financial service review

What You Need to Know About PayPal LoanBuilder for Business

PayPal LoanBuilder is advertised as a quick, convenient way to get up to $100K in business funding. The company is more than reputable, and their marketing makes it sound like the easiest financing option in the world. But, what are the terms, how much does it cost, and is this really the best loan for your business?

Let’s find out what LoanBuilder is, how it works, and explore exactly what you can expect if you apply.

This is what’s in store:

What is PayPal LoanBuilder?
- How Much Does PayPal LoanBuilder Cost?
How Does PayPal LoanBuilder Loan Work?
Frequently Asked Questions
Final Thoughts

Now, let’s get to it!

What is PayPal LoanBuilder?

PayPal’s LoanBuilder is a service that offers fixed-term small business loans from $5,000 to $100,000 for first-time borrowers and up to $150,000 for repeat borrowers—the financing option is designed to be fast and flexible, with funds potentially available in your business bank account as soon as the next business day after approval.

The loan comes with transparent pricing, where you pay a clear, fixed fee along with a $20 Returned Item Fee if a payment is returned. There are no late fees, early repayment fees, or processing fees. You can choose a repayment term that suits your business needs, and payments are automatically deducted weekly.

To check if your business is eligible for a LoanBuilder Loan, you can complete a quick online questionnaire. This process won’t impact your personal credit score. If eligible and approved, you can customize your loan amount and term, sign the contract electronically, and receive the funds quickly.

To qualify, your business needs to have been operational for at least nine months with an annual revenue of at least $33,300. Keep in mind that LoanBuilder is a service provided by PayPal in partnership with WebBank. The loan application and approval process is designed to be straightforward and streamlined, aimed at helping businesses manage cash flow, finance projects, or tackle other business challenges.

A LoanBuilder loan does require a personal guarantee.

You might also like: Business Credit Cards without Personal Guarantee

How Much Does PayPal LoanBuilder Cost?

The cost of a LoanBuilder loan is determined by a single fixed fee known as the Total Loan Fee, which will be disclosed at the time of loan approval and remains consistent throughout the loan term.

However, since this is a working capital-style loan, you should expect interest rates higher than you would get via, say, your business credit union. Still, they may be lower than other working capital solutions.

The specific amount of the Total Loan Fee varies based on:

The loan amount
Repayment term
Financial risk

LoanBuilder Loans do not have additional fees such as late fees, early repayment fees, or processing fees—The Total Loan Fee is the primary cost associated with borrowing and is included in your repayment schedule.

To see your LoanBuilder cost, you’ll need to complete the loan application process and review the personalized terms.

How Does PayPal LoanBuilder Loan Work?

LoanBuilder from PayPal offers a pretty simple approach to business financing, providing you with a customizable loan experience tailored to your business needs.

With LoanBuilder, you have the freedom to:

Access funds quickly
Repay with clarity
Benefit from straightforward terms

Let’s delve into the key features that will help you decide if LoanBuilder is the best choice for your business funding.

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1. Apply With No Impact to Your Credit

The PayPal LoanBuilder “application” is pretty straightforward. The questionnaire asks you for contact information, how you plan to use the funds, how you heard about the loan, business location, and business details.

Details to have on-hand about your business include:

Legal business name & DBA (if applicable)
Business address & website address
Entity type & state of incorporation
Annual revenue
Business start date
Number of employees
Industry & sub-industry
Percentage of ownership

The application also asks for your Social Security Number and Employer Identification Number. Luckily, they do a soft inquiry into your personal credit for pre approval, which won’t negatively impact your credit score.

However, you will probably have to approve a hard pull for final approval.

Don’t move forward with that until you’re absolutely sure you want this loan.

You might also like: Here’s How to [Actually] Get Business Credit With Just an EIN +More Options

2. “Customizable” Funding

LoanBuilder advertises a “customizable” loan—This makes it sound as if you might get to choose your amount, terms, and rate, which would be pretty exciting.

However, that’s not a realistic way to think about lending; lenders need to assess the financial risk before approving any type of financing.

Still, after you’re pre-approved for a loan, you can choose your loan amount and repayment term. Your loan fee percentage will increase as your terms are extended. So, the longer you give yourself to pay off the loan, the higher your Total Loan Fee.

If you do opt for this loan, consider giving yourself some extra time to pay it just in case something unexpected occurs, as you could be charged penalties for failing to pay on-time.

3. Fixed-Fee Loan

When you take out a LoanBuilder Loan, you won’t have any upfront fees deducted from the loan amount you receive. Instead, the cost of borrowing—the single fixed fee, known as the “Total Loan Fee”—is spread out and paid gradually over the entire duration (life) of the loan.

Here’s a breakdown of what this means:

When you receive the loan amount, the full sum is deposited into your business bank account without any immediate deductions for fees or charges. This ensures that you have access to the entire loan amount upfront to use for your business needs.
The cost associated with borrowing the money is represented by a single fixed fee—This fee is agreed upon and disclosed at the time of loan approval; it does not change over the course of the loan.
Rather than paying a fee upfront or separately, it is integrated into your loan repayment schedule. Each time you make a repayment towards your loan (typically on a weekly basis), a portion of that payment goes towards covering the Total Loan Fee. This fee is gradually paid down along with the principal amount of the loan.

By structuring the loan this way, you get clarity on the total cost of borrowing from the outset, and you can plan your repayments knowing how much will be allocated towards the loan principal and how much towards the fixed fee.

4. Fast Access to Funds

The LoanBuilder lending process is designed to be fast…

First, when you check your eligibility, it’s done through a quick online questionnaire. This initial eligibility check does not involve a hard inquiry on your personal credit report, which means it won’t affect your consumer credit score—This is helpful because you can explore loan options without worrying about potential negative impacts on your credit rating.

If your LoanBuilder Loan application is approved, the funds are transferred directly to your business bank account, often by the next business day after approval—This rapid transfer ensures that you can access the funds quickly to address business needs or capitalize on opportunities right away.

5. Accessible Business Funding

The eligibility requirements for a LoanBuilder Loan can be considered relatively low compared to some traditional business loans:

At least nine months in business
$33.3K annual revenue

Requiring a minimum of nine months in business is relatively short compared to other types of business loans that might need several years in operation. Newer businesses can access financing sooner in their development stages.

While this amount varies depending on the size and industry of your business, $33,300 annual revenue is a moderate threshold—It’s achievable for many small businesses, including startups and those in their early stages of growth.

These requirements are inclusive and accessible to a wide range of small businesses, including startups and those with modest revenue streams.

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6. Weekly Repayment Terms Up to 12 Months

The repayment period for LoanBuilder Loans ranges from 17 weeks (approximately 4 months) to 52 weeks (approximately 12 months), depending on your eligibility and the loan amount you qualify for.

During the repayment period, you will make weekly payments towards your loan balance.

The amount of each weekly repayment will be set based on:

The total loan amount
The fixed fee associated with the loan
The chosen repayment term

The weekly repayment amount remains consistent throughout the repayment period, providing predictability in your loan payments.

For example, if you have a loan with a 26-week repayment term, you will make 26 weekly payments until the loan is fully repaid. The amount of each weekly repayment is calculated to cover both the principal loan amount and the fixed fee—this helps you make sure the loan is paid off by the end of the chosen repayment term.

Frequently Asked Questions

Is PayPal legally a bank?

No, PayPal is not a bank. It is a technology company that provides online payment services and financial solutions.

What bank does PayPal use for loans?

LoanBuilder loans are provided by WebBank®, Member FDIC, in partnership with PayPal.

What is the minimum credit score for LoanBuilder?

LoanBuilder does not disclose a specific minimum credit score requirement. Instead, eligibility is determined based on various business factors such as revenue and operational history—but the do require a personal guarantee

Does PayPal LoanBuilder report to credit bureaus?

Yes, PayPal LoanBuilder reports payment activity to business credit bureaus, not personal credit bureaus. This can help businesses establish and build their business credit profile.

Final Thoughts

PayPal is a trustworthy financial company, with LoanBuilder being backed by a reputable bank. The loans they offer are pretty competitive in the working capital realm, but the high rates are a red flag for me. I never recommend my students take out a loan like this unless there is absolutely no better option—even with a flat fee, weekly repayments can eat at your profits.

But, if you need to take out a high-interest loan and you’ve explored all of your options, this might be the way to go. If you have some time, I recommend you put some effort into your business credit so you can get loans and lines of credit with (much) better terms…it’s a game changer.

Do you want to learn how to obtain up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!

Plastiq Review: Can Plastiq Really Simplify Your Finances?

By Joe Lawrence

As you juggle numerous responsibilities, managing finances and making payments can often feel like a tightrope walk. This is where Plastiq comes into the picture. Plastiq is a platform offering financial services that promises to simplify bill payments and streamline financial transactions for both individuals and businesses.

In this Plastiq review, we will delve into the platform’s benefits, features, and more to help you decide whether it is worth considering or if you should explore other options. Let’s begin!

What is Plastiq?
Who Can Use Plastiq?
Features and Benefits of Using Plastiq
How Much Does Plastiq Cost?
Privacy and Security Concerns
Some Limitations and Other Considerations to Be Aware Of
Verdict

What is Plastiq?

Plastiq aims to streamline cash flow management for businesses (and individuals) by providing instant access to working capital. Utilizing the platform enables you to make payments with credit cards, even if the merchant or supplier doesn’t accept cards. This flexibility allows you to cover a variety of expenses, from rent to taxes, as well as supplier payments, while leveraging existing credit card rewards and favorable payment terms.

To use Plastiq, you’ll need to first sign up and verify your account. Additionally, you’ll need to add a payment method, such as a credit card, bank account, or debit card. Here’s a step-by-step guide to making a payment:

Input the payment details, including the recipient’s information and the amount.

Choose the recipient, who can range from contractors and government agencies to suppliers and landlords. Plastiq accommodates various payment types, including bills, invoices, and other obligations.

Select the payment method, typically a credit card such as Visa, Mastercard, Discover, or American Express—all of which Plastiq accepts. Alternatively, you can use debit cards, checks, or bank transfers.

After choosing the payment method, schedule the payment or set up recurring payments for your bills.

Once confirmed and scheduled, Plastiq will process the payment on your behalf, charging the amount to your credit card and any applicable fees. The payment is then automatically sent to the recipient via their preferred method, such as a physical check, wire transfer, or ACH transfer.

Track your payment status on the platform and access your payment history to maintain organized records of your financial transactions involving Plastiq.

Unlocking working capital while automating your payables operation can help you maintain a healthy cash flow. This saves you valuable time that would otherwise be spent manually entering bills and making individual payments. With Plastiq, you can pay your suppliers promptly using their preferred payment methods while choosing the one that best suits your needs.

Who Can Use Plastiq?

Plastiq can be utilized by a wide range of individuals and businesses, but it is particularly well-suited for the following:

Business Owners: If you operate a business and wish to leverage credit card rewards and benefits for your expenses, Plastiq is an excellent option. You can use it to pay for expenses traditionally not accepted via credit cards, such as utility bills, taxes, and rent.

Real Estate Investors: You can use a business credit card as a down payment to buy real estate by sending the money from your credit card to the title company for the closing. Many readers ask how to pull cash off credit cards and this is one option to do it.

You might also like: The BRRRR Method: A Real Estate Portfolio-Building Blueprint

Individuals: Plastiq is beneficial for individuals managing significant expenses. For example, real estate investors who need to make real estate-related payments can streamline their transactions with Plastiq while earning credit card points.

Small Business Owners and Freelancers: Whether you’re a freelancer or run a small business, maximizing cash flow is essential. Plastiq allows you to extend payment terms using a credit card, freeing up cash for other business needs while covering expenses on credit.

Individuals or Entrepreneurs Seeking to Streamline Payables: Simplifying payable processes is crucial in today’s fast-paced world. Plastiq’s integration with Automatic Data Processing (ADP), a leading provider of payroll and human resource management solutions, enables you to fund your business’s payroll with a credit card. The funds are then automatically processed through ADP’s payroll system, facilitating employee payments.

Merchants and Service Providers: Plastiq Accept, discussed below, allows users to receive credit card payments from customers. This service enhances transaction convenience for buyers and customers who prefer credit card payments.

Plastiq is an excellent option for individuals and businesses seeking to leverage their credit card’s credit line for various types of payments. It facilitates transactions where credit cards are generally not accepted.

