Capital on Tap offers VISA business credit cards tailored for small businesses.
To date, over 200,000 small businesses have spent more than £8 billion on their credit cards.
But are they any good?
In this review, I’ll examine Capital on Tap’s key features, benefits, costs, and drawbacks, with the goal of helping you decide if it’s the right fit for your business.
I’ll also compare Capital on Tap against other leading credit card providers to see how it stacks up.
Capital on Tap Review in 30 Seconds: What’s the Verdict?
As a specialist business VISA with a no-nonsense approach, Capital on Tap is doing a lot well. This is reflected in their excellent Trustpilot score – no mean feat for a credit card company.
It’s quick to apply, and there are no annual fees or application fees.
You won’t know what annual percentage rate you get until you apply, but the advertised rate rates begin from 15.5% APR. If you fall towards the lower end of this, based on your credit score, the card becomes good value and well within the industry averages. This is especially true if you pay off your balance before the end of each month. It’s less appealing if you fall at the top end of this, which is over 30%.
I like the 1% cashback offer, and there are no ATM fees if you use it within the UK. I’m impressed with the fee-free spending abroad, which makes business travel much easier.
It doesn’t have quite the perks and rewards of AMEX’s top cards, but for most small businesses, I feel Capital on Tap is absolutely worth considering. For just £99 per year, the premium Business Rewards card will help you build Avios points, which you can redeem for air miles, car rental and hotels.
A large proportion of their reviews speak very highly of the responsiveness and professionalism of their customer service teams.
Who Should Choose Capital on Tap?
With a reasonably low barrier to entry, a huge credit limit, and a generous cashback rewards scheme, Capital on Tap is an excellent choice for businesses with reasonable to good credit scores.
Who Should Avoid Capital on Tap?
The upper limit of Capital on Tap’s APR range is at the high end of what you’ll get with a business credit card. Applicants with poor credit will find Capital on Tap an expensive financing option.
Also, if you spend over 10k per month, an American Express® Business Platinum Card may be a better deal.
Pros and Cons of Capital on Tap Business Credit Card
- No annual credit card fee
- No foreign transaction fees
- No UK ATM fees
- APRs from 15.5%
- Potential for high credit limits (up to £250,000)
- A simple application process
- Applying involves a soft search on the personal credit file and a visible search on the business credit file
- Ability to apply for multiple cards
- Xero integration
- Low cash back rate (1%)
- No introductory APR offer
- High bonus spending requirement (£5,000 in 3 months)
- High-end APR is very high
- Capital on Tap only provides credit card services, not full business banking.
What is Capital on Tap?
Capital on Tap was co-founded in 2012 by David Luck, Jan Farrarons and George Karibian and has since provided over £4 billion of funding to more than 200,000 small businesses.
Luck previously worked at the private equity firm KKR, where he realised there was a huge unmet demand for financing from small businesses. He teamed up with serial entrepreneurs Farrarons and Karibian to start Capital on Tap.
The company is privately held and headquartered in London. Luck serves as the CEO, while Farrarons and Karibian remain active co-founders.
Capital on Tap started off offering term loans and short-term financing before shifting focus to revolving credit in the form of business credit cards in 2016. This allowed them to provide more flexible ongoing capital rather than one-time loans.
Over its history, Capital on Tap has expanded from just three employees at its founding to over 100. The company opened an additional office in Cardiff in 2016.
“We continue to see small businesses overlooked and underserved by the large incumbent banks,” said David Luck, co-founder and CEO of Capital on Tap. “We want to build a simple, seamless finance platform for small business owners.”
How Does Capital on Tap Work?
Here’s how Capital on Tap works:
1. Application Process: Apply for a credit card through the Capital on Tap website here. The application process is designed to be simple and swift, typically taking just a few minutes. They will ask for basic information about your business, such as your trading history, annual turnover, and personal details as the business owner. Be aware that applying involves a soft search on your personal credit file and a visible search on the business credit file.
2. Credit Limit Determination: Capital on Tap uses its proprietary technology to assess a business’s risk profile and creditworthiness quickly at a range of data, including your business’s performance and credit score, to determine a credit limit. This limit can be up to £250,000, depending on the strength of the business.
