Capital on Tap vs Funding Circle Business Credit Card (2026)

Capital on Tap vs Funding Circle at a Glance

Both are cashback business credit cards for UK limited companies with no FX fees and no bank-account switch required. The decision comes down to timing: Funding Circle pays 2% for the first six months; Capital on Tap pays 1% from the first pound, with no cap and no expiry.

When your bookkeeper reconciles at month-end, the cashback lands on either card. We compared both against their provider sites in July 2026.

Choose Capital on Tap for most businesses: the lower turnover threshold, LLP eligibility, deeper expense tools, and cashback that never drops or expires.

Choose Funding Circle if you’re an eligible limited company with heavy spend in the first six months and want to bank the 2% intro cashback. We set out the full breakdown below, starting with the cashback numbers.

Check your Capital on Tap eligibility →

Which Is Better for Everyday Business Cashback?

Where Capital on Tap Wins

Capital on Tap pays 1% from the first pound, uncapped, with no intro clock to track. It’s the simpler earner on steady, year-round spend: it never drops in a quiet month.

Where Funding Circle Wins

For the first six months, Funding Circle pays 2%. At £10,000 a month that’s £1,200 over the half-year, against Capital on Tap’s £600: a £600 head start before both settle to 1%.

When your Q4 stock orders and ad spend land on the card in those first six months, that head start is real money back.

The 2% is capped at £2,000 of cashback (roughly £100,000 of spend). The maximum advantage Funding Circle builds in year one is about £1,000 over Capital on Tap.

Verdict for Everyday Business Cashback

If you’ll spend heavily in the first six months, take Funding Circle for the head start. For steady everyday cashback over the long run, Capital on Tap matches the 1% and adds the higher limit, so it’s the better default.

That’s the trade-off: Funding Circle buys you in, Capital on Tap keeps you. If you apply in October and your Christmas stock order lands on the card in November, you’re sitting in the 2% window. That timing matters.

Capital on Tap vs Funding Circle for Newer or Lower-Turnover Companies

How Capital on Tap Fits Newer or Lower-Turnover Companies

If you’re a younger limited company or an LLP, Capital on Tap is the one to try first. It requires just £24,000 turnover and publishes no minimum trading length. LLPs are also accepted, which Funding Circle is not.

How Funding Circle Fits Newer or Lower-Turnover Companies

Funding Circle requires at least one year of trading and £30,000 turnover, and accepts limited companies only. A newer or smaller business is more likely to be declined here than at Capital on Tap.

Verdict for Newer or Lower-Turnover Companies

Choose Capital on Tap if you’re an LLP, under one year trading, or below £30,000 turnover. Funding Circle will decline you in all three cases. Both run a soft-search check, so you can test your eligibility without marking your credit file.

Capital on Tap vs Funding Circle Fees and APR

Cost	Capital on Tap	Funding Circle Cashback
Annual fee	£0 (free) / £299 (Pro)	£0
Representative APR	34.9% variable (from 13.86%)	34.9% variable
Foreign transaction fee	None	None
Minimum repayment	Greater of 10% or £100	Greater of 10% or £100
Personal guarantee	Typically required	Required (one or more directors)
Section 75 protection	Does not apply to either card (business credit, not personal)

Both cards quote the same 34.9% representative APR, but the rate you’re actually offered is the one that matters, and it can land well above any published floor.

Capital on Tap’s 13.86% floor is a best case, not a promise: the rate is priced individually per applicant, which is why the representative APR sits so far above it. Confirm your offered rate before assuming the floor applies.

If you carry a balance at month-end, the minimum repayment is the greater of 10% of the outstanding balance or £100 on both cards. Paying only the minimum means interest accumulates on the rest.

At 34.9%, a £5,000 balance costs roughly £145 in interest that month. A month’s 1% cashback on that spend would be £50. The numbers don’t justify revolving.

Section 75: Neither card gives you Section 75 protection. That statutory right covers personal credit, not business. Visa chargeback may offer recourse on disputed transactions, but it’s a different process. We note this because competing pages often overstate the protection business cards carry.