Features and Benefits of Using Plastiq

Plastiq has a set of features for facilitating payments and managing cash flow, which include:

Plastiq Pay: Businesses and individuals can use Plastiq Pay to pay via credit cards. You can pay by card, such as your credit card, allowing you to fund payments automatically. These payments can be anything from vendor payments to payroll. This feature is particularly useful if you run a business and are looking to leverage credit card rewards. You can also use Plastiq Pay to extend your payment terms without needing the recipient to accept credit card payments directly.

Plastiq Accept: If you need to accept payments, Plastiq also has this feature for receiving payments from customers wanting to pay by credit card. Use Plastiq Accept so you can streamline the receivables process of your business. Accept is great for landlords, contractors, and other merchants or small businesses that do not usually take credit cards as a payment method.

If you wish to use both Pay and Accept, you can get more with Plastiq Connect, which is more comprehensive than the two products mentioned. There are also Pro and Enterprise plans, which you may be interested in, as they can benefit your business transactions. For a monthly fee, you can sync up your accounting software and make payments even more straightforward with scheduled bulk payments.

Plastiq offers plenty of benefits to its users, including payment flexibility. Users can pay bills and expenses with credit cards, manage their cash flow, and even leverage credit card perks, benefits, and rewards.

Plastiq also gives you more payment options in transactions where you typically cannot pay with a credit card. You can use Plastiq to pay for the following expenses:

Bills and utilities, such as gas, water, electricity, Internet, and phone
Rent
Mortgage
Tuition
Taxes, such as income taxes and property taxes
Government fees
Suppliers, vendors, contractors, and service providers
Subscription services, including subscriptions to streaming platforms, software, and gym membership
Business expenses, such as office supply and equipment purchases, as well as advertising and travel costs

Plastiq is not only for businesses but also for personal expenses. You can use it to pay for groceries, entertainment, charitable donations, and shopping.

paying vendors and credit cards with plastiq

Here is another reason why you will like Plastiq. Plastiq’s platform is easy to use and understand, even if you are a new user. The interface is uncomplicated, so you can complete the payment process in just a few minutes by providing the payment details and the merchant’s choice method.

One more benefit is that Plastiq prioritizes the security of the users. The platform has robust encryption and other security measures. That is to ensure your personal and financial data stays protected in every transaction. We talk more about this subject later in the article.

If you have a small business, you will surely benefit from Plastiq’s short-term financing offers, which typically come with extended payment terms. You can immediately get funding for lines up to $100,000, which you can pay for up to 90 days. If you are qualified and accept the additional review Plastiq requires for loans, you may be able to borrow more, even up to $750,000.

How Much Does Plastiq Cost?

Unfortunately, Plastiq is not free, but there is a free trial for the first 60 days when you sign up for either Pay or Accept. But free does not mean completely free because charges apply for all transactions done via Plastiq. You will have to pay a convenience fee, which depends on various factors, including the payment amount, recipient, and method. Don’t worry; you will know how much the fees will be before you complete a payment transaction. That way, you can cancel the payment if you are unhappy with the additional charge.

Plastiq’s pricing model, as mentioned, is based on a per-transaction fee. Let us break it down:

Plastiq Pay: Unlike some competitors, this service starts at a $0 one-time purchase, meaning you do not have to pay to subscribe. However, you will incur transaction fees every time you use your credit card to pay an expense or bill.

Plastiq Accept: There is also no subscription cost for the Accept service, but transaction fees apply whenever you use Plastiq to accept payments.

The transaction fee is typically a percentage of the total payment amount, although it can vary based on the payment method and recipient. You can expect to pay anywhere from 1.5% to 2.85% of the amount you paid the merchant.

Other fees you should know about include:

Credit Card Processing Fee: You have other payment options with Plastiq aside from credit cards. However, if you choose credit, the platform may charge an additional processing fee, which your credit card network or processor charges you. Note that this is separate from the transaction fee imposed by Plastiq. The processing fee depends on your credit card and may range from two to three percent of the payment amount, but typically around 2.90%

Domestic Wire Transfers: Sending money to anywhere in the US costs $5 to $8.99.

Currency Conversion Fee: If you plan to pay in another currency, you must be aware that you could be charged a conversion fee. Once again, this fee is based on the percentage of the amount of payment you need to make, covering the cost of converting your transaction into another currency. Expect to be charged anywhere from one to three percent of the payment amount for this fee, or $39, whichever is higher.

Late Payment Fee: Plastiq may charge you a late payment fee, which is generally assessed if the payment is not processed on time or if you fail to pay by the scheduled payment date. Not only that, you also ding your credit score. The good news is that Plastiq offers earning Fee-Free Dollars (FFDs), which are usable for making payments without extra fees. FFDs can be earned through referrals or promotions. However, you must use them right away as they expire after 90 days. You can prevent the expiration by simply earning more, so be sure to keep an eye on the expiration date.

Refund Fee: If you request a refund, you may be charged a refund fee. This fee may be deducted directly from the refunded amount, covering the cost of the transaction automatically.

Short-Term Financing: If you borrow quick funds from Plastiq, you will need to pay 2.75% up to 10.65% on top of the amount you borrowed. The great thing about this offer is that you can choose terms from 30, 60, to 90 days.

Be on the lookout for discounts and promotions, which may appear from time to time. These offers, which are advertised on Plastiq’s website or through promotional emails, can reduce or even waive transaction fees for specific payment types. Make sure to read the terms and conditions before participating.

ACH bank transfers, electronic funds transfers, and BillPay are provided for just 99 cents. Mailed checks cost about $1.49.

Privacy and Security Concerns

As a user relying on Plastiq to make or accept payments, you want to ensure the platform is secure. The good news is that Plastiq utilizes advanced encryption technologies to keep financial and personal user information safe during transactions. All transmitted data is encrypted to certify protection against unauthorized access and other potential security threats.

You will also not have any issues with regulatory compliance, as Plastiq meets industry standards and regulatory requirements for data privacy and security, such as the Payment Card Industry Data Security Standard (PCI DSS). The platform undergoes security checks and audits regularly to continue complying with those standards, ensuring the highest level of data protection for users.

Another way that Plastiq addresses common security concerns is that it only partners with trusted payment processors and financial organizations. All payments made through the platform are processed on safe and reliable channels to significantly reduce the risk of fraud. Plastiq also uses robust security measures, which help detect and prevent unauthorized and fraudulent activities.

Additionally, Plastiq has a transparent privacy policy outlining the methods of collecting, using, and storing users’ personal and financial information. This privacy policy provides all details, including data processing, as well as your rights and options.

Finally, the platform employs multi-factor authentication among its many other security measures to verify user identities. You may need to provide additional verification steps, including one-time passcodes sent to your mobile device or email address.

If you have other issues or require assistance, Plastiq offers dedicated customer support for all concerns, including security-related inquiries.

Some Limitations and Other Considerations to Be Aware Of

While you can get rewards when you use your credit card via the Plastiq platform, there are cases where the payment fee, which can be around 2.9%, is higher than any rewards you get.

Sure, you can use Plastiq for various transactions, including those where credit cards are not typically allowed. However, there are also numerous other products that you cannot use the platform for, such as investments and paying for credit card debts. Also, you can only make mortgage payments using a Diners Club Card, Discover, or Mastercard. As of February 2023, you can no longer pay with American Express.

It should also be noted that Plastiq filed for bankruptcy in Delaware in May 2023. The company is still operating normally but is restructuring.

Frequently Asked Questions

What is Plastiq?

Plastiq is an online platform that allows you to pay bills with a credit card.

How does Plastiq work?

Plastiq works by you entering information of legitimate businesses to receive payments from you. Plastiq will then charge your credit card (personal or business) and send a check or ACH directly to the business of your choosing.

How much does Plastiq Charge?

Plastiq charges a fee of 2.9% plus a small delivery fee. They have monthly plans ranging from free to $119/mo.

What is Plastiq used for?

You can use plastiq to pay bills (using your credit card) from vendors that do not normally accept credit cards.

Verdict

Plastiq may be the right option for you. If one or more of the following speak for you, it may be a platform to consider:

You need more time to gather cash but have credit available
You run a small business and are planning to pay vendors with a credit card
You want to accept credit cards for payment

Plastiq may not be worth considering for individuals, especially with the 2.9% credit card payment fee. This is especially true because credit card rewards are lower than the mentioned rate. Therefore, you lose money.

However, if you are a business (or even an individual) who requires assistance in financing a purchase or bill payment, Plastiq can benefit you. Don’t worry about not having immediate cash on hand, as you can get a few weeks to pay off your credit card balance and pay for your purchase with Plastiq.

As a small business owner, you also get several services that you may find interesting and worth exploring. For example, Plastiq Accept and Pay are services where you can accept payments and make payments, respectively. With Accept, customers can pay via credit card without worrying about merchant fees. You can also apply for short-term financing.

All in all, Plastiq is an excellent option for small and medium-sized businesses, thanks to its business-friendly features and services. It does help simplify your finances, from managing to making timely payments you can schedule. However, if you plan to use it as an individual wanting to take advantage of credit card rewards, you may want to look elsewhere.

Did You Know?

There is a little-known-way to get up to $100,000 in business credit cards without showing any financials…You can use this money to pay off debt, do more deals, grow your business or even run ads. Click Here to Download the Free Report and Discover How It’s Done!

6 Best 0% APR Business Credit Cards to Check Out

By Joe

As a business owner, there’s no end to how you can use credit to grow your business. But, one of the downsides to using credit versus cash is the fact that it can cost you. If you fail to pay credit in full each billing cycle, annual percentage rate (APR) interest can add up fast—But, not if the APR is 0%.

0% APR business credit cards can save you a ton of interest, if used responsibly. But, where can you find them? There are needles in a haystack with no interest ever, and others you can leverage at 0% introductory rates. Simply put, here are the top business credit cards with 0% APR that I know of right now.

This is what’s in store:

What is a Good APR for a Business Credit Card?
- Can You Get a Credit Card with 0% APR?
The Best Business Credit Cards With 0% APR
Frequently Asked Questions
Final Thoughts

Now, let’s roll!!

What is a Good APR for a Business Credit Card?

Generally speaking, the lower the APR on a business credit card the better — this is if you plan to carry a balance. The lower the rate, the less you’ll pay. Think of it like this: With credit cards, you’ll be charged interest on any money that you owe at the end of a billing cycle.

So, if you spend $1,000 on your credit card, and you only pay $100 at the end of the month, you will still owe $900 to the card issuer. The issuer will charge interest on that $900. The lower the interest rate/APR the less you will pay.

According to data collected by the Federal Reserve, the average interest rate on credit cards issued by commercial banks was 21.47%, which increases over time – So, anything lower than this might be considered a “good” APR. However, this doesn’t account for cards issued by credit unions nor separate business products from those issued to consumers.

Keep in mind, if you pay the balance on your business cards in full each month, you won’t have to worry about APR.

You might also like: 3 Best Credit Unions for Small Business Banking in 2024

Can You Get a Credit Card with 0% APR?

You can absolutely get a credit card with no annual interest rate—Both 0% APR business credit cards and 0% APR consumer credit cards can be found on the market.

In most cases, when a business credit card comes with no annual fee, this is an introductory rate…A 0% introductory rate means that you will pay no interest for a specified period, which is usually 6, 12, 18, or 24 months. After this, the interest rate will revert back to its normal rate. At this point, you will be charged the full interest for any balance still owed, no matter when the debt accrued.

Another business financial product that people sometimes refer to as a business credit card is a corporate card. Many corporate cards come with 0% APR, and several even offer cash back on purchases. However, a corporate card is not technically a business credit card.

You might also like: Corporate vs Business Credit Card: What’s the Difference?

The Best Business Credit Cards With 0% APR

Let’s take a look at the top business credit cards you can get today with 0% APR.

Note: Credit cards rates can vary – always check with the card issuer before you apply.

You might also like: 6 Best Business Credit Cards for Entrepreneurs: Fuel Your Growth

1. PNC Cash Rewards Visa Signature Business

0 apr business credit cards no annual fee

The PNC Cash Rewards Visa Signature Business Credit Card offers a $400 bonus when you open a new account and make at least $3,000 in qualifying purchases within the first three billing cycles—It also features an introductory 0% APR for the first 9 billing cycles (9 months), with a variable APR of 19.24% to 27.24% afterward.

