Cashback for a limited company: what is it actually worth?
Calculate cashback after card fees, distinguish purchases from bank transfers, and check whether Capital on Tap’s £75 referral fits your company.
Checked 5 Sept 2026
T&Cs apply · Referral link — we may receive a reward if you sign up.
Already choosing Capital on Tap?
The Capital on Tap referral page has the current £75 offer, code 2REFT624A83 and application steps. The code belongs in the application’s promo-code field. This guide explains the ongoing cashback calculation; the joining offer is separate.
Start with spending you already make
Count only business expenses you can pay by card without an extra cost that outweighs the reward. A £2,000 monthly card bill at 1% earns £20 per month or £240 per year. Adding £75 joining credit makes £315 in the first year if you qualify. It remains £240 in subsequent years if spending and the reward rate stay the same. These are illustrations before interest, fees, refunds and any tax effects.
Examples at 1% cashback
| Monthly card purchases | Annual cashback | First year with a qualifying £75 reward |
|---|---|---|
| £500 | £60 | £135 |
| £2,000 | £240 | £315 |
| £5,000 | £600 | £675 |
Calculation: monthly eligible spend × 12 × 1%. No investment return or guaranteed spending pattern is assumed.
Card purchases and supplier bank transfers are different
A supplier accepting a card is a different route from sending them a bank transfer funded by credit. Capital on Tap’s Bill Pay has fee options; its current FAQ describes a 2% fee with 1% rewards, or a 1% fee without points. At the first option, a £1,000 payment costs £20 and earns £10: a net £10 cost before interest. Do not describe that as free cashback on every company bill.
Does Pro pay for itself through cashback?
The Free card has no annual fee. Pro is £299 per year and earns 1.25% on preloaded spending versus 1% on Free. Looking only at that extra 0.25%, you need £119,600 of eligible preloaded spending a year to offset £299 (£299 ÷ 0.0025). That is about £9,967 a month. Lounge access, points conversion, any introductory bonus and other benefits have separate value; avoid counting a benefit you would not otherwise use.
Repayments come before rewards
The gross cashback is small compared with the cost of carrying debt. Use the rate and repayment terms actually offered to your company. A personal guarantee can make a director personally responsible if the company cannot pay; limited-company status does not remove that commitment. Keep the records your accountant needs and ask how the reward should be treated for your company.
Check eligibility before applying
Capital on Tap accepts eligible incorporated UK businesses, rather than sole traders. Its referral terms retain a £24,000 turnover criterion. Read the eligibility explanation, then use the current referral offer if it fits. We may benefit from a successful referral; the visitor reward is described on that page.
Sources checked 5 September 2026
Capital on Tap cashback; Bill Pay and guarantee FAQ; referral terms. Calculations above are our arithmetic, not a forecast.