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Southwest Premier Business Card Review: Is It the Best Credit Card for You?

The Southwest Rapid Rewards® Premier Business Credit Card is currently one of just two small-business credit cards affiliated with the popular carrier — and the less expensive of the two. Its Southwest Rapid Rewards® Premier Business Credit Card annual fee is manageable, especially considering the card's welcome bonus offer. 

Beyond redeeming points for travel, the bonus also counts toward earning the Southwest Companion Pass. Once you have this secured, you can designate a travel companion who gets to fly with you free of charge (plus taxes and fees). 

The Southwest Rapid Rewards® Premier Business Credit Card also rewards your daily spending. While cardholders earn 3 points per dollar on Southwest Airlines purchases, 2 points per dollar on Rapid Rewards hotel and car partners, 2 points per dollar on local transit and commuting (including rideshare), and 1 point per dollar on everything else, your points will count toward both the aforementioned Companion Pass and Southwest elite status.

You'll also earn 1,500 tier qualifying points (TQPs) toward A-List elite for each $10,000 in spending, with no limit to the number of TQPs you can earn. So you could meet all or part of the requirement for top-tier status without actually stepping on a plane.

The Southwest Rapid Rewards® Premier Business Credit Card is a great pick if you want a rewards business card with a reasonable annual fee that can help you earn the Southwest Companion Pass. 

However, if you're looking for more substantial category bonuses for your business, you may want to consider a card like the Southwest Rapid Rewards® Performance Business Credit Card, which earns 2 points per dollar on social media and search engine advertising, along with cable and phone services. That card has a Southwest® Rapid Rewards® Performance Business Credit Card - Annual Fee annual fee and offers many of the same airline benefits as the Southwest Rapid Rewards® Premier Business Credit Card.

We're focused here on the rewards and perks that come with each card. These cards won't be worth it if you're paying interest or late fees. When using a credit card, it's important to pay your balance in full each month, make payments on time, and only spend what you can afford to pay.

Southwest Premier Business Card Rewards

Welcome Bonus Offer

The Southwest® Rapid Rewards® Premier Business Credit Card - Editorial Name Only is offering a welcome bonus of Southwest® Rapid Rewards® Premier Business Credit Card - Intro Bonus.

Insider's points and miles valuations peg Southwest points as worth about 1.4 cents each, which means the full welcome bonus is worth around Southwest® Rapid Rewards® Premier Business Credit Card in Southwest flights. Of course, the type of fare you book will dictate how much value you get, but this is a good baseline for determining the welcome bonus value.

How to Earn Points From the Southwest Premier Business Card

The Southwest Rapid Rewards® Premier Business Credit Card offers a straightforward way to earn Southwest points. Cardholders earn:

  • 3 points per dollar on Southwest purchases (including flights, inflight purchases, Southwest gift cards, and Southwest Vacations packages)
  • 2 points per dollar on Rapid Rewards hotel and car partners (see the full list here)
  • 2 points per dollar on local transit and commuting, including rideshare (and also passenger trains, buses, taxis, limousines, rideshare, ferries, toll bridges and highways, and parking lots and garages)
  • 1 point per dollar everywhere else

The card also comes with a 6,000-point bonus every card anniversary (worth $84 based on Insider's valuations), which can be enough for a short-haul ticket. You can earn additional points by referring your friends to the card. Currently, for each successful referral, you will earn 20,000 bonus points and you can earn up to 100,000 points per year.

It's worth noting that you're not just earning points with the Southwest Rapid Rewards® Premier Business Credit Card — you're making progress toward Southwest elite status and the coveted Southwest Companion Pass. This benefit can help you stretch your Southwest points even further by allowing you to book airfare for a designated companion for free. We'll dive more into that later.

How to Use Southwest Points

Southwest makes it easy to redeem points for anything from airfare to hotels to merchandise and everything in between. Southwest prices award tickets based on the cost of paid fares. So the number of points you need to redeem depends on the cash fare. Usually, you can expect 1.4 to 1.8 cents in value per point.

That means the bonus from the Southwest Rapid Rewards® Premier Business Credit Card should get you at least Southwest® Rapid Rewards® Premier Business Credit Card worth of airfare.