With this card, you earn 1.5% cash back on net purchases, with no limits on your earning potential. You can easily manage your account online with various tools provided. Additionally, as a Visa Signature cardholder, you’ll enjoy travel benefits and purchase protection.

There’s no annual fee, and for balance transfers, you’ll pay either $5 or 3% of the transfer amount, whichever is greater. Cash advance fees are either $10 or 4% of the advance amount, with a maximum fee of $75. Late payment and over-the-credit-limit fees may apply.

A noteworthy perk: if you have a PNC business checking account, using this credit card could help offset your monthly maintenance fee.

2. U.S. Bank Business Platinum Card

The U.S. Bank Business Platinum Card offers a 0% introductory APR on purchases and balance transfers for 18 billing cycles (a year and a half), making it ideal for managing expenses and consolidating debt. After the introductory period, a variable APR applies.

This card comes with a low annual fee and provides cards for both you and your employees–This U.S. Bank business credit card gives you access to a dedicated domestic servicing center with 24/7 customer support, which ensures assistance whenever you need it.

With Visa Spend Clarity™, you can track spending and manage expenses more effectively. The card has received honors, including being named Best 0% APR Credit Card by WalletHub and Best Business Cash Back Card for Gas by Forbes.

Furthermore, the U.S. Bank Business Platinum Card allows you to pay over time with U.S. Bank ExtendPay® Plan, and new cardmembers can take advantage of a $0 fee offer on ExtendPay Plans opened within the first 60 days after account opening.

You might also like: What are the Best Unsecured Business Credit Cards for Startups?

3. Capital One Spark Business 1.5% Cash Select

The Spark 1.5% Cash Select credit card from Capital One is tailored for businesses with good credit. It offers unlimited 1.5% cash back on all purchases, with no category restrictions, and an additional unlimited 5% cash back on hotels and rental cars booked through Capital One Travel.

There’s a $0 annual fee, and for the first 12 months, there’s a 0% introductory APR, followed by a variable APR ranging from 21.24% to 29.24%, based on your creditworthiness.

The card provides benefits like:

Automatic payments
$0 fraud liability
Year-end summaries for simplified budgeting and tax preparation
Account managers for assistance with purchases and payments
Purchase record downloads in various formats
Virtual card numbers for enhanced online security

The application process takes about 10 minutes, and decisions are typically made in seconds.

To apply, you’ll need to provide information about all business owners, including legal names, addresses, and Social Security Numbers, as well as details about your business, such as its legal name, address, and tax identification number (EIN).

You might also like: What are the Best Business Credit Cards for Travel?

4. BofA Business Unlimited Cash Rewards

The BofA Business Unlimited Cash Rewards credit card by Bank of America offers a $300 online statement credit bonus after spending at least $3,000 within the first 90 days of opening an account. It allows you to earn unlimited 1.5% cash back on all purchases, with no annual cap and no expiration on rewards.

Moreover, if you have a Bank of America business checking account and qualify for the Preferred Rewards for Business Platinum Honors tier, you can earn up to 75% more cash back, up to an unlimited 2.62% cash back on purchases.

This card features flexible redemption options, including depositing cash rewards into your Bank of America checking or savings account, receiving a statement credit, or getting a check mailed to you.

There’s no annual fee, and it offers a 0% introductory APR on purchases for the first 9 billing cycles, followed by a variable APR ranging from 18.49% to 28.49%—The card provides various features to manage cash flow, online and mobile access for account management, travel and emergency services including travel accident insurance, free access to business credit scores, security measures such as zero liability protection and fraud monitoring.

Notable: It also offers Balance Connect® for overdraft protection when linked to a Bank of America business checking account.

5. Chase Ink Business Unlimited

The Ink Business Unlimited® Credit Card from Chase offers a substantial new cardmember bonus of $750 cash back after spending $6,000 on purchases within the first 3 months of opening an account. With no annual fee, this Chase business credit business card allows you to earn unlimited 1.5% cash back on every purchase made for your business.

For the first 12 months from account opening, there’s a 0% introductory APR on purchases, which then transitions to a variable APR of 18.49%–24.49%. You can redeem your rewards on this card for cash back, gift cards, travel, and more through Chase Ultimate Rewards®.

Employee cards come at no additional cost and allow you to set individual spending limits while helping you earn rewards faster. Additionally, until March 2025, you can earn a total of 5% cash back on Lyft rides with your Chase Ink Unlimited card, which includes an extra 3.5% on top of the 1.5% you already earn on travel.

Chase also offers referral incentives for existing cardholders, allowing them to earn up to 200,000 points per year by referring businesses for any Chase Ink® Credit Card.

You might also like: Chase Ink Business Preferred Credit Card: A Deep Dive Analysis

6. Amex Amazon Business Prime

The Amazon Business Prime Card, offered by American Express, comes with a $0 annual fee and offers a $125 Amazon.com Gift Card upon approval. It features a variable APR ranging from 19.49% to 27.49% on purchases, based on creditworthiness.

This card rewards your business with:

5% cash back or 90-day terms on select U.S. purchases at Amazon Business, AWS, Amazon.com, and Whole Foods Market, with a cap of $120,000 in purchases each calendar year with eligible Prime Membership, and 1% back thereafter.
2% cash back on U.S. purchases at restaurants, gas stations, and wireless phone services purchased directly from service providers.
1% cash back on all other eligible purchases.

Additional benefits include Amazon Business Enhanced Data Views for detailed expense tracking, Amazon Shop with Points for flexible reward redemption, and no foreign transaction fees.

You can manage expenses efficiently with features like Account Manager, Employee Cards with spending limits, and integration with QuickBooks® for auto-expense categorization – Moreover, cardholders receive baggage insurance, car rental loss and damage insurance, extended warranty protection, purchase protection, and access to Amex Offers for additional rewards.

Frequently Asked Questions

What credit score do you need for 0% APR?

Typically, you need a good to excellent credit score (usually 670 or higher) to qualify for a 0% APR offer on a credit card. Each card issuer has their own underwriting and qualification terms.

Why 0% APR offers might not be good for your credit?

0% APR offers can impact credit negatively if not managed properly. They may encourage overspending, leading to higher debt levels. Additionally, opening new credit accounts can temporarily lower your credit score due to inquiries and reduced average account age.

Is 23% APR high for a credit card?

Yes, a 23% APR is slightly above the average for credit card APRs, which was around 21.47% according to Federal Reserve data.

Is 29% APR high?

Yes, a 29% APR is significantly higher than the average credit card APR, indicating high-risk lending.

Final Thoughts

Leveraging 0% APR business credit cards can be a savvy financial move for entrepreneurs – It provides a valuable opportunity to manage expenses without accruing interest. With a clear understanding of what constitutes a good APR for a business credit card, the availability of 0% APR cards, and the top options currently on the market, you’re better equipped to make informed decisions tailored to your business needs.

Remember to consider factors like introductory periods, ongoing APR rates, and additional perks and benefits when selecting the right card for your business. With careful management and responsible use, these cards can serve as valuable tools for financial flexibility and growth.

Do you want to learn how to obtain up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!

Melio Payments Review: Can It Make Business Payments and Getting Paid Easier?

By Joe Lawrence

Any business requires managing finances, but it can be challenging. With the complexities involving accounts payable and receivable, keeping up with the payments is often difficult. Thankfully, there are solutions that you can try to streamline your finances and take control of your cash flow. Consider looking into Melio Payments, a platform that offers a comprehensive range of features, from making bill payments to invoicing and payment processing.

In this review, we will explore the platform’s features, benefits, and workings. Read on to determine whether it is what you need to optimize your business’s financial operations.

What is Melio Payments?
Melio Payments Key Features and Functionalities
The Benefits of Using Melio Payments for Your Business
How Melio Payments Works
Accounting Software Integration
How Much Does Melio Cost?
User Experience and Reviews
Conclusion

What is Melio Payments?

Melio Payments is a platform created by a financial technology company with the same name. This platform is designed for businesses to manage their accounts payable and receivable processes. If you utilize the platform, you can take advantage of various features to help you manage your finances more efficiently.

Melio Payments Key Features and Functionalities

When you sign up for Melio Payments, you can get a suite of financial tools and services that make your accounts payable and receivable processes much more straightforward.

For example, Melio allows you to pay your bills electronically. You can accomplish this task using bank transfers or debit cards. The best part about this feature is that it does not require the merchant or vendor to accept electronic payments. You can pay through the payment method you choose without actually using it. This means you do not have to write and mail physical checks, which can save a lot of time and even decrease administrative overhead.

Here are other key features that you can get out of Melio Payments:

Invoicing: You can use Melio to create and send professional invoices directly to your customers using the platform itself. To do this, log in to your Melio account and go to the Invoices tab in the dashboard. From there, you can access the existing invoicing features, which include creating a new invoice. You can then fill in the invoice details, including the recipient’s contact information, date, and number. You can also add line items in the dashboard with their own costs and quantities. You can then set the payment terms for the invoice, including the payment method and due date. Before sending, make sure to review and confirm.

Scheduling of Payments Including Recurring Payments: Melio allows you to set up recurring and one-time payment schedules in advance conveniently. That way, you can ensure all your bills are paid on time. This feature also helps manage cash flow, as you can plan and be sure that the funds will be readily available when the due date comes. You can set up recurring payments, such as rent and utilities, on the platform. They will automatically be paid on a weekly or monthly basis.

Accounting Software Integration: You can use Melio together with your favorite accounting software platform. It is popular with Xero and QuickBooks, two of today’s most used accounting solutions. Melio allows you to sync your financial data between the accounting software platform and the payment platform. That way, these platforms can automatically update the payment information and invoices. This saves you time as you no longer have to enter financial data manually. The integration with Xero or QuickBooks and other accounting software will be further explained later in this blog.

Management of Your Vendor Transactions: Melio has tools that allow you to manage vendor transactions easily. These tools are designed to help you gain better control and visibility of your accounts payable. For example, you can use Melio to centralize vendor information on the platform. This means you can manage and track transactions when dealing with different vendors, as you can quickly add new vendors and update vendor details, among many other features.

Payment Tracking: A crucial feature that you can find on the Melio platform is payment tracking, which gives you a real-time glimpse of the status of the payments you have made. You can also look at your payment history in the dashboard, which has detailed records of your past payments, including payment dates, recipients, and amounts. Tracking of payment involves not just the past but also the future. You can have Melio give you payment reminders to stay on top of your payment obligations, helping you avoid penalties and late fees.

Melio is excellent for businesses with more than one department or user who may oversee the payment processes. The platform has customizable approval workflows where you can create custom approval chains that outline the approval sequence for your payments. It makes it easier for your departments or users to determine who should approve payments in the correct order to complete the process.

The Benefits of Using Melio Payments for Your Business

The primary purpose of Melio is to simplify accounts payable processes. It provides robust tools enabling users like you to create invoices, schedule payments, and manage vendors in just one simple and easy-to-use platform.

Here are the other advantages of using Melio for your business:

The ability to set up payment schedules helps improve your business’s cash flow management. By maintaining control over the timing of your payments, you can be sure that your bills are paid on time.

You Might Also Like: This is How to Leverage Business Credit to Transform Your Life

The same feature as above also helps extend payment terms with contractors, vendors, or suppliers. That’s why payment scheduling is beneficial for your business: You can have more time to pay your bills while preserving working capital.

Unlike other platforms or methods of payment, you do not have to worry about paying your dues early. Early payment discounts from vendors may be available, and you can take advantage of them. These discounts can save money on your expenses, which is useful for improving cash flow.

Repetitive tasks are time-consuming. Eliminating them and relying on Melio for invoice creation and payment reminders can free up your employees’ time to focus on other strategic activities that can help drive business growth.

Melio makes invoice management easy. The platform allows you to create and customize invoice templates and include line items. You can also use Melio to specify payment terms, which makes it an excellent solution for your business and customers.

Apart from the benefits mentioned above, Melio Payments can lead to significant cost-saving benefits and improvements in efficiency for your business. For instance, you can save on administrative overhead by automating repetitive tasks.

Processes that may use paper can also be eliminated since Melio promotes the digitization of your accounts payable and receivable procedures. That means you no longer have to deal with paper-based checks, receipts, and invoices, should you choose to do so.

