Lowe's purchases, which may not be ideal for businesses that do not frequently shop at the store. It also doesn’t come with an intro APR offer on purchases or balance transfers, so it isn’t an ideal choice if you want to avoid interest on bigger purchases.

Learn more in our Lowe's Business Rewards Card from American Express review.

How credit cards can be a powerful tool for contractors

As a contractor, it’s important to stay on top of your finances. If a job requires you to pay for materials out of your own pocket, you may not get reimbursed for those costs until after you complete the job. Depending on the length of the job, you could be waiting months to get paid and/or reimbursed.

However, there’s a way you can avoid using your cash reserves to pay for the costs of doing business while also earning rewards: credit cards.

When you use one of the best business credit cards to fund your business purchases, it lets you do two things: alleviate the burden of using your own money to front the costs of materials and earn cash back on that spending. For these reasons, credit cards are valuable lines of credit that every contractor needs to add to their wallet.

Let me explain what I’m talking about in real-world terms so you can see the enormous money-saving potential of adding a credit card to your toolkit.

Paying for materials in cash versus credit cards

Say you’ve landed a new roofing job. The job is to replace the entire roof on a 3,000-square-foot home. The homeowner told you what sort of material they want to use, but it’s up to you to supply everything. So you head to Home Depot to get what you need.

You get the materials, and the total comes to roughly $15,000. Let’s look at how funding this project with cash versus a credit card would play out.

By using the Ink Business Cash^® Credit Card instead of cash, you can earn $350 when you spend $3,000 on purchases in the first three months and an additional $400 when you spend $6,000 on purchases in the first six months after account opening. And that’s just the welcome offer — that’s not including the points you earned on your purchase itself. 

With the Ink Business Cash, you earn 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable and phone services each account anniversary year; 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year; and 1% cash back on all other purchases. This card even has a $0 annual fee.

This is just one example of how the right business credit card can improve your bottom line. In fact, there are many business credit cards that can transform your expenses. All have something unique about them, but all allow you to cut costs and increase your earnings.

How to choose the best credit card for your construction business

As a contracting business owner, you probably have specific spending habits and needs, so you should consider the following factors when selecting a credit card:

• Assess your spending habits: You likely have varying expenses, so consider a credit card that rewards you for the categories in which you spend the most. If there’s no category that clearly comes on top, you may prefer a credit card that offers a fixed rate on all purchases.
• Consider the card’s annual fee: Some cards come with annual fees, while others have $0 annual fees. Weigh the card's benefits against its annual fee to determine if it's a cost-effective choice for your financial situation. Keep in mind that some premium cards may offer significant perks that can outweigh the annual fee.
• Look for an intro APR period: Contractors often encounter fluctuating income streams, so managing cash flow is critical. Look for credit cards that offer an introductory APR period for purchases. This can provide you with a valuable buffer to make necessary business purchases without facing high interest rates. However, ensure you have a clear repayment plan in place to avoid debt when the introductory period ends.
• Find out the card’s additional benefits: Beyond cashback rewards, cardholders should explore the additional available benefits. These may include a sign-up bonus, purchase protection, extended warranty, and more. Consider which benefits are most relevant to your contracting work and choose a card that complements your professional needs.

Alternative financing options for construction businesses

While credit cards can be a convenient way to finance small purchases, they may not be the best option for larger expenses that come with running a construction business. Fortunately, there are several alternative financing options available to help you manage cash flow and fund projects. Here are a few to consider:

• Equipment financing: This type of financing allows you to purchase the equipment you need for your business while spreading out the cost over time. You'll typically make monthly payments with interest until the equipment is paid off.
• Business line of credit: A business line of credit gives you access to a revolving line of credit that you can draw from as needed. You'll only pay interest on the funds you use, making it a flexible financing option for ongoing expenses.
• Project loan: A project loan is a type of financing that's specifically designed to fund a construction project. You'll receive a lump sum payment upfront, which you'll repay over time with interest.

Each of these options has its own pros and cons, so it's important to carefully consider which one is right for your business. By exploring alternative financing options, you can find the funding you need to grow your construction business and take on new projects.

Best credit cards for contractors FAQ

Best credit cards for contractors: bottom line

As a contractor, your business expenses give you a lot of potential to earn big rewards. Using the right business credit card for your expenses can put cash back into your pocket as long as you practice good financial habits. Pay off your balance in full each month to avoid interest charges, or you can avoid these charges by using a 0% intro APR credit card.

Credit cards are valuable tools that can transform your contracting business. Decide which credit card best fits your needs as a contractor, and watch the rewards roll in.

Advice from our experts

As a contractor, there’s added responsibility to keep your business finances separate from your personal finances. That’s why we asked a panel of experts to weigh in on the potential benefits of having a business credit card in your wallet.

Are there any tax-related benefits to putting your expenses on a business credit card?

Joseph R. Stasio Jr.

Associate Professor, Department of Marketing at the Girard School of Business | Merrimack College

Yes, there are several tax-related benefits to using a business credit card for your expenses:

• Simplified record-keeping
• Clear separation of personal and business expenses
• Easier deduction tracking
• Expense reporting
• Potential rewards and cash back
• Potential tax advantages on interest and fees

It’s crucial to keep detailed records and receipts for all business expenses, even when using a business credit card. The IRS may require documentation to support your deductions in case of an audit. Consulting with a tax professional or accountant can help ensure you’re maximizing your tax benefits and complying with relevant tax laws.

'Alex' Wei Wu, Ph.D.