If you don't plan to redeem Southwest points for travel, you might be better off with a cash-back credit card. Many of these cards carry no annual fees and you can redeem your cash back for virtually any purchase.

Southwest Premier Business Card Benefits and Features

The Southwest Rapid Rewards® Premier Business Credit Card comes with many useful benefits for frequent travelers and novices alike. You can spend your way to elite status or aim for the aspirational Companion Pass. Even if you stay home and let the card collect dust for a year, you can offset the Southwest Rapid Rewards® Premier Business Credit Card annual fee with perks like the anniversary bonus and DashPass membership.

Here's a closer look at all the benefits and features of the Southwest Rapid Rewards® Premier Business Credit Card.

Southwest Companion Pass

The Southwest Companion Pass is one of the best deals in travel. When you have the Companion Pass, you can bring a designated companion with you on paid and award flights for just the cost of taxes and fees. 

Earning the Companion Pass usually requires 100 one-way flights or 135,000 qualifying points in a calendar year. However, the welcome bonus offer and subsequent spending on the Southwest Rapid Rewards® Premier Business Credit Card count toward the points requirement. 

Between the welcome bonus and the points from meeting the minimum spending requirement on the card, you'll be well on your way to qualifying for the Companion Pass. But you'll need to complete the spending requirement for the Companion Pass before the end of 2023. That's because to earn the Companion Pass, you must earn all of the qualifying points in a single calendar year

Your Companion Pass is valid as soon as you earn it and for the rest of the year, and for the entire following year. So for example, if you earn the Companion Pass in November 2023, it will expire at the end of December 2024. 

Anniversary bonus

The Southwest Rapid Rewards® Premier Business Credit Card offers an anniversary bonus of 6,000 bonus points. The only requirement for receiving this bonus is to keep your account open for 12 months after opening.

6,000 Rapid Rewards points are enough to book airfare valued at roughly $84. Considering the card's Southwest Rapid Rewards® Premier Business Credit Card annual fee, this is an excellent way to partially offset this recurring cost. 

Earn elite status faster

Southwest Rapid Rewards has two status tiers: A-List, which requires 25 one-way flights or 35,000 tier qualifying points (TQPs) per calendar year, and A-List Preferred, which requires 50 one-way flights or 70,000 TQPs. 

Status benefits include bonus points on qualifying flights (25% for A-List and 100% for A-List Preferred), priority boarding, check-in and security line access, as well as a dedicated phone line. A-List Preferred members also receive free inflight Wi-Fi.

The good news is that you can qualify for Rapid Rewards elite status partially through credit card spending. Southwest Rapid Rewards® Premier Business Credit Card cardholders earn 1,500 TQPs for every $10,000 in purchases, with no limit to the number of TQPs you can earn. 

EarlyBird Check-In

Southwest Rapid Rewards® Premier Business Credit Card cardholders receive two EarlyBird Check-Ins per account anniversary year, awarded as a statement credit after you use your card for the purchase. EarlyBird Check-In usually costs $15 to $25 each way, and it automatically checks you in for your flight 36 hours prior to departure.

Because your boarding position is determined by the time you check in, this perk can help you get on the airplane sooner and have a better opportunity to select your desired seat.

Inflight purchase discount

When you use your Southwest Rapid Rewards® Premier Business Credit Card to pay for inflight drinks or Wi-Fi, you'll receive 25% back in the form of a statement credit. 

Southwest transfer fee credits

When you use your Southwest Rapid Rewards® Premier Business Credit Card to pay fees for transferring points to another Rapid Rewards Member or a pre-selected charity chosen by Southwest with an active Rapid Rewards account, you can be reimbursed up to $500 in transfer fees per account anniversary year.

Transferring points to others is usually best avoided, because Southwest charges $5 for every 500 points transferred, with a minimum transfer amount of 2,000 points. However, with this fee rebate, you may be more inclined to share your points with friends or family — it will cover up to 50,000 points worth of transfers.

DashPass membership

Food delivery apps like DoorDash and Caviar have skyrocketed over the past couple of years, as most people were stuck at home. DashPass membership costs $9.99 per month, but Southwest Rapid Rewards® Premier Business Credit Card cardholders receive a complimentary year when they activate by December 31, 2024.

Lost luggage reimbursement

The Southwest Rapid Rewards® Premier Business Credit Card offers lost luggage reimbursement that covers up to $3,000 per passenger for luggage lost or damaged by the airline.

