Amex Business Amazon Card: Is It Worth It?

Hey guys! Let's dive into the Amex Business Amazon Credit Card, a card that could be a game-changer for your business. If you're an Amazon seller or a frequent buyer on Amazon, this card might just be your new best friend. We're going to break down everything you need to know, from the rewards and benefits to the potential drawbacks, so you can make an informed decision.

What is the Amex Business Amazon Credit Card?

The Amex Business Amazon Credit Card is a credit card designed specifically for business owners who make purchases on Amazon and with Amazon Web Services (AWS). It’s issued by American Express and offers rewards tailored to Amazon and AWS spending, along with other business-friendly perks. The card aims to provide value to businesses by offering cash back on purchases, flexible payment options, and tools to manage expenses efficiently.

Who Should Consider This Card?

If your business spends a significant amount on Amazon or AWS, this card is definitely worth considering. Here’s a quick checklist to see if it’s a good fit for you:

Frequent Amazon Shoppers: Do you regularly buy supplies, equipment, or inventory from Amazon?
AWS Users: Are you utilizing Amazon Web Services for your business’s infrastructure or data storage?
Looking for Rewards: Do you want to earn rewards on your Amazon and AWS spending?
Expense Management: Are you looking for tools to help manage and track your business expenses?

If you answered yes to most of these questions, the Amex Business Amazon Credit Card could be a valuable asset for your business.

Key Features and Benefits

The Amex Business Amazon Credit Card comes packed with features and benefits designed to make your business spending more rewarding and manageable. Let's take a closer look at what this card has to offer.

Reward Structure

The heart of the Amex Business Amazon Credit Card is its reward structure. You can earn rewards in the following ways:

5% Back at Amazon and AWS: This is the big one! Earn 5% back on purchases made at Amazon.com and Amazon Web Services. This is a significant return, especially if you spend a lot in these categories.
1% Back on Other Purchases: Earn 1% back on all other purchases made with the card. While this isn't as high as the 5% back, it’s still a nice perk for everyday business expenses.

No Annual Fee

One of the most attractive features of this card is that it comes with no annual fee. This means you can enjoy the rewards and benefits without having to worry about an annual charge eating into your earnings. For small businesses, this can be a huge advantage.

Introductory Offer

Keep an eye out for introductory offers. Sometimes, Amex offers a sign-up bonus, such as a statement credit, after you meet a certain spending requirement within the first few months of opening the card. These offers can add even more value to the card, especially in the early stages.

Reporting and Tools

The Amex Business Amazon Credit Card also provides access to tools and reports to help you manage your business expenses. These tools can simplify bookkeeping and make it easier to track your spending.

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Year-End Summary: Receive a year-end summary of your spending, making tax preparation easier.
Account Management: Access your account online to view statements, track spending, and manage your card details.

Other Perks

Beyond the rewards and expense management tools, the Amex Business Amazon Credit Card offers additional perks that can benefit your business.

Purchase Protection: Get protection against damage or theft for eligible purchases made with the card.
Extended Warranty: Extend the manufacturer's warranty on eligible purchases.
Travel Benefits: Access travel insurance and other travel-related benefits when you use the card to book travel.

Pros and Cons

Like any credit card, the Amex Business Amazon Credit Card has its advantages and disadvantages. It’s important to weigh these pros and cons to determine if the card is the right fit for your business.

Pros

High Rewards on Amazon and AWS: The 5% back on Amazon and AWS purchases is a significant benefit for businesses that spend a lot in these categories.
No Annual Fee: The absence of an annual fee makes this card accessible to businesses of all sizes.
Expense Management Tools: The reporting and tracking tools can simplify bookkeeping and make it easier to manage expenses.
Additional Perks: Purchase protection, extended warranty, and travel benefits add extra value to the card.

Cons

Limited Reward Categories: The high rewards are limited to Amazon and AWS purchases. If you don’t spend much in these categories, you may not get as much value from the card.
1% Back on Other Purchases: The 1% back on other purchases is relatively low compared to other business credit cards that offer higher rewards on general spending.
Requires Good Credit: You’ll typically need good to excellent credit to be approved for this card.

