Small businesses are treating credit cards less like a backup and more like a flexible operating tool, and the way they use them is starting to look surprisingly consumer-like.
That is the throughline of “SMB Growth Monitor: How Firms Use and Choose Credit Cards” a PYMNTS Intelligence report based on a survey of 583 U.S. small and medium-sized businesses (SMBs) fielded April 4 to April 22, 2025. The data show that many firms routinely blend business and personal cards, keep multiple cards active, and lean on credit for day-to-day needs.
At the same time, the data point to a clear growth opportunity for issuers and FinTechs: SMBs say they would use their primary cards more if products were tuned to how different industries actually spend, reconcile expenses and manage risk.
- 54% of SMBs used both business and personal credit cards in the last 12 months, a sign that the boundary between household and enterprise finance remains porous.
- 82% used a card for ad hoc expenses in the last year, compared with 64% who used one to pay recurring bills, underscoring that cards are often the fast solution for unplanned purchases.
- 52% of SMBs pay their credit card balances in full each month, suggesting many are using cards for convenience, controls and rewards, not only for borrowing.
Beyond the headline figures, the report shows how card behavior shifts with a firm’s stage of development and operating environment. Younger SMBs use a larger share of available credit than mature firms, reflecting the cash flow realities of early growth.
The patterns also vary by geography. Urban SMBs are more likely to mix personal and business cards, and big-city firms are more likely to carry three or more cards, which can increase choice but also complicate tracking and policy enforcement.
What sits at the top of the wallet is also instructive. Nearly half of SMBs cite high credit limits as a reason their primary card earns the first swipe, with interest rates and rewards close behind. Yet the most actionable signal may be what firms say would change their behavior.
Many would increase usage with higher limits, better business-specific perks and more proactive protections such as fraud alerts. That is a blueprint for issuers competing for primary status: pair credit capacity with tools that make spending easier to govern and easier to reconcile.
The optimistic takeaway is that SMBs are not asking for something exotic. They are asking for products that match how they run. Tailored features such as automation for purchase-heavy sectors, accounting integrations for teams that live in their ledgers, and analytics for firms trying to understand spend patterns can deepen engagement while improving financial discipline.
Done well, cards can become a simpler on-ramp to working capital and better expense management.