Baggage delay insurance

Delayed luggage can put a significant strain on your vacation plans. Once again, the Southwest Rapid Rewards® Premier Business Credit Card has you covered with baggage delay insurance that kicks in after six hours. Cardholders are reimbursed for essential items up to $100 for three days.

Purchase protection

If your brand new gadget or favorite pair of shoes goes missing or incurs damage, the Southwest Rapid Rewards® Premier Business Credit Card's purchase protection could reimburse you up to $10,000 per claim. This benefit is valid for up to 120 days after purchase and is limited to $50,000 per account.

Extended warranty protection

If you're one of the few people who take advantage of manufacturer warranties, you'll appreciate the Southwest Rapid Rewards® Premier Business Credit Card's extended warranty protection.

This perk extends the period of any US manufacturer's warranty by a year. Note, this only applies to warranties of three years or less.

Southwest Premier Business Card Annual Fee and Other Costs

The Southwest Rapid Rewards® Premier Business Credit Card has a Southwest Rapid Rewards® Premier Business Credit Card annual fee, which is pretty standard for airline credit cards.

You can also add employee cards without an additional fee, which is nice because it enables you to generate lots of points on business spending. Other than the annual fee, you won't be paying extra to use the card abroad since foreign transaction fees are waived.

Like most other cards, the Southwest Rapid Rewards® Premier Business Credit Card charges fees in other situations, including:

And if you carry a balance, you'll pay interest (currently a Southwest® Rapid Rewards® Premier Business Credit Card - Regular APR APR).

How the Southwest Premier Business Card Compares

Southwest Rapid Rewards Premier Business Card vs Other Southwest Cards

 

Southwest Rapid Rewards® Premier Business Credit Card

Southwest Rapid Rewards® Performance Business Credit Card

Southwest Rapid Rewards® Premier Credit Card

Annual fee

Southwest Rapid Rewards® Premier Business Credit Card

Southwest Rapid Rewards® Performance Business Credit Card

Southwest Rapid Rewards® Premier Credit Card

Rewards rate

3x points on Southwest Airlines purchases

2x points on Rapid Rewards hotel and car partners

2x points on local transit and commuting, including rideshare

1 point per dollar on all other purchases

4x points on Southwest purchases

3x points on Rapid Rewards hotel and car partners

2x points on local transit and commuting, including rideshare

2x points on social media and search engine advertising, internet, cable, and phone services

1 point per dollar on all other purchases

3x points on Southwest purchases

2x points on local transit and commuting, including rideshare

2x points on internet, cable, phone services, and select streaming

1x point per dollar on everything else

Welcome bonus

Southwest Rapid Rewards® Premier Business Credit Card

Southwest Rapid Rewards® Performance Business Credit Card

Southwest Rapid Rewards® Premier Credit Card

Southwest benefits

6,000 points on your card anniversary

Earn tier-qualifying points toward A-List elite status

Two EarlyBird Check-Ins per year

25% back on inflight drinks and Wi-Fi

Up to $500 per year in Southwest fee credits for points transfers

9,000 points on your card anniversary

Earn tier-qualifying points toward A-List elite status

Four upgraded boardings per year, when available

Up to 365 inflight Wi-Fi credits per year

Up to $100 NEXUS, Global Entry, or TSA Precheck credit every four years

Up to $500 per year in Southwest fee credits for points transfers

6,000 points on your card anniversary

Earn tier-qualifying points toward A-List elite status

Two EarlyBird Check-Ins per year

25% back on inflight drinks and Wi-Fi

Review

 

Southwest Performance Business credit card review

Southwest Rapid Rewards Premier credit card review

Southwest Premier Business Credit Card vs Other Airline Business Credit Cards

 

Southwest Rapid Rewards® Premier Business Credit Card

United℠ Business Card

CitiBusiness® / AAdvantage® Platinum Select® Mastercard®

Annual fee

Southwest Rapid Rewards® Premier Business Credit Card

United℠ Business Card

CitiBusiness® / AAdvantage® Platinum Select® Mastercard®

Rewards rate

3x points on Southwest Airlines purchases

2x points on Rapid Rewards hotel and car partners

2x points on local transit and commuting, including rideshare

1 point per dollar on all other purchases

2x miles on United purchases

2x miles on dining, gas stations, office supply stores, and local transit and commuting