Late payments are a no-no for businesses, especially those wanting to save money. You can preserve your working funds by avoiding late fees and penalties due to missed or delayed payments.

Every business needs good relationships with vendors and customers to thrive. When you have streamlined accounts payable and receivable processes, you can forge stronger working relationships. That’s mainly due to your professionalism, which involves prompt payments and efficient invoicing. These can help improve communication and trust with other parties. It is one of the keys to building long-term partnerships.

Finally, the updated platform allows users to pay using bill-by-ACH bank transfer or card. Vendors are also no longer required to sign up, meaning you can pay them however they want with Melio.

How Melio Payments Works

Just like with any other payment platform, you must first sign up for an account here: https://app.meliopayments.com/register. Signing up is easy and takes only a few minutes. It only asks for your email address and password. You can also use your Google or Intuit account (for QuickBooks users).

After verifying your email address and logging in to your account, the platform will ask you to provide your business information, including whether you are a small business that wants to use the platform to pay vendor invoices or an accounting firm.

Aside from your email address, Melio also requires a phone number for verification and business information like business name, address, and industry. You can schedule a payment once you’re all set.

Before you can begin paying, you will be greeted with an empty dashboard.

One of the first things you must do is go to Settings and then the Payments and Billings section.

Click Payment Methods, where you can manage all your linked accounts and add a new payment method. You can then customize your payment preferences and select your preferred payment method. Your dashboard is also where you can add vendors and customers, create invoices, and schedule and track payments.

Melio supports different payment options, accommodating almost every business need and preference. You can use it to pay merchants or get paid via:

Bank transfer (ACH
Debit card
Credit card
Check
Wire transfer

Accounting Software Integration

In the platform settings, you may want to link your accounting software to Melio.

link accounting software and sync and import

Doing so allows automatic financial data syncing between Melio and the accounting software, QuickBooks, Xero, or others. When you create invoices, they are recorded in the accounting software so you have updated and consistent financial records. The same applies to payments made through Melio, simplifying the process and guaranteeing all payments are documented automatically.

How Much Does Melio Cost?

Melio is free with no subscription cost. Here is an overview of the fees and prices you must be aware of:

Free standard payments via ACH bank transfer
$1.50 per check for a paper check
1.5% (maximum of $50) for each instant payment made
$20 per transaction for international payments in US dollars
2.9% processing fee for credit and debit card payments
International payments using Mastercard credit cards will carry a 2.9% fee on top of the $20 fixed fee.

User Experience and Reviews

Melio has a fairly good amount of satisfied and positive testimonials on many review sites:

GetApp: 4.2/5

TrustRadius: 3.9/5

Capterra: 4.2/5

Trustpilot: 4.3/5

All in all, Melio has great reviews, mostly commending its customer service, bill pay with QuickBooks and convenience. The platform is easy to use and understand. Plus, you can talk to Melio’s support team via email, phone, or live chat. You can also speak to a dedicated account manager or read more about Melio through FAQs and the Knowledge Base.

Conclusion

Melio Payments is a comprehensive financial management platform for optimizing and simplifying tasks in managing and processing invoices and payments. It is a secure, user-friendly business solution with an intuitive interface and several useful features. With responsive customer support, multiple payment support, and integration with accounting software, Melio is certainly one of the top platforms for making financial management tasks easier.

Should You Take Fora Financial Reviews With a Grain of Salt?

By Joe

Fora Financial is a pretty well-known source of small business funding. And, according to Trustpilot and other review sources, they’re also super well-rated. But, you and I both know that you can’t necessarily trust that all user reviews you see online are real…and not all online loans are legit.

So, let’s dive deep into Fora Financial’s offer, and see if we can get to the bottom of the issue. Find out if Fora’s offer is right for you.

Here’s what’s in store:

What is Fora Financial?
- Fora Financial Loan Requirements
- Is Fora Financial a Real Company?
What Does Fora Financial Do?
Frequently Asked Questions
Conclusion

Now, let’s go!

What is Fora Financial?

Fora Financial is a financial services provider or alternative lender that specializes in funding solutions for small and medium-sized businesses — They provide options like small business loans with fixed payback schedules and revenue advances that adjust based on sales.

The application process is straightforward, typically involving an online application followed by a discussion with a “Capital Specialist” and, upon approval, receiving funds within a few days.

Their funding amounts range from a few thousand dollars up to $1.5 million (with no restrictions on how you use it). You might be able to qualify for 75 percent to 125 percent of your monthly gross sales.

And, you’ll probably pay between 15 and 20 cents per dollar with their repayment terms.

Fora Financial caters to various industries and business needs, including cash flow management, equipment purchases, expansion, and more. Overall, they provide accessible financing options for businesses looking to address their funding needs.

You might also like: Could a Stripe Capital Loan Get Your Business Through a Rough Patch?

Fora Financial Loan Requirements

Like other alternative funding, and compared to traditional business loans, Fora Financial’s requirements are fairly relaxed. You do need to meet some requirements, but the appeal is that these loans are pretty easy to get (In exchange, you pay higher fees over the duration of the loan).

You will need a personal credit score of at least 500 (with no open bankruptcies) to qualify. Most people can meet this requirement easily.

And, according to anecdotal evidence (what I found in various forums), your business must have at least $12K to $15K in gross monthly income and to have been established for at least three months.

Some lenders require several years in business, so their business requirements are nice. However, conventional business loans look at your business credit score, so there’s no impact to your personal credit utilization as long as you pay as agreed.

Is Fora Financial a Real Company?

I was surprised that people are wondering if the company is real. This one is easy to answer – yes, Fora Financial is an established business.

In fact, New York-based Fora Financial LLC was founded in 2008 by Daniel Smith and Jared Feldman. Back then, it was called Paramount Merchant Funding LLC (no relation to Paramount Payment Systems), and the name was changed in 2013.

Today, it’s a private-equity backed company that seems to be thriving.

Feldman is the current CEO of Fora, where he’s been for almost 16 years. Smith is also still with the company and previously spent 7 years as a board member of the Small Business Finance Association.

And, according to Glassdoor, most of Fora’s employees would refer a friend to the company and even more approve of company leadership.

Fora Financial employee reviews Glassdoor

How employees view a company really says a lot about its practices and overall internal ethics – in general, this one seems to have strong leadership.

But, how customers see a business can tell us even more. With that said, Fora maintains a 4.5-star rating on Trustpilot, where most of the poor reviews come from people who don’t have loans with the company.

On this platform, the most common complaints are the loan interest rates and difficulty getting in touch with a representative.

Now, when you check out Fora Financial’s standing with the Better Business Bureau, you’ll find that they are an accredited business with an A+ Rating. They have had seven customer complaints in the past three years (this is a relatively low number).

In sum, they appear to have a legit offer that could be worth checking out if you’d have trouble with approval from a more conventional lender.

But, before you take that as a green light to go apply, you should know that – as of January 2024 – there is an open class action against Fora in which a data breach is being investigated.

In Fora’s defense, one of the world’s largest banks and even one of the three major credit bureaus have suffered data breaches.

You might also like: Is BHG Financial Legit? Personal & Business Loans, VC, & More

What Does Fora Financial Do?

In a nutshell, Fora offers small business loans and revenue advances quickly through a fast application and approval process. But, let’s take a closer look at each major facet of the offer so you can understand exactly what you’re considering signing up for.

You might also like: Torro Business Funding Review: Is This Zero Hassle Offer Legit?

1. Simple Application Process

The application process with Fora Financial is straightforward and designed for convenience. First, you’ll need to fill out their easy online application form, which only takes a few minutes. Shortly after submitting your application, expect a call from one of their Capital Specialists to discuss your funding request in detail.

It’s important to note that Fora Financial will conduct a credit check as part of their review process, but only upon pre-approval.

2. Speedy Turnaround

Within four to 24 hours of your application submission, if you seem to be a good candidate, Fora Financial will provide you with a funding recommendation. Once approved, you can expect to receive your funds in a lump sum within 24 to 72 hours – This allows you to start utilizing the funds for your business needs straight away.

Be sure to read terms and conditions carefully for any offer Fora might send. You need to be sure your business has the ability to pay back the loan on-time as agreed.

3. Convenient Online Portal

When it comes to applying and repayment, Fora has a convenient online portal that you can access through their website.

An online portal is convenient for business borrowers because it offers easy access to loan information, application processes, and account management from anywhere with internet access.

This means you can apply for loans, check your account status, and manage payments without needing to visit a physical location or wait on hold for customer service. It saves time and offers flexibility.

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4. Repayment Terms up to 15 Months

Fora offers loans from $5K to $1.5M and repayment terms up to 15 months. This means that you will have over a year to either repay your loan or find a way to refinance it through a lower-interest lender.

And, Fora doesn’t penalize early repayment – in fact, Fora rewards responsible payment behavior. If you pay off your loan early, you’ll save money in most cases.

While this seems like a loan feature that should be standard, it’s not something you see with all online loans.

You might also like: 11 Alternate Ways for Entrepreneurs to Raise Capital with Online Lending Platforms

5. Small Business Loans

Fora Financial offers small business loans that can turn your entrepreneurial dreams into reality. With loan amounts ranging from $5K to $1.5 million in working capital, you have the financial flexibility to pursue opportunities and grow your business.

What’s great is that they don’t do hard credit pulls; just one soft inquiry when you apply, saving you from potential credit score damage. Plus, they offer pre-payment discounts and the chance to increase your borrowed amount after paying at least 60% of the original loan, providing ultimate flexibility.

And, you’re free to use the funds for almost any business expense, whether it’s expanding your operations, hiring more staff, or investing in equipment.

Recommended: How to Get an SBA Business Loan

6. Revenue Advances

Fora Financial’s Revenue Advance is designed to provide flexible terms for businesses experiencing variable cash flow. With this option, you can borrow anywhere from $5K to $1.5 million against your future revenue.

The repayment structure is tailored to your business’s sales performance, making it easier to manage during both prosperous and lean times.

Here’s how it works:

Instead of fixed monthly payments, you repay a fixed percentage of your daily or weekly sales.
When your sales are booming, you’ll pay off your advance faster, but during slower periods, you’ll benefit from reduced payments (this gives you breathing room when you need to navigate challenging times).

In essence, this is a working capital loan or merchant cash advance. Again, I only recommend this type of financing if you have no other option.

You might also like: This is the Truth About LenCred’s Small Business Financing

Frequently Asked Questions

Does Fora Financial do credit checks?

Fora Financial conducts a soft credit inquiry when you apply for financing. This inquiry does not impact your credit score. However, they do not perform hard credit checks, so your credit score remains unaffected during the initial application process.

Is Fora Financial a direct lender?

Yes, Fora Financial is a direct lender. This means that they provide funding directly to borrowers without involving intermediaries or brokers. Working with a direct lender like Fora Financial can often streamline the loan process and offer more personalized service.

How do I get approved for financing with Fora Financial?

To get approved for financing with Fora Financial, you can start by filling out an online application on their website. Your personal credit score must be at least 500. The application process is straightforward and typically requires basic information about your business, such as revenue history and desired loan amount. Approval is based on various factors including your business’s financial health and creditworthiness.

Does Fora Financial report to credit bureaus?

No, Fora Financial does not report your payment history to major credit bureaus. This means that your loan with Fora Financial will not impact your business or consumer credit profile (unless you default on your loan).

Conclusion

As far as alternative lenders go, Fora is one of the good ones. While their rates are way too high for me to recommend the offer (I never recommend this type of loan unless the situation is so urgent and dire that there is no other choice).

This may seem like a natural benefit if you’re not versed in alternative loans, but the fact that Fora doesn’t have a prepayment penalty is fantastic – many online lenders will penalize you if you pay off your loan before the repayment date.

*Which is why it’s so important to read the terms and conditions.

Ready to learn how to obtain up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!

Is BHG Financial Legit? Personal & Business Loans, VC, & More

By Joe

While not a new company, BHG Financial started becoming wildly more popular than ever in 2022. Since then, they’ve been garnering attention with rumors that owners can get pre-revenue ($0 income) business loans with no personal guarantee. While applicant’s can expect a ton of phone calls from the moment they share their contact info with the company, this is true for most modern lenders.

Most of all, people want to know if BHG Financial is legit. Keep reading to get the answer.