3. Card Approval Once approved, businesses receive a Capital on Tap business credit card, which can be used anywhere Visa is accepted. This includes both online and physical locations worldwide. You can also transfer money from your Capital on Tap account to a standard bank account.
What Features Does Capital on Tap Have?
|Credit Limits||£1000- £250,000|
|Interest Rates||From 1.21% per month|
|Online Application||2 minutes to apply, instant decisions for most|
|Access to Funds||Transferred to bank account within minutes of approval|
|Card Usage||Accepted worldwide, no foreign transaction fees|
|ATM Withdrawals||Up to £400 per day|
|Rewards Program||Sync data with Xero, QuickBooks, etc|
|Business Rewards Card||1 point per £1 spent, £99 annual fee|
|Employee Cards||Unlimited cards with customizable limits|
|Repayment Options||Full, minimum 10%, fixed amount, weekly|
|Late Fees||None, but may incur fees as per agreement|
|Account Management||Online portal and mobile apps|
|Accounting Integrations||Sync data with Xero, QuickBooks etc|
|Eligible Businesses||UK-based limited companies and LLPs|
What are the Fees?
Like all business credit cards, Capital on Tap charges different rates depending on your credit score. You won’t find out the exact rates until you apply, but it is free to do so.
Here’s a table with their complete charges:
|Annual/Monthly/Setup Fee||None for the standard business credit card, £99 annual fee for the Business Rewards Credit Card|
|Interest Rate||Starts from 1.21% per month (variable based on the Bank of England base rate)|
|APR||From 15.5%. Representative rate of 35.15%|
|Interest-Free Period||It depends on the ATM operator|
|Late Payment Fee||No fee|
|Foreign Transaction Fee||No fee on purchases made abroad|
|ATM Withdrawal Fee||Capital on Tap doesn’t charge customers for closing their accounts – if they have a balance outstanding they just ask for this to be repaid before the closure can be processed.|
|Account Closure Fee||Capital on Tap doesn’t charge customers for closing their accounts – if they have a balance outstanding, they just ask for this to be repaid before the closure can be processed.|
What are the Capital on Tap Interest Rates (APR)?
The interest rates provided by Capital on Tap are variable and can range from 15.5% to 34.3% APR.
Capital on Tap Plans
Free Rewards Card
The Free Rewards Card, which comes with no annual fee, will give you an uncapped 1% cashback on all card spending, encompassing bills, operating costs, and general expenses.
Cardholders can redeem their points in several ways. You can use them to offset your card balance, convert them into cash, or purchase discounted gift cards. As an added incentive, there’s a limited-time offer of 10,000 bonus points when you spend £5,000 on your Free Rewards Card in the first three months.
Business Rewards Card
The Business Rewards Card might be the more suitable option for businesses with a strong focus on travel. This card comes with an annual fee of £99 and includes all the advantages of the Free Rewards Card but adds the ability to redeem points for Avios, the rewards currency of British Airways.
Like the Free Rewards Card, it offers exclusive savings at partners like Dell, Hertz, Hotels.com, and more, providing another layer of rewards on daily business spending.
|Free Rewards||Business Rewards|
|Annual Fee||No annual fee||£99 per year|
|Cashback||1% uncapped cashback on all card spending||1% uncapped cashback on all card spending|
|Exclusive Offers||Savings at Zoom, Hertz, and Superscript||Savings at Zoom, Hertz, and Superscript|
|Point Redemption||Redeem points against your credit, for cash, or for discounted gift cards||10,000 bonus points when you spend £5,000 in the first three months|
|Bonus Points||No||10,000 bonus points when you spend £5,000|
|Apply Now||Apply for Free Rewards||Apply for Business Rewards|
Capital on Tap Business Credit Card Eligibility
While Capital on Tap has a relatively low monthly turnover requirement, approval and obtaining the most competitive rates depend heavily on your credit profile and financial position.
The basic eligibility requirements for a Capital on Tap Business Credit Card are as follows:
- Role in the Company: You should be an active director or a majority shareholder of the company. Unfortunately, if neither of these roles applies to you, your application cannot be accepted.
- Business Type: Your business should be registered as a Private Limited Company (Ltd) or Limited Liability Partnership (LLP).
