Running a business is no easy feat, and every little saving could make a difference to the bottom line. One great way to save money while maximising your rewards is the Capital One Spark Cash Plus card.
It is specifically designed for businesses and offers an array of benefits and perks. In this article, we will take a closer look at why the Capital One Spark Cash Plus is a great business card choice, while exploring the benefits and perks that come with the card.
Benefits and Perks
1. Early spend bonus
The Capital One Spark Cash Plus offers a cash bonus when you spend a certain amount within the first three months of owning the card.
You can enjoy a cash bonus of $1,000 when you spend $10,000 within the first three months. This bonus makes it easy to recoup the costs of starting up your business or making any necessary purchases.
2. Simple rewards program
The rewards program for the Capital One Spark Cash Plus is straightforward and ensures that you get cash back on every purchase.
There are no confusing point systems or rotating categories. You will receive 2% cash back on every purchase, every day, and there are no minimum redemption or spending requirements.
3. Free cards for employees
Employers can take advantage of the free card service for their employees.
Aside from having your employees make purchases on behalf of your business with a designated card, you can track their spending and see how much they are spending in real-time. You can also set spending limits on these cards, allowing you to better manage your budget.
4. No foreign transaction fees
The Capital One Spark Cash Plus is perfect for businesses that often make international purchases.
This is because there are no foreign transaction fees. Small businesses often require a lot of travel, and this benefit can help you save a considerable amount.
5. Auto rental collision damage waiver
The Capital One Spark Cash Plus comes with an auto rental collision damage waiver.
This means that if you rent a car and it gets damaged due to an accident, the card will cover the cost of repairs.
6.
Purchase security
The purchase security of the Capital One Spark Cash Plus can help protect your business from unauthorised transactions or fraudulent charges. It covers purchases from theft, loss, or damage within 90 days of purchase.
The card also offers repair and replacement reimbursements. 7.
Extended warranty
Most items purchased with the Capital One Spark Cash Plus come with an extended warranty, doubling the original manufacturer’s warranty for up to one year. This feature ensures that your purchases are covered even if something goes wrong after the original warranty has expired.
8. Accounting made easy
The Capital One Spark Cash Plus’s online transaction platform lets you easily categorise and tag purchases, making it seamless to track expenses and transactions.
The software further integrates with various accounting software, making accounting less time-consuming. 9.
Zero fraud liability
The Capital One Spark Cash Plus is a secure business credit card. In the unlikely event that an unauthorised charge is made on your card, Capital One will cover your losses.
This is a significant benefit for businesses that require large lines of credit to operate. 10.
Capital One Entertainment
Businesses that want to entertain clients or treat employees to a night out or sporting event can take advantage of Capital One’s Entertainment feature. This feature allows you to access exclusive events, buy early access tickets or even book a meet and greet with your favourite artist.
Conclusion
The Capital One Spark Cash Plus is a robust business credit card that offers great rewards and benefits. Not only does it help businesses save money, but it also comes with a long list of perks that work in favour of the business owner.
If you’re considering a business card that provides cash back for every purchase, extended warranties, rental insurance, and more, the Capital One Spark Cash Plus is one to consider.
3) Drawbacks
There are a few drawbacks to the Capital One Spark Cash Plus that prospective cardholders should be aware of before applying.
First, the card comes with an annual fee of $150, which may be a bit steep for some business owners.
However, the benefits of the card may outweigh the cost for many businesses, especially those that spend a significant amount on business-related purchases. Another drawback is the high minimum spend requirement.
To qualify for the welcome offer of $1,000 cash bonus, you must spend $10,000 within the first three months of opening the account. This may be a high threshold for some small business owners, especially those with limited cash flow in the early stages.
It’s also worth noting that the Capital One Spark Cash Plus is a charge card rather than a credit card. This means that the balance must be paid in full each month, and there is no option to carry a balance.
While this helps to avoid interest charges, it may be challenging for businesses that need more flexibility in their payment terms.
4) Earning and Redeeming Cash Back
One of the most significant perks of the Capital One Spark Cash Plus is the simple cashback rewards program that offers a flat 2% cash back on every purchase, every day.
In addition, you can earn 5% cash back for all purchases made through Capital One’s business partners.
You can also earn cash back on employee spending, as employee card purchases also qualify for cashback earnings. When it comes to redeeming your cash back rewards, Capital One provides a range of options that give you the flexibility to maximise the value of your rewards.
