Did you know that around 67% of all business owners have a dedicated business credit card? Setting up a business includes setting up its bank accounts and financial facilities. This is why it’s so important to find the best credit card in UAE for your business.
While a small percentage of business owners use business credit cards for essential start-up finance, most use this credit facility to help strengthen their cash flow. This line of credit can help you make small purchases for the business without having to dip into any core finances.
Are you looking for a guide on how to find the best credit card in UAE for business? You’re in the right place. Here’s everything you need to know about credit cards and how to find the best one.
What Is a Business Credit Card?
A business credit card is a special credit facility designed to help business owners make small purchases on credit. This kind of credit card is meant for business expenses and not for any individual’s personal use.
Having a credit card for your business can help you pay for unexpected expenses, take pressure off your cash flow, and even build a credit history for your business.
Why Do You Need a Business Credit Card?
While you can use your business credit card for emergency finances, the most noteworthy reason to get one is to build a credit score for your business. Your credit score is an important metric associated with your business and is vital to its financial health.
A positive credit history will let the bank know that you can be trusted with credit. This will come in handy later if you ever wish to take larger loans for your business. These loans are typically taken to purchase vehicles or property for your business.
For small businesses, having a business credit card can help organise your finances. This card will allow you to keep your personal and business expenses separate.
How To Find the Best Credit Card in the UAE
While there are many benefits that come with having a business credit card, not all credit cards are the same. Here are some of the benefits to look out for before you make your final decision on which credit card to get.
When choosing a business credit card, look closely at the bank charges and interest rates. These rates are very important as they will let you know how much interest you will have to pay. While these rates are higher than other forms of credit, you should always go with the lowest rate.
This will allow you to use your business credit card without having to worry about paying too much interest later.
The next best thing about business credit cards is the reward programs. Different banks and card issuers have unique reward programs. These programs are designed to encourage you to use your business credit card.
These rewards work in two main ways. The first is a direct cash-back reward system. This works by offering you a percentage of every purchase back in cash. This cash can then be collected in a separate rewards account or directly reduce the amount of money you owe on your card.
The second way rewards work is through awarding points on every purchase. These points are an in-company currency that is awarded to you based on your purchase. This means that the more you spend, the more points you will accumulate.
The bank or card issuer can then allocate a cash value to each point. This allows you to convert your points for cash. Some banks will offer discounts and promotions in exchange for points. This allows you to spend your points on tickets, devices, or gift vouchers.
Business credit cards also offer distinct perks to business owners. These perks are designed to make your life easier while also encouraging you to use your credit card. Unlike rewards where your points are linked to the amount you spend, perks are given to all cardholders.
Banks and credit card issuers will offer business owners a wide range of benefits. This includes airport lounge access, discounted services, and even monthly vouchers as perks for opening a credit card with them.
While perks are given to all cardholders, some banks will unlock even more perks for business owners that spend a certain amount of money every month. This is used to encourage business owners to use their credit cards more.
What Is the Best Credit Card In UAE?
There are a few different credit cards you can get for your business in the UAE. Here’s a quick breakdown of the most popular options along with the benefits of each.
1. Emirates NBD Lulu Credit Card
To qualify for the Emirates NBD Lulu Credit Card, you only need a monthly income of AED 5,000. To make this even better, the credit card comes with one of the lowest interest rates of just 3.25% per annum.
The Emirates NBD Lulu Credit Card comes with a few impressive perks as well. This includes 3.5% back as LuLu Points on your daily spend. You will also get 1% back in points for utility bill payments and 0.35% back on all other purchases.
2. DIB Platinum Credit Card
Offered by Dubai Islamic Bank, this credit card is perfect for bills, fuel, and supermarket purchases. This credit card comes with a few rewards including 4% cashback on all supermarket, fuel, and auto servicing payments.
You can also get up to 4% back on all school fees. This makes it the perfect credit card to live with every day. While these cashback offers are impressive, you should note that there is an AED 400 limit on how much cash you can earn.
While there is a limit on how much cash you can earn, this limit is significantly higher than other cashback credit cards. Most other cards have a limit of around AED 200 per category. This is half of what the DIB Platinum Credit Card is offering business owners.
3. Expo2020 Credit Card by Emirates Islamic
The Expo2020 Credit Card is issued by Emirates Islamic and offers a massive 50% discount on Expo2020 tickets. This card also lets holders enjoy free valet parking when they visit the expo.
