A guide to business credit cards for restaurant owners

Quick insights

Restaurants can face challenges like thin profit margins and fluctuations in cash flow due to seasonal variations. Fortunately, business credit cards come with features and tools that might help you overcome these challenges.

In this article, we’ll take a closer look at some business credit card features that might help support your restaurant and a few cards you may want to consider.  

Why restaurant owners need business credit cards

A business credit card may be beneficial for any business, potentially offering a way to build business credit, separate personal and business expenses and earn rewards. Business credit cards may also help restaurant owners with some industry-specific pain points. Here are some of the ways these cards might support a restaurant’s operational needs:

4 Business credit card features for restaurants

Here are a few features you may want to consider when evaluating your business credit card options.

1. Rewards program

A business credit card’s rewards program might help offset operational costs, especially if it matches your restaurant’s spending habits. Rewards programs typically offer cash back at a flat rate or the potential to earn accelerated rewards in certain categories. Rewards categories may allow you to earn rewards at a higher rate compared to other general categories.

Here are some rewards categories you might find on a business credit card:

For example, an owner of a vegetarian restaurant may frequently travel around the country to open stalls at vegetarian food festivals. As she purchases flights, hotel stays and meals, she can earn points through a business credit card with accelerated rewards in these categories.

2. Credit limit

Business credit cards often have higher credit limits than personal credit cards, which may allow you to better manage your restaurant’s cash flow. Cards with higher credit limits might help you purchase inventory for a new menu item or manage large expenses during an expansion.

While it may be helpful to pay off your credit card balance in full every month, you can pay off large purchases in installments. However, you’ll usually accrue interest charges if you carry a balance month to month.

3. Expense management tools

Business credit cards often provide tools for managing expenses, which are designed to integrate with accounting software. This integration can help support accurate bookkeeping. Some cards provide expense categorization, potentially aiding with financial reporting and tax preparation. 

Let’s say a restaurant owner regularly reviews the in-depth spending reports provided by his business credit card. He notices that his costs for food supplies have been steadily increasing over the past few months and finds this is due to a supplier gradually raising prices. He decides to research new suppliers to find one with potentially lower prices.

4. New cardmember bonus offers

Aside from the rewards program, another potential way to earn points or cash back is with a new cardmember bonus offer. These introductory offers are designed to attract new cardmembers, typically allowing them to earn a set amount of points once they meet a spending threshold within a specified timeframe. With these new cardmember offers, you usually accrue points much faster than you normally would with the standard rewards program (note that the offer is a one-time bonus).

In summary

Restauranteurs looking for a business credit card may benefit from features like rewards, credit limits, expense management tools and welcome bonus offers. You may want to consider applying for a card that aligns with your restaurant’s needs and goals.

Business credit cards with rewards on common restaurant expenses like advertising, travel, utilities and office supply stores could be beneficial. Several Chase for Business® credit cards offer rewards in these categories.