- Geographical Location: You and your business should be based in the United Kingdom.
- Business Turnover: Your business must have a minimum turnover of £24,000 annually.
- Credit History: You should have no unsatisfied County Court Judgments (CCJs) against you or your business in the last 12 months.
Who is not eligible for Capital on Tap:
- Charities, trusts, funds, or Royal Charters.
- Public Limited Companies (PLCs).
- Dormant, dissolved, or inactive companies.
- Sole traders.
How to Apply for a Capital on Tap Business Credit Card
- Confirm Eligibility: Before applying, ensure that you meet all the eligibility criteria as detailed above.
- Prepare Necessary Information: Gather all necessary details, including your company’s registered name, registration number, and financial details like annual turnover. You’ll also need personal details, such as your name, contact information, and residential address.
- Visit the Website: Go to the Capital on Tap website and find the relevant card application page. You can either opt for the Free Rewards or the Business Rewards card based on your business needs.
- Fill in the Application Form: Click on the ‘Apply Now’ button and fill in the application form. You will be asked to provide information about your business and personal details.
- Submit the Form: After filling in all the required details, review your application to ensure all information is accurate. Once you’re satisfied, submit the form.
- Wait for Approval: Capital on Tap will review your application and run a credit check. The decision is usually made within minutes, and if approved, your card will be sent to your registered address.
Remember, it’s important to provide accurate and complete information during the application process. Incomplete or incorrect details could lead to delays or rejections.
How Do Capital on Tap Rewards Work?
Both accounts give you some level of rewards, but getting the specific ‘Rewards’ card gives notable benefits.
If you choose the ‘Free Rewards’ Card
The basic card comes with the following:
- Uncapped 1% Cashback: Every pound spent on business expenses such as bills, operating costs, and general expenditures earns 1% cashback. This cashback is uncapped, offering a linear benefit with increased spending.
- Exclusive Partner Offers: Gain access to exclusive savings from partner companies like Hertz, Zoom, and Superscript.
- Flexible Redemption Options: Points can be redeemed directly through the ‘Rewards’ page on your online portal. Choose to apply them against your card balance, convert them into cash, or opt for discounted e-gift cards from selected retailers.
- Initial Bonus: An initial bonus of 10,000 points is available when you spend £5,000 within the first three months of card activation.
- Cost: No joining, monthly, or annual fees are associated with this card.
If you choose the ‘Business Rewards’ Card
Business Rewards, costing £99 per year, opens up AVOIS, amongst other benefits:
- Uncapped 1% Cashback and Bonus Points: For an annual fee of £99, enjoy the same 1% cashback on card spending with the added advantage of bonus points and additional redemption options.
- Avios Redemption: If you’re inclined towards travel rewards, this card allows you to redeem points for Avios. This is facilitated through the ‘Rewards’ page on your online portal, and you’ll require your British Airways Avios account details for the transaction.
- Exclusive Offers and Flexible Redemption: Like the Free Rewards Programme, enjoy exclusive offers and a range of redemption options. You can apply points against your balance, redeem them for cash, or choose e-gift cards from selected retailers.
- Initial Bonus: A 10,000-point bonus is accessible upon spending £5,000 within the first three months.
Is Capital on Tap Safe?
Capital on Tap, like most business credit card providers, has safety measures in place to help secure your funds and protect against unauthorised transactions. The security measures include:
- Chip and Pin: All cards come with a 4-digit chip and pin system for secure transactions.
- Secure Online Portal: Capital on Tap provides a secure online portal for managing your account and monitoring transactions.
- No Overdraft Facility: There’s no overdraft facility, which means you cannot spend more than your assigned limit. This reduces the risk of overspending and helps in maintaining better control over your finances.
- Protection Scheme: Capital on Tap has its own protection scheme to safeguard customers from fraudulent activities or misuse of credit cards.
In case of card theft, or fraud, or if your staff misuses their business credit cards, you can contact the Capital on Tap customer service team, who will take necessary measures, such as freezing your cards and assisting in reclaiming any lost funds. Regular monitoring of unusual spending or purchases is carried out, and any suspicious activity will be promptly communicated to you.