Here’s what’s in store:

What is BHG Financial?
- Is BHG Financial Legit?
What Does BHG Financial Do?
Frequently Asked Questions
Conclusion: Is BHG a Legitimate Company?

Now, let’s get down to it!

What is BHG Financial?

BHG Financial is a financial company that offers various solutions for small and medium-sized businesses (SMBs) as well as consumers across the U.S.

Their approach involves using data analytics and technology to market and underwrite small business and unsecured consumer loans. They claim to be a disruptor in the industry, with a focus on providing innovative financial solutions. BHG operates with a proprietary online auction platform to sell loans to a large network of bank members.

Is BHG Financial Legit?

According to the company website, BHG Financial started back in 2001 with a modest $25K and a small team. Fast forward to today, they’ve grown significantly. The numbers they highlight include over $15 billion in loan solutions, processing around 31,000 applicants each month, with 1,450 bank members and a team of 1,500 employees.

According to Crunchbase, BHG Financial (aka “BHG Financial LLC”) is a Ft. Lauderdale, Florida-based, for-profit company. 🚩However, according to Sunbiz.org (Florida’s Division of Corporations website), no such-named business is registered in the state.

However, Banker’s Healthcare Group LLC. (per bngfinancial.com Terms & Conditions) is active and registered to Albert (Al) Crawford in Davie, Florida. Crawford is the current Co-Founder, Chairman, and CEO at BHG Financial where he’s been since the company’s humble beginnings.

Bankers Healthcare Group is known to directly lend funds and offer financing, credit cards, and patient financing tailored for healthcare professionals for the past 20+ years.

🚩 In digging deeper, I found that, as of November 2023, Bankers Healthcare Group is facing a proposed class action lawsuit that alleges they disguise consumer loans as business loans to cover up unlawful lending practices. If you follow along, you might be able to find out if this allegation has legs – it will be interesting to find out.

Despite 522 complaints in the past 3 years (175 closed in the past 12 months), BHG Financial maintains an A+ rating with the Better Business Bureau (BBB), where they’ve been accredited since 2018.

Now, if the class action previously mentioned happens to stick, this rating might go down.

As reported by at least Redditor, as a lender, BHG reps might try high-pressure tactics to get someone to take a loan offer, but they’re legit and their financial products are negotiable.

In all, the company has been around for over 20 years with its original leadership (they haven’t sold out), and they have no founded legal issues that indicate they’re going to take your money and run.

You might also like: Torro Business Funding Review: Is This “Zero Hassle” Offer Legit?

What Does BHG Financial Do?

BHG Financial is a parent company with several brands under their umbrella, including BHG Money and several other financial offerings. Let’s take a quick look at each of BHG’s brands and how they serve consumers and businesses. As they put it themselves, they “bring a diverse set of innovation solutions to the market.

And, two of their brands offer financing for small business, so I’ll touch on them first.

1. BHG Money Loans

BHG Money positions itself as a versatile financial solution, offering swift and hassle-free services for individuals and professionals. Whether you’re in need of business, personal, startup, or SBA 7(a) loans, or exploring credit card options, BHG Money caters to a diverse range of needs.

BHG Money’s business loans include:

Up to $500K with flexible terms up to 12 years
Debt consolidation loans
Existing business investment loans
New business opportunity loans
Medical practice loans (naturally)
Working capital loans

What’s cool is that these loans can be approved in as little as 24 hours, and they don’t require personal collateral, a business loan, or pro forma to qualify.

This offering is particularly well-suited for individuals and professionals seeking efficient and convenient financing with a focus on prompt access to funds for various purposes.

2. Fund-Ex Solutions Group Loans

As one of the 14 non-bank SBA 7(a) lenders, Fund-Ex Solutions Group provides rapid and flexible financing for small businesses.

Fund-Ex Solutions Group caters to businesses with several loan options:

Up to $5M with repayment terms up to 25 years
Commercial debt consolidation
Real estate
Start up or acquisition
Equipment purchase
Renovation or expansion
New location

Like BHG Money, Fund-Ex Solutions doesn’t require personal collateral, and these loans won’t impact your personal credit. You can use their loans for a variety of business purposes and there are no balloon payments at the end of the loan.

This offering could be advantageous for small business owners aiming to access efficient and tailored financing solutions, supporting their growth and development endeavors.

3. BHG Bank Network

Tailored for financial institutions, BHG Bank Network provides a cutting-edge loan delivery platform. This platform not only allows banks to view but also to purchase top-performing assets.

Ideal for banks looking to bolster their loan portfolio, BHG Bank Network leverages state-of-the-art technology to streamline the acquisition process of high-performing assets. This can enhance overall operational efficiency.

4. NaluPay

NaluPay distinguishes itself as a merchant-centric point-of-sale financing platform. Designed specifically for healthcare, home improvement, and retail businesses, NaluPay strives to make customer purchases more affordable.

This offering is beneficial for businesses (in these sectors) that want to offer flexible financing solutions, to foster increased sales, and enhance customer satisfaction through accessible payment options.

5. Risk Management Solutions Group

The Risk Management Solutions Group concentrates on delivering regulatory, compliance, and risk management services. Targeted at financial institutions, this offering is designed to assist these entities in staying ahead of industry changes.

It might be great for institutions navigating the complex landscape of regulations and effectively mitigating risks to ensure compliance and operational stability.

6. BHG Connect

BHG Connect introduces a co-branded end-to-end lending program, simplifying the process for companies to seamlessly offer loans online.

This program is an excellent fit for businesses looking to integrate lending options into their services effortlessly, providing customers with convenient online access to loans and enhancing the overall customer experience.

7. BHG VC

Operating as a Corporate Venture Capital fund, BHG VC supports disruptive fintech founders and contributes strategic resources. BHG VC aims to facilitate rapid growth in the financial technology sector by providing comprehensive support to promising startups.

BHG VC might be suited for fintech entrepreneurs seeking both financial backing and strategic guidance for their innovative ventures.

You might also like: Y Combinator: Fast Track to Success or Waste of Time?

Frequently Asked Questions

What credit score do you need for BHG?

BHG typically requires a credit score in the good to excellent range, often around 680 or higher. However, specific credit score requirements may vary depending on the type of loan and individual circumstances.

What type of loan is BHG?

BHG offers a range of loans, including business loans, personal loans, startup loans, and SBA 7(a) loans. The diversity of loan options caters to both professionals and businesses with varying financial needs.

Does BHG require collateral?

For many of its loan products, BHG is known to provide unsecured loans, meaning they generally do not require collateral. This can be beneficial for borrowers who prefer not to pledge specific assets.

What is the BHG business loan rate?

BHG’s business loan rates can vary based on factors such as the type of loan, the borrower’s creditworthiness, and prevailing market conditions. I’ve seen them range from 10% to 16%+. Contact BHG directly or visit one of their websites for the most accurate and up-to-date information on loan rates.

Do BHG loans affect credit?

Yes, like any other loan, BHG loans can impact your credit. When you apply for a loan, BHG typically performs a hard inquiry on your credit report, which may have a temporary impact on your credit score. Timely repayments can positively influence your credit history, while late payments or defaults may have a negative effect. And, most of their business loans are likely to carry a personal guarantee (you’re responsible to pay it back if your business defaults).

Conclusion: Is BHG a Legitimate Company?

Yep! BHG is a bona-fide financial technology company that offers not only consumer and business loans, but risk management, point of sale (POS) solutions, venture capital for startups, and more.

There is an open class action proposal (as of January 2024), but the allegations haven’t been proven. And, according to the language, the claims against the company are likely to affect consumer loans, but not business loans.

In all, if you’re looking at taking a loan with BHG, just be ready to negotiate ideal terms and ask for interest rates that you can comfortably work with.

Do you want to learn how to get up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!

3 Best Business Credit Cards for a New LLC +More Resources

By Joe

So, you’ve started a new LLC, and you’re interested in getting business credit cards. But, since your business is new, you haven’t established business credit yet. So, what are the most promising cards for you to apply for?

Here, I’ll tell you what cards you might qualify for (along with their requirements), and explain exactly what I would do in your position. As a new business, you don’t automatically have business credit, so you may want to establish it now.

Here’s what’s in store:

What Are Business Credit Cards?
- Can a Newly-Formed LLC Get a Credit Card?
Best Business Credit Cards for New LLCs
Corporate Cards to Consider
- 1. Bill Spend & Expense (Formerly Divvy)
- 2. PEX Expense
Best Loans for New Businesses
- 1. Credibly
- 2. LenCred
Frequently Asked Questions
Final Thoughts

Now, let’s roll!

What Are Business Credit Cards?

Before we look at the cards you might qualify for, let’s make sure you’re clear on what you want. More often than not, business owners get other spending cards confused with business credit.

Business credit cards are revolving lines of credit that can be used for business spending. Only a percentage of the total amount spent is required to be paid each billing cycle. Business credit cards accrue debt on any balance left unpaid.

Meanwhile, corporate cards are either prepaid or must be paid in full at the end of each billing cycle. Corporate cards typically supplement robust business expense management software and tools.

So, if you need funding, look at the credit cards below. And, If you need expense management, consider the recommended corporate cards.

Can a Newly-Formed LLC Get a Credit Card?

So, how soon can you apply for a business credit card and do brand new LLCs get business credit?

Getting a business credit card for a brand new LLC depends on factors like the business’s creditworthiness and the personal credit history of the owners. Typically, credit card issuers have a waiting period before a new business can apply, often a few months to a year (but this isn’t always the case).

As a new LLC, it’s important to establish a clear separation between business and personal finances by:

Obtaining an EIN
Opening a business bank account
Maintaining distinct records

The likelihood of approval is higher if the owners have a good personal credit score. As the business operates and builds a positive credit history, it becomes easier to qualify for business credit cards. Check with specific credit card issuers for their policies and requirements.

You might also like: Here’s How to [Actually] Get Business Credit With Just an EIN +More Options

Best Business Credit Cards for New LLCs

Here, I’ll lay out my favorite business credit cards for new LLCs. You’ll see a summary of each offer (why I like it) and how long your business must be in operation before you apply.

If you can’t get a business credit card yet, and you’re in need of immediate funding, scroll down to the loans section. Or, join Business Credit Workshop to learn how to get up to $100K in business credit in as few as 30 days.

1. Chase Ink Business Preferred

credit cards for new businesses with no credit history

The Chase Ink Business Preferred card stands out as one of the top small business credit cards, thanks in part to its impressive sign-up bonus. Although it doesn’t offer a 0% APR and comes with an annual fee, there’s significant potential for savings and rewards. If you believe your business meets the qualifications, I recommend this one.

To qualify for the Chase Ink Business Preferred credit card, you don’t need a specific annual income or business history, but your revenue should cover the minimum monthly payment.

Other requirements include:

A FICO score of 670 or higher
A minimum credit limit of $5,000

Chase evaluates your application using your personal credit score, with a recommended FICO score of 670 or higher. Keep in mind that while a good credit score is important, it doesn’t guarantee approval or denial. Whether you’re an incorporated business (LLC, corporation, partnership, non-profit, etc.) or a sole proprietor, you’re eligible to apply for the Chase Ink Business Preferred credit card.

2. Bank of America Executive Explorer

Startup business credit cards for new llc

Next, consider looking into the Bank of America Executive Explorer card. Despite its $375 annual fee, the card’s perks more than justify the cost. For instance, you receive a $600 Lounge Access credit annually and a $100 Airport Fast Track credit every four years. Moreover, you gain access to the Benefits on Us and Dinova Rewards programs.

While a new LLC could be approved, it’s important to note that this isn’t a revolving credit line; rather, it functions as a “corporate credit card” that must be paid in full. To qualify, you must be an executive or owner of your company, and while there’s no minimum business history requirement, having an excellent credit score is crucial.

Owners with FICO scores of 740 or higher stand the best chance of getting approved for Bank of America business credit cards.

3. Marriott Bonvoy Business

I believe Marriott boasts one of the top hotel rewards card programs. The appealing part is that while you travel for work, the Marriott Bonvoy Business credit card helps you build business credit. If you meet the criteria, applying for and using this card is a smart move.

Keep in mind that the Marriott Bonvoy Business Credit Card is exclusive to business owners and authorized representatives with a credit score of 700 or higher.