Alternatives to the Amex Business Amazon Credit Card

If the Amex Business Amazon Credit Card doesn’t quite fit your needs, there are several alternatives to consider. These cards offer different rewards structures and benefits, so you can find one that aligns with your business spending habits.

Chase Ink Business Preferred

The Chase Ink Business Preferred card is a popular choice for business owners. It offers:

3x Points on Travel and Select Business Categories: Earn 3 points per dollar on travel, shipping purchases, internet, cable, and phone services, and advertising purchases made with social media sites and search engines (up to $150,000 spent annually).
1x Point on All Other Purchases: Earn 1 point per dollar on all other purchases.
Annual Fee: The card has an annual fee of $95.
Why Consider It: If you spend a lot on travel or the select business categories, the Chase Ink Business Preferred could be a better option than the Amex Business Amazon Credit Card.

American Express Blue Business Cash Card

The American Express Blue Business Cash Card offers a straightforward cash-back structure:

2% Cash Back on All Purchases: Earn 2% cash back on the first $50,000 in purchases each calendar year, then 1% back.
No Annual Fee: The card has no annual fee.
Why Consider It: If you prefer a simple cash-back structure and want to earn rewards on all your business spending, the Amex Blue Business Cash Card is a great alternative.

Capital One Spark Cash Plus

The Capital One Spark Cash Plus card offers unlimited cash back and other perks:

Unlimited 2% Cash Back on All Purchases: Earn unlimited 2% cash back on every purchase.
Annual Fee: The card has a $150 annual fee, but Capital One may waive it the first year.
Why Consider It: If you want a high flat-rate cash-back card with no spending limits, the Capital One Spark Cash Plus is a solid choice.

How to Apply for the Amex Business Amazon Credit Card

Applying for the Amex Business Amazon Credit Card is a straightforward process. Here’s a step-by-step guide to help you through the application:

Visit the American Express Website: Go to the American Express website and navigate to the business credit card section. Look for the Amex Business Amazon Credit Card.
Review the Terms and Conditions: Before you apply, carefully review the terms and conditions of the card. Pay attention to the interest rates, fees, and reward structure.
Complete the Application: Fill out the online application form. You’ll need to provide information about your business, including its legal name, address, and tax identification number. You’ll also need to provide personal information, such as your name, address, and Social Security number.
Submit the Application: Once you’ve completed the application, submit it to American Express. They will review your application and make a decision based on your creditworthiness and other factors.
Wait for Approval: If your application is approved, you’ll receive your Amex Business Amazon Credit Card in the mail within a few weeks. You can then start using the card to make purchases and earn rewards.

Tips for Maximizing Rewards

To get the most out of your Amex Business Amazon Credit Card, here are some tips for maximizing your rewards:

Use the Card for All Amazon and AWS Purchases: Since you earn 5% back on these purchases, make sure to use the card for all your Amazon and AWS spending.
Consider Using the Card for Other Business Expenses: While the 1% back on other purchases isn't as high, it’s still worth using the card for everyday business expenses to earn some rewards.
Pay Your Balance in Full Each Month: To avoid interest charges, pay your balance in full each month. This will help you save money and keep your credit score in good standing.
Track Your Spending: Use the online tools to track your spending and monitor your rewards. This will help you stay on top of your finances and make sure you're getting the most out of the card.

Conclusion

The Amex Business Amazon Credit Card can be a valuable asset for businesses that spend a significant amount on Amazon and AWS. With its high rewards on these purchases, no annual fee, and expense management tools, it offers a compelling package for eligible businesses. However, it’s important to weigh the pros and cons and consider alternatives to make sure it’s the right fit for your specific needs. By understanding the card’s features and benefits, you can make an informed decision and potentially boost your business’s bottom line. So, is it worth it? For many Amazon-centric businesses, the answer is a resounding yes!