You can redeem cash back for a statement credit, a check, or a gift card. Capital One also provides automatic redemption options that can help you consistently earn cash back, and your rewards do not expire as long as your account remains open.
To maximise your redemptions with the Capital One Spark Cash Plus, consider setting up automatic redemptions. This ensures that you always receive the full value of your rewards without having to manually redeem them.
It’s also always a good idea to redeem your rewards for statement credit as it can help offset your account’s balance at no real cash cost to you.
When redeeming for gift cards, make sure to check the terms and conditions.
Some gift cards may have restrictions, such as expiration dates or specific redemption locations. Check carefully to ensure that you select the most convenient and valuable redemption option.
Final Thoughts
The Capital One Spark Cash Plus is an excellent option for businesses looking for a simple and straightforward cashback rewards program. Its benefits and perks make it a formidable contender in the business credit card market.
However, prospective cardholders must also weigh the drawbacks, such as the annual fee and high minimum spend requirement, to ensure that the card aligns with their needs. Understanding how to earn and redeem cash back rewards can also help you make the most of the card, whether it’s through employee card transactions or automatic redemptions.
All in all, the Capital One Spark Cash Plus is one of the best credit cards for businesses to save money with, without being too complicated.
5) Capital One Spark Cash Plus FAQs
If you’re considering the Capital One Spark Cash Plus, it’s natural to have some questions about the card’s features and benefits. Here are some frequently asked questions about the card:
1.
What is the credit limit for the Capital One Spark Cash Plus? The Capital One Spark Cash Plus is a charge card and operates on a no preset spending limit (NPSL) model.
This means that the issuer does not set a specific credit limit. Instead, the credit limit is determined by your creditworthiness, which is evaluated on an ongoing basis.
2. What credit score is needed for the Capital One Spark Cash Plus?
To qualify for the Capital One Spark Cash Plus, you’ll need excellent credit. Generally, a credit score of 700 or higher is expected.
3. Is the annual fee worth it?
Whether the Capital One Spark Cash Plus annual fee is worth it depends on your business needs and spending habits. To determine if the card is worth the fee, it is best to do a cost-benefit analysis that takes into account the benefits of the card compared to other options in the market.
The rewards program alone may be enough to make the annual fee worthwhile, especially for businesses that spend a lot on expenses. Additionally, the other benefits like purchase protection, extended warranty, and free employee cards also add value to justify the fee.
4. What are some lesser-known benefits of the Capital One Spark Cash Plus?
In addition to the card’s well-known benefits and perks, the Capital One Spark Cash Plus also has some lesser-known benefits. These include features like detailed purchase records that help you keep track of expenses while also making accounting and bookkeeping easier.
The card’s purchase protection and extended warranty coverage also add significant value that many cardholders do not realize.
6) Other Cards to Consider
While the Capital One Spark Cash Plus is a great business credit card, there are other options in the market that are worth considering. Here are two cards to consider:
1.
American Express Blue Business Cash Card – If you are looking for a business card with no annual fee but offers good cash back rewards, the American Express Blue Business Cash Card might be a good fit. The card offers 2% cash back on all eligible purchases up to $50,000 each year, making it an excellent option for businesses with lower spending volumes.
2. Ink Business Cash Credit Card – Another great business card to consider is the Ink Business Cash Credit Card.
The card offers tiered rewards where a business owner 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. The card also offers 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year, making it an excellent option for businesses that spend heavily on those categories.
Plus, there is no annual fee. When selecting a business card, assess your spending habits and needs to determine which option is best for your business.
Consider the rewards and perks of each card and weigh them against the costs, including annual fees and other charges. Ultimately, the decision should be based on which card aligns best with your business goals and objectives.
The Capital One Spark Cash Plus is an affordable business credit card that offers a straightforward rewards program and a host of valuable benefits. While the card’s annual fee and high minimum spending requirement may deter some, the flat 2% cash back rewards program on every purchase, and additional benefits like purchase protection, extended warranty, and free employee cards makes it a compelling choice.
Accountants can benefit from the ease of categorizing and tracking expenses through the online platform. The no-preset-limit feature may work great for businesses with variable spending needs.
As with any credit card, it’s important to weigh the costs and benefits to ensure that it aligns with your business’s financial goals and objectives, but the Capital One Spark Cash Plus remains a strong contender that businesses should consider.