Approval considerations also include factors like:

Annual income
Existing debts

Start earning travel rewards on your next hotel stay by applying now.

Corporate Cards to Consider

If you’re looking for a spend card mainly to help with expense management, and you’ve got some revenue to back your account, a corporate card might be a better choice at this point – especially if your LLC is brand new, and your credit hasn’t been established.

Now, my favorite thing about modern corporate cards is that many of them offer cash back on spending (some more than others). So, with these cards, you have a chance to earn on transactions that you or your employees make. Cool, right?

Here are the two cards I would recommend…I’ll explain why.

1. Bill Spend & Expense (Formerly Divvy)

business credit cards for new llc without personal guarantee

Bill Spend & Expense, formerly known as Divvy, comes with its own set of advantages and disadvantages. If you’re considering whether to take advantage of this offer, reflect on the following questions:

Is your monthly business spending more than $5K?
Does your business have multiple staff members with spending privileges?
Can you pay your expenses in full each month?

If you answered “yes” to these questions, the Bill Spend & Expense card could be an excellent fit for you. Now, to meet eligibility requirements, a business owner must have a minimum personal credit score of 580, and having a score of 640 or higher increases the chances of approval. Additionally, a higher annual revenue enhances the likelihood of approval.

I personally highly recommend checking it out, specifically for the tiered cashback rewards. Sign up on the Bill.com website to find out the credit line you may qualify for.

2. PEX Expense

PEX is another solid corporate card with some cool features, making it a good pick for businesses and nonprofits looking to manage expenses smoothly. It’s got prepaid and dynamic credit cards, throws in 1% cash back, and has a handy app that fits different industry needs.

The user experience is made even better with seamless integrations, virtual/physical cards, and customizable controls, backed by PEX’s positive company vibe.

While PEX is a great choice, if you’re running a startup or an e-commerce gig, you might want to check out alternatives like Brex, Bill Expense, or Shopify Credit that could be more spot-on for your needs. Always a good move to weigh your priorities and compare a few options when it comes to any financial stuff.

Oh, and PEX cards are designed for businesses and organizations, and the cool part is you can get them without worrying about minimum funding requirements—they can even be issued inactive. Nice, right?

Best Loans for New Businesses

Now, if you’re looking for the funding aspect of a credit card, but you haven’t established business credit, you still have options. While your repayment terms aren’t ideal on most of the options available to you right now, you can use one of these offers in a pinch.

Note: I don’t typically recommend factoring-type financing or loan brokers. The problem is that the rates are typically very high. Still, I know that sometimes you gotta do what you gotta do to pay for emergencies to seize an opportunity to grow your business. I have thoroughly reviewed the following loans, and I’ll tell you the truth about them.

Recommended: How to Get an SBA Business Loan

1. Credibly

Business credit cards for new llc ein only

Credibly’s rates, covering everything from interest and factor rates to origination fees and admin fees for merchant cash advances, lean towards the higher side. If your business is on the newer side, your credit isn’t stellar, and you’re pulling in at least $15,000 per month, Credibly might be a viable option for securing the funding needed to keep your business going or expand.

It’s a relatively young company, but it’s legit, with enough satisfied customers indicating it’s doing something right. However, I won’t strongly recommend their loans unless your business is in a tight spot, and if it is, be cautious about the personal guaranty—it can be risky.

Before committing to Credibly or any other company, it’s a good idea to shop around for quotes. You might be able to find comparable loans with better rates, especially if your business is more established or you have a solid credit score.

2. LenCred

business credit cards for new llc with bad credit

If you’re in need of working capital or startup funds, and you’ve got solid credit but aren’t in a position for traditional funding options, LenCred could be the solution you’re looking for – It’s especially handy if you’re not keen on unconventional routes like crowdfunding and are okay with dealing with a 9% origination fee.

LenCred’s financing services might just be the boost you need.

However, if you’re aiming to build up your business credit and prefer securing funding without hefty origination fees, LenCred might not be the best fit. Since they don’t use your business credit profile in the funding process, their lenders are unlikely to report to the business credit bureaus. So, it’s a trade-off to consider.

Frequently Asked Questions

What is the fastest way to get business credit for an LLC?

You first need to make sure the owner’s personal credit is in check and the business is properly established for “credit readiness.” Then, open a bank account and establish relationships at the bank. After that, make sure the business has a DUNS number, establish your first tradelines of credit, and pay your accounts at the right time. Finally, you just need to monitor your business credit before you apply for a new loan or line of credit.

Download our free Business Credit Checklist to start building business credit.

Can a single-member LLC build credit?

Yes, a single-member LLC can build business credit with an EIN and a DUNS number.

Can you get a business credit card with no revenue?

The short answer is no. However, there are exceptions, for example, you may be able to get a business credit card with a personal guarantee if your income meets underwriting requirements.

Do LLCs start out with good credit?

When LLCs are initially registered, they have no business credit. In this case, credit decisions may be based on the owner’s personal credit. Businesses can build credit by establishing their business properly, setting up accounts with the right tradelines, and paying accounts on-time as agreed.

What happens if an LLC defaults on a credit card?

If an LLC defaults on a credit card, the creditor can go after business assets, send debts to collections, and sue to liquidate the company. If the credit card has a personal guarantee, the creditor may hold the business owner personally liable to repay the debt.

Final Thoughts

Now that you’ve explored the best business credit cards for your new LLC, consider all options like the Chase Ink Business Preferred and PEX Expense to find what suits your business needs. Distinguish between business credit and corporate cards, with corporate options like Bill Spend & Expense offering a smooth ride for your expense management.

For loans, check out Credibly and LenCred, weighing perks and alternatives.

Are you ready to learn how to get up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!

The PEX Card: Is it the Best Corporate Card for Your Business?

By Joe

The PEX Card is one of the most popular non-big-bank corporate cards on the market today. While the offer is legit, it’s not your only option. Before you sign up for any financial service, you should know exactly what you’re getting into.

Here, I’ll break down the PEX offer in full (the good, the bad, and the ugly), and I’ll point you out to other options that may or may not be a better fit for your operations.

This is what’s in store:

What is a PEX Card Used For?
PEX Card Features & Benefits
Frequently Asked Questions
Conclusion: Is PEX a Good Idea?

So, let’s break it down!

What is a PEX Card Used For?

PEX is a corporate expense management platform that offers a range of financial tools, including corporate charge cards (PEX Cards) with dynamic credit lines and 1% cash back – These cards are designed to help you manage:

Employee spending
Payments to vendors
Fund distribution for various programs

PEX Cards provide businesses and nonprofits with a high degree of control and flexibility, which enables easy administration through automated reporting, mobile receipt capture, and real-time tracking. The platform includes features such as prepaid expense cards, virtual vendor cards for bill payments, and grants disbursement cards.

While they’re powered by Visa,® PEX “Expense” cards are not credit cards, they are prepaid, corporate cards. The platform also offers PEX “Credit” cards with dynamic limits based on the cash flow in and out of your connected business bank account, which I’ll explain more below.

For a better understanding of the difference between the two types of spending, explore an in-depth comparison between credit cards and corporate cards.

The PEX card also offers rewards and incentives cards for employee recognition. The PEX API allows you to customize and integrate solutions, generating cards and spending rules on the fly.

As a brand, PEX Cards cater to a variety of industries and organizations, providing a comprehensive and adaptive financial management solution to streamline processes, eliminate paperwork, and simplify expense reports.

Where Can You Use a PEX Card?

The PEX platform emphasizes the convenience and flexibility of its cards for various use cases, such as:

Travel
Bill payments
Other on-the-go expenses

The PEX Visa® Commercial Cards are designed to be accepted internationally (wherever Visa cards are recognized). So, you can use a PEX card at a wide range of merchants, both online and offline, that accept Visa® payments globally.

Worldwide acceptance makes these cards suitable for businesses and organizations with international operations or employees who need to make purchases or payments abroad.

It’s important to check with individual suppliers or service providers during international transactions to ensure that they accept Visa cards, as specific acceptance may vary at the discretion of the merchant.

How Much Does a PEX Account Cost?

For PEX card accounts, the monthly subscription fees vary based on the account type.

Credit accounts have a $0 monthly subscription fee, while prepaid accounts have different fees:

$0 for accounts with monthly spending over $50,000
$75 for up to 20 card accounts
$200 for up to 100 card accounts.

Additional card accounts for prepaid accounts incur extra charges, ranging from $2 to $8 per month, depending on the account type and the number of additional cards.

Virtual Vendor Cards have no additional fee, and custom cards are available for an extra charge regardless of the account type.

PEX Company Overview

According to Crunchbase, Toffer Grant founded the New York-based financial services company, Prepaid Expense Card Solutions, Inc. (PEX), in 2007. The company does business as At the time the company was established, Grant – who is the current CEO of PEX – had been working in the prepaid card industry for 7 years, and had previous experience in entertainment and advertising.

The company was successful enough to inspire Emburse to compete when they launched their corporate card offer in 2014; both expense management platforms and cards are still going strong today.

PEX is a private, for-profit corporation (still owned and operated by Grant) that has received at least $4.9M in funding from at least four investors including New York Angels and Inovia Capital.

According to Glassdoor and based on 27 reviews, almost everyone who works for PEX approves of the CEO, and most of them would recommend this company to a friend – the way staff feels about a company is super telling of its general ethics, and 100% CEO approval is impressive.

PEX is also accredited by the Better Business Bureau (BBB) with an A+ rating. The BBB lists only one complaint about the company since at least 2011 (also wildly impressive). Combined with the satisfied staff, this tells me they’re an honorable company – I’d give them my trust.

You might also like: Meet the Emburse Card: An Inclusive Cash Back Corporate Card

PEX Card Features & Benefits

Now, explore the functionalities of PEX Cards, the corporate expense management platform offering practical solutions. Whether you’re a small business or a larger enterprise, PEX offers a super flexible solution for streamlined and controlled expense management…Find out how, and exactly what you can expect.

1. Prepaid & “Credit” Card Flexibility

As you know, PEX offers business prepaid expense cards and business “credit” cards.

The PEX Expense cards are paid in advance for business owners who want to manage employee expenses. Meanwhile, the PEX Credit cards are offered with a dynamic spending limit based on business cash flow.

While the Credit card does provide a buy now, pay later (BNPL) offer, it is not a traditional business credit card – PEX does not check your personal or business credit, they do not report your company’s payments to business credit bureaus.

So, you won’t get a business credit boost with Dun & Bradstreet or any other business credit bureau, but PEX will give you the chance to either prepay or pay monthly.

2. 1% Cash Back on All Purchases

While some of PEX’s advertising claims that you can get up to 2% cash back on eligible expenses, the card’s terms and conditions don’t mention this rate – this is actually a promotion that’s happening with the virtual cards and credit cards.

PEX Credit Expense offers a compelling 1% cash back on all eligible purchases, providing businesses with a tangible incentive for using the platform. This cashback feature is applicable to a range of expenses, contributing to overall savings. The offer is designed to benefit businesses of all sizes, which makes it an attractive proposition for those looking to maximize the value of their corporate spending.

You might also like: Have You Heard About the Free Stripe Corporate Card Cashback Benefits?

3. The PEX App

The PEX Card App is available on both GooglePlay and the iOS marketplace – it enhances the user experience by providing a convenient, efficient way to manage expenses on the go.

With real-time monitoring and authorization capabilities, cardholders can effortlessly submit receipts and accounting codes directly through the mobile app. This feature ensures that users have instant access to their financial data, enabling them to stay in control of their expenses anytime, anywhere.

And, the app gets great ratings, with a 4.7 for both Android and Apple devices.

The app’s user-friendly interface simplifies the expense management process, reducing the time and effort spent on reconciliation.

You might also like: In-Depth Divvy (BILL) Credit Card Review: Read This Before You Apply

4. Integrations & API

PEX’s seamless integration with accounting systems streamlines financial operations for businesses. The system integrates with over 60 popular software platforms, including Quickbooks.

By syncing transactions with existing accounting software, the PEX platform automates:

Expense reporting
Allocations
Reconciliations

This integration not only saves time but also enhances accuracy by minimizing manual data entry. The deep reporting options provided by PEX ensure that businesses have comprehensive insights into their financial activities, fostering better decision-making and financial management.

And, if you don’t see your app in the PEX marketplace (for example, there aren’t a lot of payroll systems on the list), you can access the PEX application program interface (API) to make it happen.