While Capital on Tap is not covered by the Financial Services Compensation Scheme (FSCS), it has implemented these robust security measures to minimise potential losses and provide a safe banking experience for its customers.
What’s the Customer Service Like?
The customer service at Capital on Tap can be reached through the following means:
Phone: 020 8962 7401 Available 24 hours a day, 7 days a week.
Email: firstname.lastname@example.org. They aim to get back to you within 4 business hours.
Live Chat: Live chat support is available from 8:00 am to 8:00 p.m., Monday through Friday.
Capital on Tap Reviews: Trustpilot & Google
Capital on Tap has earned notable recognition in customer reviews for its high standard of service. These reviews are found primarily on Trustpilot and Google. Here’s a detailed summary:
- Overall TrustScore: 4.7/5 based on 11,367 reviews, reflecting a largely positive customer perception.
- Star Distribution: A considerable 89% of the total reviews are 5-star ratings, with only a minimal 5% accounting for 1-star ratings.
- Key Positives: Many reviewers highlighted the swift and straightforward application process, quick approval times, transparent pricing structure, and excellent customer service.
- Notable Agents: Several customer service agents, including Kate, Dafydd, and Magdelena, were singled out for their proactive approach in resolving customer issues.
- Online Tools: The user-friendly online portal and app were well-received by customers.
- Pricing: Customers appreciated the absence of hidden fees, often found with traditional banks, and deemed the interest rates competitive.
- Constructive Feedback: Among the minimal critical reviews, customers mentioned receiving unwanted marketing communication after opting out, and a few found the credit limit policy confusing.
- Overall Rating: A stellar score of 4.7/5 based on 3,981 reviews, echoing the positive sentiment seen on Trustpilot.
Does Capital on Tap Require a Personal Guarantee?
Yes, like all business credit cards, Capital on Tap requires the signing of a personal guarantee document. This makes the guarantor personally responsible for the business’s obligations under the credit card agreement if the business cannot pay.
Is Capital on Tap a Charge Card or a Credit Card?
Capital on Tap offers a business credit card, which allows cardholders to carry a balance and potentially accrue interest if not paid in full each month.
This is different from some American Express offerings, which are charge cards that require the full balance to be paid off monthly. Always consult the terms and conditions of a specific card product to understand its features and requirements.
Capital on Tap Employee Cards
Capital on Tap offers businesses the flexibility to manage their finances and employee spending more effectively. Here’s how their system of employee cards operates:
- Employees can be designated as Supplementary Cardholders, receiving a business credit card linked to the company’s main account.
- These cardholders can conduct business transactions seamlessly.
- The company remains responsible for all charges made by these cardholders.
- Each Supplementary Cardholder can view only their own transactions.
- Rewards earned from their spending are added to the company’s main account.
- These are employees who can carry out specific tasks on the company’s account, like transferring funds, but they don’t have a physical card.
- Their level of access might be more extensive, allowing them a broader view of account activities based on the permissions granted.
Control and Communication:
- Businesses can easily remove or adjust the status of a Supplementary Cardholder or an Authorised User by notifying Capital on Tap.
- Capital on Tap may share relevant account details with both types of users to ensure transparency and effective communication.
Managing Spending: Businesses have the option to set and adjust spending limits for supplementary cards:
- Limits can be customised for each card, offering controlled spending per employee.
- These individual limits operate within the confines of the company’s overall credit limit.
- If an employee’s spending breaches their card’s limit, a transaction might be declined, even if there’s still available credit on the company’s account.
- The primary responsibility for monthly balances rests with the business, irrespective of individual card limits.
Using Capital on Tap Abroad
Using Capital on Tap abroad is simple as there are no foreign transaction fees. Use the card anywhere you see the VISA logo.
However, it is important to note that the card is restricted in the following countries:
- Bosnia and Herzegovina
- Central African Republic
- Congo (Democratic Republic)
- Guinea Bissau
- Hong Kong
- Korea (North)
- North Macedonia
- Serbia and Montenegro
- South Sudan
If you attempt to make a transaction in any of these countries, your payment will be automatically declined.