Personal guarantee: Capital on Tap typically requires one; Funding Circle requires one from one or more directors. Read the credit agreement before you apply.

Capital on Tap vs Funding Circle Benefits and Value

If you’re eligible, Funding Circle’s 2% intro is the single most valuable benefit on the table. It lasts six months and caps at £2,000 of cashback earned (roughly £100,000 of spend). After that, both cards pay a flat 1%.

If you travel regularly, Capital on Tap’s Pro tier (£299/year) is worth the maths. We rate it for frequent business travellers: 1.25% on preloaded spend, 1:1 Avios or Virgin conversion, and an unlimited Priority Pass.

When you’re spending a few thousand on flights a quarter, those perks pay for the £299. If you don’t fly for work, skip the fee: the free tier’s flat 1% and Funding Circle’s 2% intro are better value.

See the Funding Circle 2% intro offer →

Capital on Tap vs Funding Circle Features and Account Tools

If you need employee cards, virtual cards, and real-time expense controls, choose Capital on Tap.

When your new hire starts on Monday morning and needs a card the same day, Capital on Tap’s unlimited free employee cards do the job immediately. A virtual card with its own limit ringfences a runaway software subscription.

It also syncs natively to Xero, QuickBooks, Sage, and FreeAgent, and lets you snap a receipt in the app. We couldn’t confirm receipt capture or virtual cards on Funding Circle’s product page.

Your team gets free company cards on Funding Circle too, all earning the same cashback, with auto-sync to Xero, Sage, and FreeAgent. For straightforward expense needs, that’s sufficient.

Capital on Tap vs Funding Circle Eligibility

Sole traders and ordinary partnerships can’t apply to either card. Between the two, Capital on Tap has the lower bar: it accepts LLPs, requires less turnover, and sets no published trading-length minimum.

If you’re already a Funding Circle borrower (FlexiPay or a term loan), you can’t get the Cashback card. Capital on Tap has no such restriction. If your accountant spots a Funding Circle loan on the balance sheet when you apply, that closes the door.

A personal guarantee means the debt can follow you personally if the business can’t pay. Both require one: Funding Circle from one or more directors, Capital on Tap typically. Read the credit agreement before you apply.

Apply for Capital on Tap →

Capital on Tap vs Funding Circle Overseas Use

You’ll pay no FX fees on either card. Foreign purchases convert at the Visa wholesale rate, you still earn cashback on overseas spend, and acceptance is the same: both run on Visa.

When you’re paying an overseas supplier or covering travel on the road, the network won’t decide it. The only overseas edge Funding Circle holds is the 2% intro cashback in the first six months; after that it’s level.

Downsides of Capital on Tap and Funding Circle

Reasons to Avoid Capital on Tap

• Limited companies and LLPs only; no sole traders.
• The 13.86% floor is priced per applicant; representative APR is 34.9%.
• The richer 1.25% cashback needs the £299 Pro tier.
• Personal guarantee typically required: personal liability on default.
• Blocks gambling, securities and FX purchases.

Reasons to Avoid Funding Circle

• The 2% rate stops after six months, capped at £2,000 cashback.
• Limited companies only; no LLPs or sole traders.
• Needs a year trading and £30,000 turnover; newer firms won’t qualify.
• Not available to existing FlexiPay or loan customers.
• Personal guarantee required from one or more directors.

Other Business Credit Cards to Consider

If you need to spread a large purchase rather than earn cashback, consider Funding Circle FlexiPay: a reusable line of credit with a Visa card, supplier transfers and bank drawdown. It needs a limited company with a year’s trading and a director’s personal guarantee.

If you’re spending £5,000+ a month and travelling regularly, Capital on Tap Pro is worth the maths: £299/year buys 1.25% on preloaded spend, 1:1 Avios or Virgin conversion, and unlimited Priority Pass.

For businesses whose suppliers accept Amex, American Express Business Gold earns Membership Rewards that can beat flat cashback if you value points for flights. Not worth considering if your suppliers routinely decline Amex.

We include these because some readers will be ineligible for both products and need a clear next step. None replaces the two cards in the comparison above.

Capital on Tap vs Funding Circle FAQs

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