5. Virtual & Physical Cards

PEX enables businesses to distribute both physical and virtual cards, offering flexibility in how expenses are managed. Physical cards can be given to staff and management, while virtual cards are ideal for bill payments, travel arrangements, and recurring expenses.

This dual card option caters to diverse spending needs, providing a versatile solution for businesses. The ability to manage both types of cards seamlessly from desktop or mobile devices adds an extra layer of convenience.

You might also like: 6 Best Fintech Credit Cards to Apply for (Consumer & Business)

6. Customizable Rules & Spend Limits

PEX allows businesses to set customizable rules and spending limits for each card or group. This feature provides granular control over how funds are utilized, ensuring that expenses align with organizational policies.

Tailoring approved categories and spending limits allows businesses to adapt the platform to their specific needs, whether for individual employees or departments. PEX’s focus on customization empowers businesses to maintain financial discipline and allocate resources effectively.

You might also like: Should You Open a Citibank Commercial Card Account?… It Depends!

7. Simplified Grants Disbursement for Nonprofits

Moreover, PEX simplifies grant fund distribution with physical and digital Prepaid Visa® Cards. Administrators gain control through customizable rules, easy cardholder management via the mobile app, and bulk uploads for efficient card distribution.

PEX’s transparency allows tracking of spending, major categories, and fund duration, ensuring effective grant program management.

Frequently Asked Questions

When should you not use PEX?

If you’re looking to make personal purchases or handle transactions unrelated to your business or organization’s expenses, PEX may not be the right fit. PEX is designed for managing corporate spending and isn’t meant for personal use.

Can you use a PEX card at an ATM?

No, you can’t use a PEX card at an ATM. PEX cards are specifically designed for making purchases, payments, and managing expenses. If you need cash, it’s best to use other methods like a traditional bank debit card.

What is PEX payment?

PEX payment refers to the financial transactions made using PEX cards. These cards are part of the PEX expense management platform, offering businesses a streamlined way to handle corporate spending, vendor payments, and other financial transactions.

How old do you have to be to use a PEX card?

To use a PEX card, you generally need to be at least 18 years old. PEX cards are designed for businesses and organizations, and they are not typically issued for personal use by individuals who are under 18.

Conclusion: Is PEX a Good Idea?

PEX is an excellent corporate card with robust features, making it ideal for businesses and nonprofits seeking streamlined expense management. The platform’s prepaid and dynamic credit cards, 1% cash back, and versatile app cater to various industry needs.

Seamless integrations, virtual/physical cards, and customizable controls enhance the overall user experience. PEX’s positive company overview adds to its credibility.

While PEX is a great choice, businesses with specific needs, such as startups or e-commerce ventures, might find alternatives like Brex, Bill Expense, or Shopify Credit more tailored to their requirements. It’s always a good idea to evaluate your priorities and compare several options for any financial offer.

Do you want to learn how to obtain up to $100K in business credit in as few as 30 days? Join Business Credit Workshop today!

7 Best Cash Back Corporate Credit Cards to Explore in 2024

By Joe

It wasn’t that long ago that it seemed completely revolutionary to offer corporate cards and expense management solutions for free. Traditionally, setups like this came with hefty annual fees, and the main benefit was expense tracking. With the absurdly quick technology evolution of recent years, the corporate cards entering the market have started to deliver impressive discounts and rewards.

But, what are the best cash back corporate credit cards on the market?

While there are surely some newbies that I don’t know about, I’ve explored most of the major options, selected my favorite, and even listened to my colleagues’ and business credit coaching students’ experience with many corporate card offers. Here, I lay out the corporate cards that I like the most.

This is what’s in store:

What is a Cash Back Corporate Credit Card?
The Best Cash Back Corporate Credit Cards
Frequently Asked Questions
Final Thoughts: Which Corporate Card Should You Choose?

Now, let’s dig in!

What is a Cash Back Corporate Credit Card?

A cash back corporate credit card is a type of spending/expense management card specifically designed for businesses – this kind of card allows companies to earn a percentage of their spending back in the form of cash rebates or rewards.

Corporate cards are not, by definition, credit cards. The key differences are that credit cards carry a revolving balance while corporate cards are paid in full daily, weekly, or monthly.

The cash back on a corporate card typically comes as a percentage of the total purchases made using the card and is usually credited to the account or provided as a check or statement credit. Not all corporate cards offer cash back.

best cash back business credit cards reddit

Cash back corporate cards come with benefits, including:

Cash back rewards
Categories and bonuses
Various redemption options
Expense tracking
Employee cards

As you explore your options, it’s a good idea to carefully review the terms and conditions of any offer, including interest rates, fees, and any limitations on rewards. The benefits of a particular card will depend on your business spending patterns and financial needs.

The Best Cash Back Corporate Credit Cards

Now, let’s explore some of the best cash back corporate cards currently on the market. We’ll look at the qualification requirements, perks and cash back rewards, and the

You might also like: 6 Best Fintech Credit Cards to Apply for (Consumer & Business)

1. Bill Spend & Expense

Best cash back corporate credit cards no annual fee

To qualify for a Bill Spend & Expense card (formerly Divvy), you need at least $20,000 in an active U.S. bank account, a “good” to “very good” credit score, and your business must be based in the United States. Revenue and time in business requirements vary among applicants.

Bill’s cash back rewards are structured into three tiers based on payment frequency.

Weekly rewards include:

7X on restaurants
5X on hotels
2X on recurring software subscriptions
1.5X on everything else

Semi-monthly rewards offer:

4X on restaurants
3X on hotels
1.75X on recurring software subscriptions
1X on everything else

Monthly rewards comprise:

2X on restaurants
2X on hotels
1.5X on recurring software subscriptions
1X on everything else

These points can be redeemed for Divvy travel, gift cards, a statement credit, or cash back – And, exclusive partner discounts further enhance the reward program.

A standout feature of Divvy is its unique credit limit determination; the system analyzes your business’s cash flow and offers a credit limit of approximately 30% of your monthly revenue. Initial lower limits may increase with consistent on-time payments.

2. Stripe Corporate

Best cash back corporate credit cards for startups

To qualify for the Stripe Corporate Card, you must be an existing Stripe Payments user and maintain a high volume of sales processed through the payment gateway. You can request an invitation on the company website if you already use Stripe for business.

The Stripe Corporate Card offers a compelling cashback program. Cardholders pay 0% interest and zero fees, including late fees, annual fees, and foreign transaction fees.

With $5,000 in spending, you can access $50,000 in free transactions on the platform. Additionally, cardholders earn 2% cash back on spending in their top two categories, automatically credited to their monthly bill.

The Stripe Corporate Card runs on an invitation-only model. YOu can upload your logo to create a branded credit card within minutes. The card is available in both virtual and physical forms, with virtual cards accessible instantly and physical cards arriving within a few days.

Moreover, Stripe Issuing enables users to originate their own credit cards to offer to customers, providing a unique customization option.

3. Brex

To qualify for the Brex Card, you must have a US-based business with an Employer Identification Number (EIN), a business bank account, and verify your identity through government-issued ID photos. While the specific financial criteria are not explicitly stated, anecdotal evidence suggests maintaining $50,000 to $100,000 in the bank at all times may increase your odds of qualifying.

The Brex Card offers an impressive cash back rewards program, making it a lucrative choice for tech, life sciences, and eCommerce businesses. Cardholders can earn up to 30,000 introductory bonus points by linking their Brex credit card account to Brex Cash and spending $3,000 in the first three months.

The rewards structure includes:

8X points on rideshare apps
5X points with Brex travel partners
4X on dining at restaurants
3X on recurring software subscriptions (Brex Cash)
1X on all other expenses

The Brex Card requires no personal guarantee and no annual fees, interest, or other costs. This is particularly advantageous for businesses in tech, life sciences, and eCommerce, as it allows them to access credit without relying on personal credit scores.

Additionally, the built-in, real-time expense tracking tools streamline financial management, and the card provides exclusive partner perks with companies like AWS, Slack, and Google Ads, potentially offering up to $150,000 in savings.

4. Ramp

Ramp Corporate Credit Card eligibility is not explicitly detailed, but the application process involves no credit checks or founder guarantees. While transparency is limited, factors such as the number of employees, average monthly card spending, and maintaining over $250,000 in the business account seem to influence underwriting decisions.

Ramp offers a compelling rewards program, featuring unlimited staff cards with customizable spending limits. The card stands out by providing 1.5% cash back on all spending, without imposing foreign transaction fees, late fees, interest fees, annual fees, or costs per card.

This straightforward cash back structure allows businesses to earn rewards across various spending categories, making it a versatile choice.

Businesses can issue unlimited staff cards, each with individual spending limits. The card’s algorithm actively identifies potential savings opportunities, such as duplicate subscriptions or lower pricing plans with software vendors.

Plus, Ramp distinguishes itself by offering $175,000 in partner rewards (competitive with Brex). Cardholders can leverage exclusive offers from Ramp’s partners, potentially saving substantial amounts on services and subscriptions.

5. Expensify

While specific qualification criteria for the Expensify Card are not advertised, you’ll definitely need an active Expensify account to access the card. Users interested in obtaining the card should initiate the request within the Expensify platform. The application process typically involves navigating through account settings or the designated card management section.

The Expensify Card offers a straightforward cash back rewards structure, providing users with the opportunity to earn up to 2% cash back on their purchases.

This rewards system comprises two components:

1% cash back on every swipe
Additional 1% cash back for monthly spending above $250,000

This cash back feature allows businesses to accumulate tangible benefits as they manage and optimize their expenses, providing financial incentives for their spending activities.

One notable feature of the Expensify Card is its seamless integration with the Expensify app, which enables real-time transaction syncing. This integration ensures that transactions made with the Expensify Card are immediately and reliably imported into the Expensify app.

6. Shopify Credit

unlimited 2% cash back business credit card

Shopify Credit offers a straightforward application process with eligibility based on eCommerce performance rather than credit scores. Only sellers on the Shopify platform can use this card.

And, to qualify, merchants typically need:

A Shopify Payments account with a single owner
A bank account connected to the Shopify Payments account
A valid United States Social Security number
A business located in the United States or Puerto Rico

Shopify may extend offers to eligible merchants, and decisions are often made within minutes.

Shopify Credit provides cashback rewards as a notable feature of its offering. Users can earn rewards customized to their business spending in three approved categories:

3% cash back on top spending category
1% cash back on other two categories

It’s important to note that to qualify for cashback rewards, users must use the Shopify Credit card for spending with Shopify’s partners in the specified categories, including marketing and advertising, shipping and fulfillment, and wholesale.

Shopify Credit has a fee-free structure, which ensures that merchants can manage their business finances without incurring additional charges (as long as they keep paying responsibly). The card comes with no annual fees, no foreign transaction fees, and no setup fees. This transparent fee structure aligns with Shopify Credit’s focus on simplicity and aims to keep more money in the business.

7. Emburse Spend

Can you get cashback on a business card?

Emburse Spend offers a versatile spend management solution suitable for businesses of different sizes. To leverage Emburse Spend, businesses need to use the accounting platform or some aspect of it. The platform is priced according to company size and features enabled. You’ll need to reach out to Emburse for a quote.

Emburse Spend offers a flat, 1% cashback on eligible purchases. This straightforward cashback structure provides businesses with a consistent reward on their spending.

A standout feature of Emburse Spend is its automated reconciliation process. By capturing expense details at the point of transaction for immediate reconciliation, businesses can streamline their accounting processes – This not only reduces the burden on accounting teams and employees but also ensures expense management accuracy and efficiency.

Frequently Asked Questions

Does a corporate card hurt your credit score?

In most cases, corporate cards are not reported to personal credit bureaus, so your personal credit score is not directly impacted by corporate card usage or payment behavior. But, some corporate cards may require a personal guarantee, which would mean the business owner is personally liable and late payments would be reported.

Do corporate cards get cash back?

Corporate cards may offer rewards, but cash back is rare. Rewards on traditional corporate cards often come in the form of travel perks, expense management tools, or points for business-related expenses. But, cards like those listed here are diamonds in the rough,

Are cash back cards worth it?

The worth of a cash back card depends on your spending habits and preferences. If you frequently make business-related purchases, a cash back card can provide tangible benefits, putting money back into your business with each transaction.

