The business credit card market is full of great options. Deciding which one is best for your business needs can be difficult.
Chase has four small business cards in the Ink family. Ink Business Preferred® Credit Card is a TPG favorite with a $95 annual fee, various perks, and the ability to earn extremely valuable Chase Ultimate Rewards points that can be transferred to travel partners.
The Ink Business Unlimited® credit card is a cash back card with no annual fee and an unlimited flat earning rate of 1.5%.
Let’s take a look at both cards and discuss which one is a better fit for your business.
Comparison between Ink Business Preferred and Ink Business Unlimited
| Ink business preferred | Ink Business Unlimited | |
|---|---|---|
| Annual fee | 95$ | $0 |
| Welcome offer | Earn 120,000 bonus points when you spend $8,000 on purchases in the first three months of account opening. | Get $750 cash back after you spend $6,000 on purchases in the first three months of account opening. |
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Ink Business Preferred vs. Ink Business Unlimited Welcome Offer
With the Ink business preferredNew applicants will earn 120,000 points when they spend $8,000 on purchases in the first three months of account opening.
Based on TPG’s August 2024 ratings, this welcome offer is worth $2,460.
The Ink Business Unlimited offers new applicants $750 back after spending $6,000 on purchases in the first three months of account opening. If you have a card that earns Ultimate Rewards points, you can use your cash back rewards as points and transfer them to one of Chase’s transfer partners.
It’s important to note that both cards are subject to Chase’s 5/24 rule.
winner: The Ink Business Preferred. The welcome offer value is nearly three times that of Ink Business Unlimited and the rewards can be transferred without the need for another card.
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Related: The Power of the Chase Trifecta: Sapphire Reserve, Ink Preferred and Freedom Unlimited
Advantages of Ink Business Preferred vs. Ink Business Unlimited
Both cards offer similar benefits in terms of travel and purchase protection.
- Primary insurance coverage for rental cars: If you use one of the cards for the entire rental cost and are traveling for business, you are covered against theft and damage in the U.S. and most countries worldwide. Remember, this does not provide liability protection, but you are covered up to the actual cash value of the vehicle you rent.
- Purchase protection: This policy covers new purchases against damage or theft for up to 120 days, up to $10,000 per claim and $50,000 per account.
- Extended warranty: This extends a U.S. manufacturer’s warranty period by one additional year if it is three years or less.
- Employee cards: Get additional cards for your employees free of charge.
The Ink business preferred offers a number of additional benefits that are not included in Ink Business Unlimited. These include:
- Mobile phone protection: If you pay your monthly cell phone bill with your card and your phone is stolen or damaged, you can receive up to $1,000 per claim with a $100 deductible – for up to three claims per year.
- Travel cancellation/trip interruption insurance: If you need to cancel or cut short a trip due to a covered circumstance (such as illness or severe weather), you are entitled to coverage of up to $5,000 per person for prepaid, non-refundable trip expenses. This gives you great peace of mind if unexpected problems arise. Coverage is limited to $10,000 per trip.
Another thing to note is that Ink Business Unlimited has a 3% foreign transaction fee, while Ink Business Preferred has no foreign transaction fee, so if you travel internationally frequently, this is something to keep in mind.
winner: The Ink Business Preferred. This card outperforms the Ink Business Unlimited because it includes cell phone protection and trip cancellation/interruption insurance and does not charge a foreign transaction fee.
Related: How to Reach the Ink Business Preferred Minimum Spend: $8,000 in 3 Months
Earning rewards with Ink Business Preferred vs. Ink Business Unlimited
The Ink business preferred offers more bonus categories than Ink Business Unlimited. As a cardholder, you’ll earn 5 points per dollar spent on Lyft rides through March 2025. You’ll also earn 3 points per dollar on up to $150,000 in combined purchases per account year for:
- Travel
- Mail order purchases
- Internet, cable and telephone services
- Advertising purchases through social media sites and search engines
On all other purchases or after you spend a total of $150,000 in the bonus categories listed above, you will earn 1 point per dollar spent.
Since Chase Ultimate Rewards are worth 2.05 cents per point based on TPG’s valuations, you’ll earn a 6.15% return on your category bonus purchases and a 2.05% return on all other purchases.
As for Ink Business Unlimited, cardholders will receive 5% cash back on Lyft rides and a flat 1.5% cash back on all purchases through March 2025, with no spending cap.
winner: The Ink Business Preferred. This card allows you to earn bonus rewards in more categories.
Related: How to redeem Chase Ultimate Rewards points for maximum value
Redeeming rewards with Ink Business Preferred vs. Ink Business Unlimited
Although both cards are part of the Ink family, their redemption options are very different.
With the Ink business preferredyou can redeem your points in three ways. You can exchange them for cashback, with your points being worth 1 cent each. You can also use them for travel in two different ways.
You can either redeem the points for travel through Chase’s travel portal (where they’re worth 1.25 cents each) or transfer them at a 1:1 ratio to one of Chase’s 14 valuable flight and hotel transfer partners.
With Ink Business Unlimited, you can redeem your points for cash back, gift cards, or travel through Chase Travel.
Let’s say you want to take advantage of Chase’s transfer partners. In this case, you’ll need to combine your Ink Business Unlimited rewards with a full-fledged Ultimate Rewards card like the Ink Business Preferred, Chase Sapphire Preferred or Chase Sapphire Reserve.
winner: The Ink Business Preferred. Both cards can redeem rewards for cash back or travel through Chase Travel, but the Ink Business Preferred doesn’t require you to have another card to access Chase’s travel partners.
Related: Why I chose the Ink Business Preferred over the Chase Sapphire Reserve
Should I choose Ink Business Preferred or Ink Business Unlimited?
If you spend a lot on bonus categories like advertising or shipping and want to use Chase’s transfer partners, Ink business preferred is a great option that will help you maximize your rewards potential. If you want a one-card setup and don’t want to worry about bonus categories, I recommend Ink Business Unlimited instead with its flat-rate, unlimited cash back earnings.
Conclusion
Both cards are solid options; it depends on your business’s needs. Both offer various travel and purchase protections and the ability to earn valuable points or cash back, so your business can’t go wrong with either card.
Choose Ink Business Preferred if you want to maximize your earnings with bonus categories, or Ink Business Unlimited if you want a simplified approach with a flat cash back rate.
To learn more, read our full reviews of Ink Business Preferred and Ink Business Unlimited.
Apply here: Ink business preferred
Apply here: Ink Business Unlimited
Related: Chase Sapphire Reserve vs. Ink Business Preferred: Which Ultimate Rewards card is better for you?
