Capital One® Spark® Classic for Business Review – 2019

SPARK CLASSIC

The Spark® Classic for Business credit card from Capital One® allows businesses to buy goods and services while earning cash back. Other benefits include:

  • Unlimited cash back
  • No minimum to redeem
  • Free employee cards
  • Building credit with this relatively accessible card

Is there an annual fee?

Unlike the Spark Cash for Business, also from Capital One, there is no annual fee. This isn’t unique – certain other cards available also don’t charge an annual fee. These include:

  • Bank of America® Business Advantage Travel Rewards World Mastercard®
  • The Blue Business℠ Plus Credit Card from American Express

However, there are still many business cards around that will charge an annual fee, putting them at a disadvantage compared to the Capital One® Spark® Classic. Examples include:

  • The Chase Ink Business Preferred card (with a $95 annual fee)
  • The Spark Cash for Business from Capital One ($95)
  • The Spark Miles card from Capital One ($95)
  • The Business Platinum® Card from American Express ($450, soon changing  to $595)

What is the APR?

This card comes with a 25.24% variable APR. That’s a little higher than a lot of other business cards.

However, this is because applicants aren’t required to have excellent credit scores to apply – an average or fair score is enough to get the Spark® Classic for Business.

Who is the Spark® Classic for Business card right for?

Any small business owner or sole proprietor who doesn’t have great credit yet could consider applying for this business card as a way to build their credit score and hopefully gain access to cards with greater rewards and a lower APR later.

No annual fee also makes the card easier to afford than some other options, useful as those with a lower credit score are also likely to be looking for savings where they can find them.

Examples of the kinds of small business that will find this card useful include:

  • Freelance developers, copywriters, or similar self-employed people with limited access to credit who could benefit from extra cash to buy hardware or advertise their services
  • Employed people with a side hustle, like an online store or drop shipping business looking for extra funds to get their business up and running
  • Mom-and-pop shops dealing with unanticipated expenses like water, flood, or structural damage, who need extra money to cover the costs and perhaps replace the affected inventory and equipment

For small businesses different needs, a rundown of other popular business credit cards is available here.

Are there introductory rates and rewards?

Unfortunately, as a more affordable card designed for those needing to build credit, the Capital One® Spark® Classic for Business does not feature any introductory rates or rewards.

What are the cash back terms like?

The Spark® Classic offers 1% cash back on all purchases.

Although it’s nice to avoid complicated categories and confusing different rates, 1% is not generous compared to many other options.

That said, cardholders can receive unlimited cashback, and there’s no minimum amount to redeem.

Small businesses able to get a cash back business card with more generous terms due to their higher credit score should consider the Spark Cash for Business from Capital One instead, which offers 2% cash back.

How many points do I get?

The Spark® Classic for Business doesn’t operate a points-based system – only cash back rewards are available.

Does the Spark® Classic offer any travel perks or rewards?

This card generally provides only basic benefits. However, some of the useful perks and protections include:

  • Travel and emergency assistance services, such as legal or medical referrals, and ticket replacements. This help is available by phone 24 hours a day, year-round.
  • An auto rental damage waiver for collision or theft when renting an eligible vehicle
  • No foreign transaction fee makes traveling abroad more affordable

Small businesses interested in generous travel perks with higher credit should consider the Spark® Miles card, also from Capital One®, which features special travel perks and a relatively generous mile earning rate of 2X purchase.

What other benefits come with this card?

Spark® Classic for Business holders also receive the following standard benefits:

  • Purchase security and extended protection means Visa will repair, replace, or reimburse eligible purchases within 90 days and double the duration of the manufacturer’s warranty
  • Easy downloading of purchase records in multiple formats, such as Quicken®, Quickbooks™, and Excel® to make accounting simpler
  • An itemized quarterly and yearly summary
  • Free employee cards

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