Business Credit Cards with Frequent Flyer Points

Compare business credit card offers with frequent flyer rewards points programs


Business Credit Cards, that include the opportunity to earn frequent flyer points, are a popular option of businesses as they enable businesses to be rewarded with frequent flyer points for charging business expenses to their credit card. These Business Frequent Flyer Credit Cards are usually linked to a nominated frequent flyer account making points management hassle free.


Business credit cards provide ready and accessible credit for businesses, along with a few additional features designed for easy card management such as employee purchasing control and in-depth financial reporting. Most business credit cards include interest-free periods designed to help with cash flow, while some also offer balance transfer options to minimize interested payments on existing debts. 




Business Credit Cards with Frequent Flyer Rewards


Business Credit cards are generally issued in the name of a business and are used to cover the purchase of goods and services used by the business, ranging from printing and stationary supplies through to entertaining clients. To be eligible to apply for a Business Credit card your business will need to have a registered Australian Business Number (ABN), or Australian Company Number (ACN) and be OK with providing the contact details of the businesses Accountant.


Business credit cards work in very much the same way as personnel credit cards, and include a number of features designed to help businesses get the most from the business credit card, these features include:


  1. Restricting how the Business credit card is used - This feature is designed to help the business owner manage how cardholders use their business credit cards by restricting the types of transactions can be made using the card, to those related to the business. A common restriction used by business owners is to not allow any cash withdrawals using the card, further restrictions which can be applied to business credit cards is to prevent specific types of purchases using the card
  2. Employee Credit Cards - In a similar manner to supplementary cards available with  personnel credit cards, Business Credit Cards offer the ability to add supplementary cards to the account that are then issued to employees of the business. Any  supplementary card added to a business credit card account can be allocated a credit limit and usage restrictions in line with the businesses credit policies.
  3. Expense Management Reporting - To assist business owners and their finance teams manage any expenses incurred on their business credit cards the card issuers all offer reporting tools which follow the standard reporting formats of the major accounting software tools for easy importation and reconciliation of expenses.
  4. Partners in building your business- The business credit card providers understand that business customers are one of their most valuable types of customer and once they have acquired their business they are extremely keen to retain it. Initiatives designed to drive this loyalty of business credit card customers include complimentary insurances, rate discounts and the opportunity to meet with a business banker to understand the options for a deeper partnership with the card issuer.
  5. Business Credit Card debt is the responsibility of the Business - All business credit cards are issued to the company and not to an individual, and so any debts incurred on a business credit card are the responsibility of the Business and not the Individual who may have made, and approved the transactions. It is for this reason that business credit cards all offer the ability to restrict the value and types of purchases made on these cards, as in the end the responsibility for the debt rests with them.


How to select the Best Frequent Flyer Business Credit Card


1. Access the costs to your business of using a Business Credit Card

The cost of a business credit card is determined by two factors, the annual credit card fee and the purchase interest rate. The level of the annual credit card fee is a product of the level of benefits which the card offers, so for example if the card offers the opportunity to earn frequent flyer Points it is likely the fee for this card would be higher (probably at least double) than a card with no reward program. This same annual credit card fee differential tends to apply where a card includes complimentary business insurance, or not.


The interest purchase rate of a business credit card is the rate of interest you will be charged on any purchases made with the credit card that are not repaid in full, by the due date on your monthly credit card statement.


2. Interest-free days

Most Business Credit Cards include interest free days, with the average being up to 45 days. These interest free days are the maximum number of days which purchases may incur no interest charges.


The actual number of interest free days each purchase you make with your business credit card will receive is dependent on when, in your statement cycle, you make a purchase. So for example if you make a purchase on day 1 of your statement cycle you will receive the maximum 45 days interest free days on that particular purchase amount.


Common to all business credit cards is that to benefit from these interest fee days each month, your credit card balance must be settled in full by the stated repayment date.


3. Complimentary Benefits which save $$ and provide peace of mind

With the business holding full liability for all purchases made with a business credit card measures to  mitigate fraudulent and unauthorized transaction are a valuable benefit which are included with most business credit cards.


Business Credit Card providers have recently begun to include benefits designed to  save on expenses whilst providing peace of mind to business owners, these include:

  • Replacement, repair, or reimbursement of items purchased with the business credit card in the event of theft or damage;
  • Extended warranty protection for purchased goods, given on top of the manufacturer’s warranty;
  • Comprehensive travel insurance for trips charged to the business credit card;
  • Fraud monitoring for online purchases and transactions;
  • Protection against employee misuse of their business credit card privileges.


4. Does getting rewarded with frequent flyer points for your Business Spending make sense?

The inclusion of a frequent flyer reward program should probably not be amongst your primary reasons for selecting a business credit card, though they are worth including in your thinking, particularly if you plan on using your business credit card as a primary vehicle for expensing your businesses operational costs through.


Many of the rewards programs offer rewards that may well be directly relevant to your business and so offer “real” value, which can benefit the business. The ultimate real value is the cash back reward where your card is credited with a sum of cash, or there are the multitude of merchandise which can be acquired in return for points, so maybe a new computer or printer for the office?


When accessing the virtues of business credit cards that include frequent flyer reward programs be aware that these credit cards do tend to attract higher annual fees, and if you are not 100% confident that the balance of the credit card will not be fully repaid each month, refocus your thinking back toward low purchase rate cards.

Business Credit Cards with Frequent Flyer Points - Frequently Asked Questions

While the term ‘business credit card’ is often used for business cards that offer a credit line, there are actually two types of credit cards designed for businesses: a Business Credit Card and a Corporate Charge Card.

A business credit card is the more common of the two and functions just like a personal credit card. You use the credit card for paying business expenses and at the end of every billing period, you are given a few days to either settle the outstanding balance in full, or just pay at least the minimum amount. Any outstanding debt left unpaid after the due date will be carried over to the following billing period with an added interest cost.

A corporate charge card on the other hand, works essentially as a short-term monthly loan for businesses. Any purchases charged on the corporate card will be considered payable immediately at the end of the month or the billing period. This allows companies to avoid high interest fees while also giving the convenience of a typical credit card. However, due to its more stringent payment terms, it is more suitable for larger companies that have established financial resources that allow them to pay off any and all debts incurred over the past month.

Possibly. This will depend on the Policy that your company or business has set regarding the usage of credit card rewards points.

If you are the business owner however, then redeeming rewards will really be at your discretion. Since the rewards for business credit cards will be of the same nature as personal credit cards - cash back, merchandise, gift cards, travel, entertainment, etc. - you can opt to use these for your personal needs or plow it back to the business. For instance, free flights can be used for business-related travel, entertainment rewards utilized for promotional offers, and gift cards or merchandise given to meritorious employees.