INTRODUCTION

Selecting the right credit card for your business is crucial in leveraging daily operational expenses into valuable rewards and benefits. The Chase Ink Business Preferred® Credit Card offers a compelling package of features that can significantly enhance a business's spending strategy, especially for those with considerable expenses in travel, shipping, and digital advertising. This detailed analysis explores the robust rewards program, versatile redemption options, and the array of benefits provided by the card, helping you decide if it's the right fit for your business needs.

CARD OVERVIEW

The Chase Ink Business Preferred is designed with the specific needs of business owners in mind. It combines a moderate annual fee with an extensive rewards program and comprehensive travel protections. This card not only addresses typical business expenses but also provides substantial returns in the form of travel rewards and insurance benefits, which are particularly beneficial for businesses that frequently engage in travel or international transactions.

KEY FEATURES

Annual Fee: $95

Sign-up Bonus: 100,000 points after spending $8,000 in the first three months of having the card
 

Earn bonus points in these categories:

• 5X points on Lyft rides (through March 2025)
• 3X points on up to $150,000 in combined purchases per year on travel, shipping, internet, cable, and phone services, and advertising with social media sites and search engines
• 1X point on all other purchases

Benefits:

• No cost for employee cards
• Extensive travel insurance and protections
• No foreign transaction fees

Redemption Options:

• Points are worth 25% more when redeemed for travel through the Chase Ultimate Rewards portal
• 1:1 point transfer to numerous airline and hotel partners
   

Additional Protections:

• Purchase protection, cell phone protection, auto rental collision damage waiver, and various travel insurances

WELCOME BONUS

One of the standout features of the Chase Ink Business Preferred® Credit Card is its generous welcome bonus, which can provide a substantial boost to your business's travel budget right from the start. The card offers a lucrative bonus of 100,000 Chase Ultimate Rewards points after you spend $8,000 on purchases within the first three months of account opening.

• Valuing the Welcome Bonus
  When redeemed through the Chase Ultimate Rewards travel portal, these 100,000 points are worth 1.25 cents each, thanks to the 25% uplift in value that the Ink Business Preferred card offers. This makes the welcome bonus worth at least $1,250 in travel bookings directly through Chase, covering a wide range of options from flights to hotel stays and car rentals.
   
• Strategic Transfers to Travel Partners
  Alternatively, transferring your Ultimate Rewards points to one of Chase's airline and hotel partners often yields the highest return on your points. This approach can unlock even more value, especially for international business class flights or luxury hotel stays, where the cost in points can be significantly less than the cash price of the ticket or room rate. While the minimum guaranteed value of the bonus is $1,250 when used for travel through Chase, savvy transfers could make your points worth considerably more.
   

EARNING ONGOING REWARDS

The rewards structure of the Ink Business Preferred is tailored to maximize returns on categories where businesses typically spend the most:

• Lyft Rides: Earn an impressive 5X points per dollar spent on Lyft, which can add up quickly for businesses relying on local transportation.
   
• Key Business Expenses: The card offers 3X points per dollar on combined purchases of up to $150,000 annually in critical areas such as travel, shipping, and digital advertising. This covers a wide range of activities, from booking flights and hotels to shipping merchandise and promoting your business online.
   
• General Purchases: All other purchases earn 1X point per dollar, ensuring you are always earning rewards, no matter what you are purchasing.

This diverse earning structure allows businesses to quickly accumulate points through regular operational activities.

REDEEMING REWARDS

Chase Ultimate Rewards points are known for their flexibility and value, especially when used strategically:

• Travel Portal: Points redeemed for travel through Chase's portal are worth 1.25 cents each, thanks to a 25% uplift in value with the Ink Business Preferred card. This enhancement allows businesses to stretch their points further when booking flights, hotels, and car rentals.
   
• Transfer to Partners: Perhaps the most valuable feature is the ability to transfer points at a 1:1 ratio to a diverse group of 14 airline and hotel loyalty programs. This option can significantly increase the value of points when booking international business class tickets or upscale hotel stays.
   
• Other Redemptions: While also available for cash back, gift cards, and shopping, these options typically offer less value per point and are not recommended for maximizing business rewards.
   

TRANSFER PARTNERS

Without a doubt, the best way to use Ultimate Rewards is to transfer them to a travel partner.

Chase offers 14 transfer partners (11 airlines and three hotels). Ultimate Rewards transfer to each of these partners at a 1:1 ratio.

• Aer Lingus AerClub
• Air Canada Aeroplan
• Air France-KLM Flying Blue
• British Airways Executive Club
• Emirates Skywards
• Iberia Plus
• IHG One Rewards
• JetBlue TrueBlue
• Marriott Bonvoy
• Singapore Airlines KrisFlyer
• Southwest Airlines Rapid Rewards
• United Airlines MileagePlus
• Virgin Atlantic Flying Club
• World of Hyatt

For example, transferring 57,000 Ultimate Rewards points to Air France-KLM Flying Blue could earn you a one-way business class ticket from Chicago (ORD) to Amsterdam (AMS). The normal cost of this flight is $3,383.

As another example of what's possible, transferring 25,000 Ultimate Rewards to your World of Hyatt account could pay for a night at the stunning Park Hyatt Maldives Hadahaa. Hello dream vacation! 

TRAVEL AND PURCHASE PROTECTIONS

The Chase Ink Business Preferred excels in providing comprehensive protections that safeguard both travel investments and everyday purchases:

• Travel Insurance: Includes trip cancellation and interruption insurance, which covers you for pre-paid, non-refundable travel expenses if your trip is canceled or cut short by sickness or other covered situations. Additionally, the card offers baggage delay insurance and lost luggage reimbursement, which can mitigate the inconvenience and cost of these common travel mishaps.
   
• Auto Rental Collision Damage Waiver: This primary coverage is highly valuable when renting cars for business travel, potentially saving significant amounts on rental insurance costs.
   
• Purchase Protection: Covers new purchases for 120 days against damage or theft, with a per-claim limit of up to $10,000 and a per-account limit of $50,000.
   
• Cell Phone Protection: Offers up to $600 per claim for damage or theft of cell phones paid through the business card, subject to a deductible, which can be particularly useful for businesses that provide mobile phones to their employees.

COST-BENEFIT ANALYSIS

The annual fee of $95 is relatively modest given the high potential return on spending, especially in the covered bonus categories. The value of the travel protections alone can often outweigh the fee, not to mention the additional savings from the auto rental collision damage waiver and the purchase protections.

ELIGIBILITY AND APPLICATION TIPS

Chase's specific application rules, such as the 5/24 policy, need to be considered before applying. This rule restricts applicants who have opened five or more personal credit cards across all banks in the last 24 months. Prospective cardholders should review their recent credit activity to ensure compliance and enhance their chances of approval.
 

FINAL THOUGHTS

The Chase Ink Business Preferred® Credit Card offers a potent combination of features for business owners who spend heavily in the card's bonus categories and frequently travel. The benefits provided, including extensive insurance protections and flexible reward options, make the $95 annual fee a worthwhile investment. With prudent management, the rewards and benefits can substantially offset business costs and improve the overall financial efficiency of operations.

In conclusion, for businesses that align with its reward structure and can utilize the travel benefits, the Chase Ink Business Preferred represents one of the best value propositions in the business credit card market today. Whether it’s managing daily expenses, traveling for business, or maximizing reward strategies, this card offers a comprehensive solution that can transform how you manage your business spending.