The credit card comes with a dynamic reward program, with new cardholders getting a welcome bonus of 5,500 Uby Emaar Upoints when they sign up. To qualify for this credit card, you will need a monthly salary of at least AED 5,000.
4. Emirates Ultima Credit Card by Citibank UAE
The Emirates Ultima Credit Card is one of the most exclusive and elite credit cards you can get in the UAE. The iconic metal card comes with the best Skywards earn rate of up to 2.5 Skyward Miles per USD spent.
This credit card comes with some of the most impressive perks in the industry. This includes a 25,000-point sign-up bonus for the first year along with an additional 10,000 points after one year. This card also offers you access to over 1,000 airport lounges around the world and unlimited golfing on weekdays.
Cardholders will also get complimentary travel insurance and travel medical aid whenever they purchase tickets using the card.
5. Citi Cashback Credit Card
The Cashback Credit Card from Citibank is by far the best cash back credit card in UAE. This credit card offers a wide range of cashback rewards including 3% cashback on all non-AED spend. Business owners that use this card will get 2% back on all grocery and supermarket purchases and 1% back on everything else.
There are no annual fees to pay in the first year. In addition to this, there is no minimum spend to keep both the card and its perks. Speaking of perks, you will get complimentary access to over 1,000 airport lounges around the world.
To qualify for this card you must be over the age of 21 and bring in at least AED 8,000 per month.
6. ADIB Cashback Visa Platinum Card
The ADIB Cashback Visa Platinum Card is a low-interest credit card with no annual fee for the first year. This card will require you to have a minimum salary of at least AED 5,000 per month to qualify. Unlike some other credit cards, this card will let you withdraw your entire credit limit.
This credit card comes with a few perks such as valet parking services, access to airport lounges, and complimentary roadside assistance. There is also a 1% cashback offering on all spend made with this credit card.
7. HSBC Zero Credit Card
HSBC is one of the largest and most popular banks in the world. The HSBC Zero Credit Card allows business owners in the UAE to access HSBC’s reward program and Entertainer app. This is where cardholders can enjoy over 10,000 “Buy 1 Get 1 Free” deals across the leisure, retail, wellness, and dining categories.
There are also some massive discounts offered with this card. This includes up to 30% off at select restaurants and up to 12% off at almost a million hotels around the world. This makes the HSBC Zero one of the best credit cards on the market.
8. Mashreq Platinum Elite Credit Card
The Mashreq Platinum Elite Credit Card is a great credit card for those who travel. This is because card holders can enjoy unlimited access to over 1,000 airport lounges around the world for free. This card also gives holders 50% off movie tickets and free access to Fitness First.
To qualify for this credit card, you will need a monthly income of at least AED 7,000. While this is the minimum to get the credit card, there is no minimum spend required to keep the account open. This means that you can enjoy all the perks without stressing about qualifying for them.
9. Standard Chartered Manhattan Platinum Card
Standard Chartered is another global bank that comes with a world-class reward program. The Standard Chartered Manhattan Platinum Card is their top-tier offering, requiring a monthly income of at least AED 5,000 to qualify.
This credit card comes with a low interest rate of 3.45% while also offering a wide range of discounts and incentives. This includes up to 20% off golf clubs, 30% off bookings made at Timeout Dubai, and 12% off travel bookings through Agoda.
10. Emirates Islamic Cashback Plus Credit Card
If you’re looking for instant cashback, look no further than the Emirates Islamic Cashback Plus Credit Card. This credit card comes with instant cashback on all purchases made with the card. While there are different earn rates for different purchases, you can earn up to 10% on supermarket, education, dining, and telecom purchases.
In addition to these discounts, you will get access to over 1,000 airport lounges around the world. While this card does offer a high cash back rate, you should know that most categories are limited to around AED 200 every month.
However, this limit is per category. This means that you can earn up to AED 200 back on groceries but another AED 200 back on school fees.
Start a Business in the UAE Today!
Business credit cards are a great way to make purchases without impacting your cash flow. However, not all credit cards are made the same. This is why you should take some time to find the best credit card in UAE for your business.
Finding the right bank accounts and credit cards is part of setting your business up for success.
If you have any questions or want to learn more about the services we offer budding entrepreneurs, feel free to contact us today. We would love to offer you a free consultation so that we can help get you started.