1 mile per dollar on all other purchases

2x miles on eligible American Airlines purchases

2x miles on eligible purchases at telecommunications merchants, cable and satellite providers, car rental merchants, and gas stations

1 mile per dollar on all other eligible purchases

Welcome bonus

Southwest Rapid Rewards® Premier Business Credit Card

United℠ Business Card

CitiBusiness® / AAdvantage® Platinum Select® Mastercard®

Airline benefits

6,000 points on your card anniversary

Earn tier-qualifying points toward A-List elite status

Two EarlyBird Check-Ins per year

25% back on inflight drinks and Wi-Fi

Up to $500 per year in Southwest fee credits for points transfers

Two United Club one-time passes per anniversary year

Free first checked bag on United flights* 

Priority boarding on United flights

25% back on United inflight purchases

$100 United credit*

5,000 bonus miles each card anniversary when you have the United Business Card and a personal United credit card

500 Premier Qualifying Points (PQP) for every $12,000 you spend on purchases***

Expanded access to United award flights

Free first checked bag on American Airlines domestic itineraries

Preferred boarding on American Airlines flights

25% back on American Airlines inflight purchases

Domestic companion certificate when you spend $30,000 on purchases in a calendar year and renew your card

No foreign transaction fees

 

Review

 

United Business Card review

CitiBusiness AAdvantage Platinum Select American Airlines credit card review

*$100 United credit after making seven or more United flight purchases of $100 or more each card anniversary year

***Up to 1,000 PQP in a calendar year for the United Business Card

Southwest Premier Business Credit Card Frequently Asked Questions (FAQ) 

Is the Southwest Premier Business worth it?

The Southwest Rapid Rewards® Premier Business Credit Card charges a Southwest Rapid Rewards® Premier Business Credit Card annual fee. But it also comes with a 6,000-point anniversary bonus. Per Insider's valuations, this bonus is worth $84. If you think the card's remaining benefits (two EarlyBird check-ins, 25% back on inflight drinks and Wi-Fi, return rates on spending, etc.) are worth more than $15 per year, the card is worth it.

Who is eligible for the Southwest Premier Business?

There are a few rules to remember before you apply for this card. Most importantly, this is a small business credit card. You don't qualify unless you've got a business venture (which can be things like Uber driving or tutoring).

Additionally, the card is subject to the Chase 5/24 rule: If you've opened five or more cards from any bank (excluding certain small-business cards) in the past 24 months, you're not eligible for the Southwest Rapid Rewards® Premier Business Credit Card. You also won't be approved if you've currently got the card or if you've received its bonus within the past 24 months.

How does the Southwest Companion Pass work?

The Southwest Companion Pass gives you the ability to bring along a friend or family member for just the cost of taxes and fees whenever you fly Southwest. Even if you fly multiple times per day, your companion can come along. The pass can last up to two years, depending on when you earn it.

Taxes and fees are $5.60 each way on domestic flights — but can reach $50 or more when traveling internationally to areas like Mexico, Central America, and the Caribbean.

Can you change your companion with the Southwest Companion Pass?

You can change your Southwest companion up to three times per calendar year. That means you can have up to four different companions during the year that you earn the Companion Pass. Also note that even if you change your companion to someone who was previously designated as your companion, it will still count as an additional change.

Methodology: How We Reviewed the Southwest Premier Business Card

Insider's credit cards team reviewed the Southwest Rapid Rewards® Premier Business Credit Card in comparison to other Southwest credit cards and airline small-business cards. We considered various factors, including: 

  • Ease of use — Is it easy to earn and use rewards? Are there lots of ways to redeem points?
  • Earning potential — Does the card offer a welcome bonus and earning rates that are as good or better than similar cards? Are the card's bonus categories appealing to small-business owners, frequent Southwest flyers, or both?
  • Benefits — Does the card offer valuable perks, especially for travel? Early boarding, a path to elite status, and inflight discounts are all positive attributes.
  • Annual fee — Do the card's rewards and benefits justify the annual fee? 

Here's a closer look at how we rate credit cards at Insider for a deeper dive into our methodology.

Read the original article on Business Insider