Capital on Tap business credit card vs. Amex
|Capital on Tap||American Express|
|Eligibility||Businesses with at least £2,000 monthly turnover, active on Companies House, registered as a Ltd or LLP in the UK with no unsatisfied CCJs in the last 12 months are eligible.||Depends on the specific card type. Amex typically requires a strong credit score, business registration details, financial details and personal income information.|
|Reward Program||Capital on Tap offers 1% cashback on all spending, with points redeemable for cash, Avios, or discounted gift cards. 10,000 bonus points are offered when you spend £5,000 in the first 3 months.||The representative APR on card spending is 15.2-34.3% (variable), with interest rates starting from 1.21% per month.|
|Fees||No annual, monthly or setup fees for the standard card. The Business Rewards Card has a £99 annual fee. No foreign transaction fees or late payment fees. Fees may apply for ATM withdrawals.||Amex fees vary depending on the card type. Some cards have annual fees, foreign transaction fees, late payment fees, and cash advance fees.|
|Interest Rate||Capital on Tap has a protection scheme to safeguard customers from fraud or misuse of credit cards. They also have a 4-digit chip and pin and secure online portal.||The APR varies between cards, but generally, Amex business credit cards can range from 14.24% to 22.99% variable APR.|
|Security||Capital on Tap has a protection scheme to safeguard customers from fraud or misuse of credit cards. They also have a 4-digit chip and pin and a secure online portal.||Amex offers comprehensive fraud protection, secure online account access, and emergency card replacement.|
|Customer Service||Positive reviews for customer service responsiveness and helpfulness.||Known for excellent customer service and cardholder support.|
Capital on Tap Business Credit FAQs
What types of businesses can get funding from Capital on Tap?
Capital on Tap provides funding for Limited Companies and LLPs registered in the UK, typically with at least 6 months of trading history. Both B2B and B2C businesses are eligible
Can I withdraw cash from my Capital on Tap card?
Yes, you can withdraw cash from your Capital on Tap card, as long as the withdrawal will not take your card over its credit limit. You can use an ATM for up to two transactions in any 24 hours, and withdraw up to £400 in total in any single day.
Does Capital on Tap make a hard credit inquiry?
Capital on Tap applications necessitate a soft search on your personal credit file and a visible search on the business credit file.
Do capital on tap report to Dun and Bradstreet?
Business credit cards often report to commercial credit bureaus. These bureaus specifically track business credit behaviour and can be used to generate a unique business credit score. Some of the major commercial credit bureaus include Dun & Bradstreet, Experian Business, and Equifax Business.
How long does the Capital on Tap application process take?
You can complete the online application in around 2 minutes and receive an instant credit decision. If approved, you can draw down funds to your bank account within minutes or receive your business credit card within 3-5 business days.
What interest rates does Capital on Tap charge?
Interest rates start from 1.21% per month and are variable based on the Bank of England base rate.
Are there any account fees?
There are no monthly, annual or setup fees for the standard business credit card. The Business Rewards Card has a £99 annual fee.
What happens if I miss a payment with Capital on Tap?
You may incur additional charges for late payments as per your funding agreement. Capital on Tap does not charge specific late fees.
Can I pay off my balance early?
Yes, you can make manual repayments via debit card anytime through your online account portal. You can also change your repayment option to pay more frequently.
Is there a fee for going over my credit limit?
There is no fee for exceeding your approved credit limit, however you won’t be able to make any further transactions until the balance is reduced.
How do I close my Capital on Tap account?
Contact Capital on Tap to initiate closure. Accounts must be fully paid off before closure can be completed. No fee if closing with a zero balance.
Does Capital on Tap affect credit score?
Capital on Tap applications necessitate a soft search on your personal credit file and a visible search on the business credit file.
Can Capital on Tap be used for balance transfers?
No, Capital on Tap can not be used to pay off another credit card.
Is Capital on Tap a charge card or credit card?
Capital on Tap is a credit card but it can be used as a charge card for employees by setting up preapproved limits.
What is the credit limit for Capital on Tap?
In the UK, it is possible to get a £250,000 credit limit if you credit history is good enough.
Does Capital on Tap report to personal credit?
Capital on Tap applications necessitate a soft search on your personal credit file.
Is Capital on Tap part of Capital One?
o, Capital on Tap and Capital One are completely different entities.