What are the disadvantages of cash back credit cards?

Disadvantages of cash back credit cards may include high-interest rates if balances are not paid in full, potential annual fees, and limitations on cash back categories. It’s crucial to weigh the benefits against the associated costs and understand the difference between business credit and corporate cards.

What is the best cash back card for business?

Determining the best cash back card for business depends on individual preferences, spending patterns, and industry. For example, I would recommend different credit cards for truckers vs landlords. And, my favorite general corporate cash back card is the Bill Spend & Expense card.

Can I get a credit card with an EIN?

Yes, you can apply for a business credit card using your Employer Identification Number (EIN). Business credit cards help separate personal and business expenses, and the application process typically considers the business’s creditworthiness rather than personal credit history. It’s rare, but you can get credit cards with just an EIN.

Final Thoughts: Which Corporate Card Should You Choose?

If you’re selling with Shopify or Stripe, look into their branded cards. If you already use Emburse (or you’re in the market for new accounting software, you may want to check out Emburse Spend (though all of these corporate cards come with varying expense management features) . If your revenue is high or you’re looking for savings on tech spend, look into Brex.

I don’t like to play favorites, but my favorite cashback corporate credit card overall is Bill Spend & Expense. The bottom line, though, is that the best card for you is going to depend on what you can qualify for, how you spend, and what features you need and want – I like all of these cards for different business scenarios.

Are you ready to learn how to obtain up to $100K in business credit in as 30 days? Join Business Credit Workshop today!

Amazon Business Prime Credit Card: Full Review +How to Get One

By Joe

The Amazon Business Prime Credit Card has been around for awhile now, and it’s convenient for business spending with Amazon, AWS, and Whole Foods. But, that isn’t the only reason why you would want one. Here, I’ll lay out the card benefits in full and explain how to get a business credit offer from Amazon and Amex.

For those who already have the card, I’ll explain how to get the most rewards with your spending and answer some common questions.

Here’s what’s in store:

What is the Amazon Prime Business Credit Card?
- Amazon Company Overview
Amazon Business Prime Credit Card Summary
Frequently Asked Questions
Wrapping Up

Let’s roll!

What is the Amazon Prime Business Credit Card?

The Amazon Business Prime Card is like a VIP pass for your business expenses. With no annual fee, you can snag a $125 Amazon.com Gift Card just for getting approved—nice, right?

The more you spend at Amazon Business, AWS, Amazon.com, and Whole Foods Market, the more you earn back, like 5% back or 90-day terms on eligible purchases with a Prime membership – Dining out, filling up at gas stations, and handling phone bills also get you some sweet 2% back. Everything else? You still get a cool 1% back.

Plus, the perks include:

No foreign transaction fees
Expense management tools
Baggage insurance for your travels

It’s like your business’s new best friend with benefits!

You might also like: Amazon Corporate Credit Line – The Ultimate Guide

Amazon Company Overview

If you haven’t heard of Amazon, it would surprise me. Still, for the sake of staying true to my comprehensive nature, here’s a quick rundown.

Amazon is the big dog of online everything…It started as a humble online bookstore in ’94, and look at it now—like the Godzilla of e-commerce. From A to Z, they’ve got it all, and I mean everything: Books, gadgets, groceries, cloud computing, streaming, you name it.

The founder, Jeff Bezos, turned a garage project into a tech empire over the course of the past 30 years. Fast shipping? Hello, Prime! They even got drones in the game. With fingers in so many pies, it’s hard to imagine a world without that iconic smiling arrow.

Amazon is a seattle-based company that now has a ton of subsidiaries including Xoox (future driverless, electric taxis), Whole Foods, Twitch, and IMDB.

The current CEO, Andy Jassy, had been with the company since 1997, founded AWS in 2006, and took over Amazon Inc. when Bezos stepped down in 2021.

At this point, there aren’t many industries Amazon doesn’t have their hand in. Still, their business credit card is serviced by Warren Buffet’s American Express (a Berkshire Hathaway company). The card doesn’t currently offer cashback on purchases with most subsidiaries, but they’re in an interesting position that would make this possible – I wonder if that’s something we could see in the future.

Amazon Business Prime Credit Card Summary

Looking to level up your business game? Enter the Amazon Business Prime Credit Card—a great tool for savvy business spenders. From a $125 welcome gift card to cash back rewards on your favorite business expenses, this card is a VIP pass to Amazon-related savings.

Let’s dive into the details!

How Does the Amazon Business Card Work?

So, how does this card work its magic? It’s all about the cashback game…Let’s review.

You earn 5% back or get extended 90-day terms on U.S. purchases (your choice) at:

Amazon Business
AWS
Amazon.com
Whole Foods Market

The 5% cashback offer is good for up to $120K in spending per year.

Dining out, fueling up, or sorting out your wireless bills? Enjoy 2% back—every other purchase scores you a solid 1% back. The more you spend, the more you earn. Simple as that.

Amazon Business Prime Credit Card review Reddit

Then, as an Amex cardholder, you can take advantages of even more benefits:

Gain deeper insights into your purchases for smarter decisions.
Simplify expense reconciliation with itemized, downloadable purchase details.
Earn rewards with no expiration, giving you flexibility in usage.
Redeem points on Amazon.com and Amazon Business (U.S.) or apply them to your balance.
Travel the world without worrying about foreign transaction fees.
Enjoy global card acceptance with American Express.

Plus, this card comes with no annual fee (they make up for this with your prime membership fee). If you play the game well, you can end up saving quite a bit.

Moreover, you can leverage extra protection on purchases made with the card:

Get an extended warranty on items you purchase with the card, up to one extra year.
Purchase protection guards your purchases for up to 90 days against theft or accidental damage.
Receive support with dispute resolution for any fraudulent or incorrect charges on your statement.

Hopefully, you won’t ever have to use them, but these perks will make life easier if you do.

You might also like: Marriott Bonvoy Business Credit Card Review & Comparison

Can Anyone Get an Amazon Business Prime Card?

The Amazon Business Prime Card is up for grabs for any business, but there are a couple things to note:

The basic requirements are that you are at least 18 years of age, own at least half of your business, and have a Prime or Business Prime account.
While there’s no minimum credit score posted on the door, a solid creditworthiness vibe is key – people I’ve known to be approved for this card had a score of 700 or above.
You may need an EIN set up with the IRS, a business bank account, and a business address.

Note: If you downgrade your Amazon Prime account, Amex may downgrade your cashback rewards structure, but this doesn’t seem to happen to everyone.

People often wonder about the APR, and here’s the lowdown: Your annual percentage rate will dance in the 19.49% – 27.49% variable rate range.

How to Get an Amazon Prime Business Credit Card

Pre-approval requirements for the Amazon Prime Business card are not crystal clear, but a decent credit score waltz will get you far. Keep those expenses in check, and you might just find this card in your wallet.

If you sign up for an Amazon account with a professional email account (name@yourbusinessname.com), Amazon will invite you to sign up as a business. From here, they run periodic checks and might send you an offer to apply.

To apply today without pre approval, you can do so on the Amex website. Apply, and you could get a decision in as fast as 30 seconds—once approved, enjoy the perks, the cashback, and that shiny new card in your hands.

💡 Business Credit Bonus Tip: Leverage In-App Amex Offers for More Savings

Keep an eye on Amex Offers through the American Express® App. These are personalized deals and discounts that Amex cardholders receive based on their spending habits. When you regularly check and activate these offers, you can enjoy extra savings on purchases from various merchants.

Frequently Asked Questions

Is the Amazon business credit card only for Prime members?

Yes, the Amazon Business Credit Card is available to Amazon Prime and Amazon Business Prime members. Hence, their ability to offer an Amex card with no annual fee.

How am I eligible for Amazon business?

Eligibility for Amazon Business typically involves having a business entity. You can sign up on the Amazon Business website using a professional email address (name@yourbusinessname.com).

Do you need a credit card to open an Amazon Business account?

No, having an Amazon Business account doesn’t require you to obtain an Amazon credit card or any other credit card. You can pay with a debit card. Amazon even accepts EBT cards for some food purchases in select locations. However, a credit card can be beneficial for making purchases and accessing card-specific benefits.

What's the credit limit on the Amazon credit card?

Credit limits are determined based on individual creditworthiness and financial factors. The assigned limit will be provided upon approval. Amex tends to extend credit limits in the tens of thousands range with responsible use, but they’re also known to decrease limits, without warning, at the first sign of irresponsible credit usage.

Is there an annual fee for the Amazon business card?

No, there is no annual fee for Amazon’s business credit card. However, you will need to pay $179+ annually for a Business Prime account to qualify.

Is Amazon business credit card a hard pull?

Yes, applying for the Amazon Business Credit Card will result in a hard pull on your credit report. It’s advisable to be mindful of your credit inquiries.

Wrapping Up

In a nutshell, the Amazon Business Prime Credit Card can be your business’s VIP pass, offering rewards and perks that go beyond convenience. From cashback on Amazon, AWS, and Whole Foods spending to added benefits like no foreign transaction fees and enhanced purchase protections, it’s not just a card—it’s a business ally.

Amazon’s evolution from an online bookstore to an e-commerce giant with global reach is awe-inspiring. As for the card, eligibility is straightforward, rewards are impressive, and the application process is hassle-free.

Whether you’re a seasoned user or contemplating joining the Amazon Business Prime Card club, remember: a good credit score dance can open the door to a world of benefits.

While I really do like this card, I tend to favor small community banks and credit unions (which you already know if you follow this blog). I tend to see businesses get larger lines of credit when they have the right rapport with smaller institutions.

If you’re ready to learn how to obtain up to $100K in business credit in as few as 30 days, join Business Credit Workshop today!

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What is PayPal LoanBuilder?

How Much Does PayPal LoanBuilder Cost?

How Does PayPal LoanBuilder Loan Work?

1. Apply With No Impact to Your Credit

2. “Customizable” Funding

3. Fixed-Fee Loan

4. Fast Access to Funds

5. Accessible Business Funding

6. Weekly Repayment Terms Up to 12 Months

Frequently Asked Questions

Is PayPal legally a bank?

What bank does PayPal use for loans?

What is the minimum credit score for LoanBuilder?

Does PayPal LoanBuilder report to credit bureaus?

Final Thoughts

Contents

What is Plastiq?

Who Can Use Plastiq?

Features and Benefits of Using Plastiq

How Much Does Plastiq Cost?

Other fees you should know about include:

Privacy and Security Concerns

Frequently Asked Questions

What is Plastiq?

How does Plastiq work?

How much does Plastiq Charge?

What is Plastiq used for?

Verdict

What is a Good APR for a Business Credit Card?

Can You Get a Credit Card with 0% APR?

The Best Business Credit Cards With 0% APR

1. PNC Cash Rewards Visa Signature Business

2. U.S. Bank Business Platinum Card

3. Capital One Spark Business 1.5% Cash Select

4. BofA Business Unlimited Cash Rewards

5. Chase Ink Business Unlimited

6. Amex Amazon Business Prime

Frequently Asked Questions

What credit score do you need for 0% APR?

Why 0% APR offers might not be good for your credit?

Is 23% APR high for a credit card?

Is 29% APR high?

Final Thoughts

Contents

What is Melio Payments?

Melio Payments Key Features and Functionalities

Here are other key features that you can get out of Melio Payments:

The Benefits of Using Melio Payments for Your Business

How Melio Payments Works

Accounting Software Integration

How Much Does Melio Cost?

User Experience and Reviews

Conclusion

What is Fora Financial?

Fora Financial Loan Requirements

Is Fora Financial a Real Company?

What Does Fora Financial Do?

1. Simple Application Process

2. Speedy Turnaround

3. Convenient Online Portal

4. Repayment Terms up to 15 Months

5. Small Business Loans

6. Revenue Advances

Frequently Asked Questions

Does Fora Financial do credit checks?

Is Fora Financial a direct lender?

How do I get approved for financing with Fora Financial?

Does Fora Financial report to credit bureaus?

Conclusion

What is BHG Financial?

Is BHG Financial Legit?

What Does BHG Financial Do?

1. BHG Money Loans

2. Fund-Ex Solutions Group Loans

3. BHG Bank Network

4. NaluPay

5. Risk Management Solutions Group

6. BHG Connect

7. BHG VC

Frequently Asked Questions