Capital One Spark Classic for Business Review: A No-Fee Business Card with Cashback Perks (2024)

Building a small business is hard work, and establishing business credit when you have none can be a chore, too. Luckily, the Capital One Spark Classic for Business (learn more) can help you do both.

This card only requires average credit to get approved and offers perks many business owners will find invaluable. Whether you’re just starting a business or looking for a good credit card solution for your employees, this card could have what you need.

Who should get this card?

The Capital One Spark Classic for Business is a useful option for small business owners with average or fair credit. It’s not going to bowl you over with high-level perks, but it does enough to stand out among other business credit cards for people with little to no credit.

There’s a $0 annual fee attached to this card, and it offers easy-to-understand cashback rewards with no special spending categories to memorize. You’ll earn an easy 1% unlimited cash back on every purchase for your business, plus 5% cash back on hotels and rental cars booked through Capital One Travel, including spending on employee cards.

There are also several tools that business owners might enjoy. This includes year-end summaries that provide itemized reports of company spending, which can come in handy at tax time. Payments are a breeze with the option to set your own due date and use automatic payment options. Business owners can earn even more rewards with free employee cards, with which you can set customized spending limits.

The Capital One Spark Classic for Business offers the perks, protections, and tools to help your small business thrive. If you’re looking for a business credit card with rewards and that helps you build your credit, Capital One’s Spark Classic could be a smart choice.

Card basics

Top card benefits

• Easy-to-track rewards program: Cardholders earn a flat 1% unlimited cash back on every purchase for your business, plus 5% cash back on hotels and rental cars booked through Capital One Travel. While not the highest rewards rate on the market, there are no spending categories to track or complex point systems to learn.
  
• Increase your credit with responsible use: This card is available for business owners with average credit. By keeping your credit utilization low and making on-time, full monthly payments, business owners can use this card to build up a positive credit history.
• Free employee cards: Business owners can get free cards for any of their employees. You’ll earn rewards from all of their purchases and can set individual spending limits for each employee.
  
• $0 annual fee: Business owners can use the Capital One Spark Classic for Business to cover company expenses with no worries of an added annual fee.

• Travel perks: This isn’t a travel rewards card but offers some nice travel perks, including auto rental damage waiver (primary coverage) and travel and emergency assistance services. It’s nice to know you and your employees have extra protection when traveling.
• Capital One Entertainment:Receive special access to music, sporting, and dining events through the Capital One Entertainment portal. You have the option to use your rewards, your card, or a combination of the two to pay for tickets.

Earning & redeeming

Capital One’s Spark Classic for Business keeps earning rewards simple. You earn 1% unlimited cash back on every purchase for your business, plus 5% cash back on hotels and rental cars booked through Capital One Travel. Unfortunately, there’s no early spend bonus or opportunity to earn extra rewards with this card.

Best ways to earn

Because of the flat rewards rate, the only way to boost your earnings is to simply use your card for as many business purchases as possible. This includes office or shop supplies, office equipment, fuel and travel expenses, and other business-related spending. If you make $15,000 in monthly purchases, you’d earn $1,800 in cash back annually.

Be mindful of your spending, though, so you don’t carry over a balance from month to month. If you do, you’ll get hit with interest charges thanks to the card’s relatively high APR (annual percentage rate) — and any interest costs you pay will eat into your net cashback rewards.

As you make responsible choices with your card, you’ll build better credit and eventually qualify for other credit cards that offer better rewards and perks.

Maximizing your redemptions

Because rewards are cash back, redemptions are simple with Capital One’s Spark Classic for Business. Cash back can be redeemed as a statement credit or a check. And there’s no minimum, so you can redeem anytime you want. This allows you to put cash back into your business.

Cardholders can also set up automatic redemptions, which can simplify rewards even more. You can either choose a set time each calendar year to automatically redeem your cash back or set a certain dollar threshold at which to redeem your rewards.

Common questions

Other cards to consider

Another similar Capital One card to consider is the Capital One Spark Miles Select for Business, which also has a $0 annual fee. You’ll need excellent credit to qualify, but the perks are better than what you’d get with the Spark Classic. It comes with the chance to earn a $750 cash bonus after spending $6,000 in the first 3 months and earns up to 5X miles on all purchases.

Business owners interested in cashback rewards and a hefty welcome bonus should also consider the Ink Business Cash® Credit Card. You can earn $750 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening.

Plus, 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. There’s a $0 annual fee, plus a 0% intro APR on purchases for the first 12 months (then18.49% - 24.49% Variable).