Associate Professor, Finance, Real Estate and Law Department, College of Business Administration | Cal Poly Pomona

Yes, there are several tax-related benefits:

• Easier expense tracking: By separating personal and business expenses, a business credit card can simplify record-keeping, making it easier to track deductible expenses for tax purposes.
• Potential tax deductions: Interest on business credit card debt and certain fees may be tax-deductible, provided the charges are directly related to your business operations.
• Organized financial statements: Having all your business expenses on one card streamlines the process of generating financial statements, which can be beneficial during tax season.

Bennett Quillen

Adjunct Professor, Business Economics | Belmont Abbey College

No more than using a regular card. You still need to track your business expenses. Of course, having a designated business card helps to isolate expenses for tax reporting purposes.

Mark T. Schenkel, Ph.D.

Professor of Entrepreneurship & Department Chair, Jack C. Massey College of Business | Belmont University

There are tax-related benefits to putting your expenses on a business credit card. For example, any interest paid on business purchases is tax-deductible. This means doing so can, in turn, reduce the amount of business earnings subject to tax. It is important to remember that this only applies to business expenses, not your personal expenses. So, if you use your business credit card for both business and personal expenses, only the interest that applies to business purchases can be deducted. Many fees that are associated with business credit cards are also tax-deductible (again subject to business-personal distinction).

When should you open a business credit card rather than applying for a small business loan?

Irene Hurst

Director of Operations, Center for Analytics and Creativity | University of South Florida

If you have good enough credit to open a small business loan, most of the time it is better to get a business loan, because the interest rate is better. You can also explore loans from small financial institutions or Certified Development Corporations in your area that administer small business loans on SBA's behalf. For an example, in Florida, we have the Sunshine State Economic Development Corporation that administers SBA Community Advantage Loans and ILP Programs.

Michael J. Provitera

Doctor of Business Administration (DBA), MBA, Associate Professor of Organizational Behavior, D. Inez Andreas School of Business and Public Administration | Barry University

Never seek a business loan if possible. Use discretionary funds or build a business from the garage. If a loan is necessary, use a reputable bank because they will send clients to you. Business credit cards are easy to open using American Express and there are no fees to open a business card. American Express will also let employees have additional cards at no charge.

Michael Opara, DBA CPA

Associate Professor, Department of Accounting & Finance | Texas A&M University, Commerce

Several conditions seem to favor the use of business credit cards over a small business loan. When your business needs short term financing, that is when a business credit card might be best suited, and especially coupled with high-interest rate environment.

When a major financial outlay is anticipated, and the expense could be multi-year in nature, then a business loan might be more suitable compared to a business credit card. Put differently, a business credit card is your best tool when you have daily and/or routine business expenses which you can pay off fairly quickly. A business loan is best suited for significant long term/capital outlays such as equipment upgrades or a major business expansion.

Finally, when a business is new and does not yet have a track record of performance, you may be better served by going for a business credit card.

Melinda Shew

Business Instructor | Surry Community College

Opting for a business credit card instead of a small business loan can be beneficial in several ways. Although business credit cards often come with higher interest rates compared to loans, they offer valuable perks if managed wisely. One significant advantage is the rewards program, where many credit cards provide “cash back” on purchases. These rewards can be used for various business needs, such as travel or office supplies, and are typically not considered taxable income.

Additionally, credit cards can offer retailer-specific discounts, like Lowe’s 5% off on purchases, which can lead to substantial savings for businesses, particularly those in construction or similar industries. It is crucial, however, to pay off the balance in full each billing cycle to avoid accruing interest and incurring fees. By leveraging these benefits and maintaining diligent payment practices, a business credit card can be a valuable financial tool.

Methodology

To identify the best credit cards for contractors, we began by compiling a list of credit cards relevant to their unique financial needs. We considered factors such as rewards and benefits relevant to contractors' expenses, including business-related purchases, equipment, and project-related costs. In addition, we assessed annual fees, welcome offers, and other perks that could benefit contractors.

We then collected information on each card and selected the options that offered the highest benefits for contractors. Note that we haven't included every available credit card option in our recommendations, as our aim is to provide a curated list to assist contractors in making informed decisions. Additionally, our list is not presented in any particular order, as the best credit card for one contractor may not necessarily be the ideal choice for another.

Unlimited Cash Back

Ink Business Unlimited^® Credit Card

4.8

FinanceBuzz writers and editors score cards based on a number of objective features as well as our expert editorial assessment. Our partners do not influence how we rate products.

Ink Business Unlimited^® Credit Card

Apply Now

Current Offer

Earn $750 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening

Annual Fee

$0

Rewards Rate

Unlimited 1.5% cash back on every purchase

Benefits and Drawbacks

Benefits

• $0 annual fee
• Elevated flat-rate rewards structure
• Generous welcome offer
• Intro APR offer on purchases
• Free employee cards

Drawbacks

• No bonus rewards for specific categories
• Foreign transaction fee of 3% of each transaction in U.S. dollars
• Limited travel perks

Card Details

• Earn $750 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening
• Earn unlimited 1.5% cash back on every purchase made for your business
• No Annual Fee
• Redeem rewards for cash back, gift cards, travel and more through Chase Ultimate Rewards®.
• Earn rewards faster with employee cards at no additional cost. Set individual spending limits for greater control.
• Round-the-clock monitoring for unusual credit card purchases
• With Zero Liability you won't be held responsible for unauthorized charges made with your card or account information.
• 0% introductory APR for 12 months on purchases
• Member FDIC