- Annual percentage rate (APR): N/A (charge card).
- Purchase intro APR: N/A (charge card).
- Rewards: 1, 2, 3, 4, or 7 points per $1 spent.
- Annual fee: $0.
- Late fee: N/A (charge card).
- Credit score: Very Poor to Excellent (300-850).
- Compare cards here.
Table of Contents
Benefits
- No personal guarantee or credit check is necessary. Because qualification for this card is based on the business’s capital and spending patterns, a credit check is not necessary. Therefore, it is possible to acquire this card even if you don’t have a great credit history. Additionally, because this card is a charge card that must be paid off every month, a personal guarantee is also not required.
- There is no annual fee. The business does not need to pay any annual fees on the Brex Card for Startups. In fact, there are also no late fees, since this is a charge card.
- There is no foreign transaction fee. You do not have to pay additional fees to use this card on foreign soil. This may be especially useful for business models that require a lot of travel.
- The card comes with additional business features. Because this card is meant to help startups, it also comes with some complimentary business management features, such as expense management and accounting integration options.
- The card offers significant rewards for certain types of purchases. In addition to a minimum of one point per dollar on all expenditures, cardholders also receive two points per dollar on recurring software subscriptions, such as Slack, three points per dollar on qualified Apple purchases, such as iPhones, four points per dollar on travel expenses, and seven points per dollar on rideshare expenses.
Drawbacks
- The business needs to have a substantial amount of capital. Your business must demonstrate that it has at least $100,000 in its corporate bank account in order to qualify for the card.
- It does not offer many additional perks. The main purpose of the Brex card is to help startups build credit, and therefore there aren’t as many additional perks as some other cards. However, there are some great perks related to partner offers. These partners include: Zoom, HubSpot, Zendesk, Salesforce, Experian, Amazon Web Services, Google Ads, and WeWork. This card also provides travel perks like access to Mastercard Travel Services and Mastercard Airport Concierge.
- The business must pay back the card in full on a monthly basis. This card is a charge card rather than a traditional credit card, and therefore it needs to be paid back every month. However, the positive side of this is that it is very difficult to get into significant debt using this card.
What Can You Expect From the Brex Card for Startups?
This card is fairly simple to use. There aren’t any perks beyond the rewards points and partner offers, but that actually lends to the simplicity. Payments are automatically deducted from the associated bank account, and you can manage your account on the Brex website. You’re also able to manage your rewards and find additional informational resources there. In the event that your card is lost or stolen, you can also use this account or the mobile app to lock your account.
Brex App
Brex for mobile is free on the Apple App Store and Google Play. The app allows you to:
- Manage your account;
- Review your transaction history;
- Organize virtual cards;
- Match receipts.
The app also offers push notifications.
Exclusive Rewards Program
Businesses that use this card as their only company card may qualify for the exclusive rewards program, which includes:
- Seven times more points than the baseline (one point per $1 spent) on rideshare services;
- Four times more points on Brex travel;
- Three times more points on dining (including purchases at coffee shops);
- Two times more points on recurring software charges.
An alternative option cardholders can choose is the Brex Remote Collaboration Rewards program, which is built to complement businesses that have a remote business model. This program includes the following rewards:
- Seven times more points on collaboration tools like Zoom and Slack;
- Three times more points for delivery through Caviar, DoorDash, Uber Eats, Grubhub, and Seamless;
- Two times more points on recurring software charges.
However, it is important to note that if a business chooses the Remote Collaboration Rewards program, their plan will revert to the standard exclusive rewards program on September 30, 2020.
Who Should Get the Brex Card for Startups?
This card is ideal for well-funded startups who want to build credit. As mentioned, a business must prove they hold a minimum of $100,000 in capital to qualify for the Brex card. However, it is an especially helpful card for building credit because you must pay the card back every month, and those payments are automatically charged to the associated bank account. Therefore, it can help a business build a lot of positive credit history.
The Brex Card for Startups may be an especially useful option for startups that have poor credit to begin with, or that do business abroad. As previously stated, you do not need to pass a credit check to qualify for this card. This is another reason that the Brex card for startups is such a great option for building credit for your business.
Furthermore, because the card does not have foreign transaction fees, and provides access to Mastercard Travel Services and Mastercard Airport Concierge, the card is great for business abroad.
Compare other business credit cards and learn more here.
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