Instead, your credit limit will be determined either by how much cash you’ve raised or the equity in your company (or both), as well as your company’s spending patterns.
Additionally — unlike other business credit cards, which typically cap the amount of rewards you can earn in bonus spend categories — the Brex For Startups lets cardholders earn points on every dollar spent with industry-leading multipliers: 7x on rideshare, 4x on travel, 3x on restaurants, 2x on software subscriptions and 1x on all other transactions.
According to Brex’s site, the Brex For Startups uses an underwriting technology that allows applicants to be “approved in minutes.” Upon approval, and after linking your company bank account to the Brex For Startups, you (and your team) can immediately begin making charges using virtual credit card numbers. You will receive your physical card within three to five business days.
Read on for a full breakdown of Brex For Startups, including what we like and dislike about the card, and how it compares to the Bank of America® Business Advantage Cash Rewards Mastercard® credit card.
Who is eligible?
Companies that are organized and registered in the U.S., including C-corps, S-corps, LLCs and LLPs, are eligible for the Brex For Startups. Consumers, sole proprietors, unincorporated partnerships and companies registered outside of the U.S. are not permitted to apply.
Where the Brex For Startups stands out
Rewards. Cardholders earn points on every dollar spent with industry-leading multipliers: 7x on rideshare, 4x on travel, 3x on restaurants, 2x on software subscriptions and 1x on all other transactions.
Points can be redeemed for direct statement credit or travel. You can also transfer points at a rate of 1:1 to travel partners, including JetBlue TrueBlue, AirFrance KLM, Aeromexico Club Premier, Avianca Lifemiles and more.
No personal liability: Because the Brex For Startups does not require a personal guarantee, your personal credit score will not be impacted — even if you are not approved for the card.
Build business credit history: You can build your business credit history when you pay your bill on time, since the Brex For Startups reports payment information to Dun & Bradstreet and Experian.
Worldwide acceptance: The Brex For Startups is part of the World Elite Mastercard program — meaning it can be used at millions of merchants that accept Mastercard and Visa in more than 200 countries.
Foreign transaction fees: None. This means you won’t be charged additional fees when you use the Brex For Startups outside of the U.S.
Additional benefits
- Automatic monthly payments
- 24/7 concierge assistance
- Zero liability fraud protection
- Expense management tools
- Special discounts at partner merchants
Where the Brex For Startups falls short
Lower rewards rate for some. You can only earn the higher rewards rate if you qualify for Brex Exclusive status, which includes making the Brex For Startups the exclusive corporate card for your business. Otherwise, you will only earn 1 point per dollar on every purchase.
Cannot carry a balance. Because the Brex For Startups is a charge card, you must pay your balance in full each month. Your payments will automatically be deducted from your company’s linked bank account.
High bank account balance required. To qualify for the Brex For Startups, you must have a minimum bank balance of $100,000.
Compare it with the Bank of America® Business Advantage Cash Rewards Mastercard® credit card
If you want to earn rewards on business purchases, but you don’t qualify for the Brex For Startups’s $100,000 minimum bank account balance, you may be better off with a business credit card like the Bank of America® Business Advantage Cash Rewards Mastercard® credit card.
The card offers 3% cash back on your choice of one of the following six categories: gas stations (default), office supply stores, travel, TV/telecom & wireless, computer services or business consulting services, 2% cash back on dining (for the first $50,000 in combined choice category/dining purchases each calendar year, 1% thereafter) and 1% cash back on all other purchases. Choice category options include gas stations (default), office supply stores, travel, TV/telecom and wireless, computer services or business consulting services. You are allowed to change your choice category one time per calendar month.
Additionally, Bank of America® Business Advantage Cash Rewards Mastercard® credit card holders earn a $300 statement credit when you make at least $3,000 in net purchases within 90 days of your account opening.
See how the cards compare side by side in the table below.
| Brex For Startups | Bank of America® Business Advantage Cash Rewards Mastercard® credit card | |
|---|---|---|
| Sign-up bonus | 75,000 in Brex Rewards points upon signup and waived card fees for life (equal to $750+ value)* | $300 statement credit when you make at least $3,000 in net purchases within 90 days of your account opening |
| Rewards | Earn points on every dollar spent with industry-leading multipliers: 7x on rideshare, 4x on travel, 3x on restaurants, 2x on software subscriptions and 1x on all other transactions. | 3% cash back on your choice of one of the following six categories: gas stations (default), office supply stores, travel, TV/telecom & wireless, computer services or business consulting services, 2% cash back on dining (for the first $50,000 in combined choice category/dining purchases each calendar year, 1% thereafter) and 1% cash back on all other purchases. |
| Intro APR on purchases | N/A | 0% for 9 billing cycles |
| Regular purchase APR | N/A | 13.74% - 23.74% Variable APR |
| Annual fee | $0 | $0 |
| Foreign transaction fee | None | 3% of the U.S. dollar amount of each transaction |
Unlike the Brex For Startups, the Bank of America® Business Advantage Cash Rewards Mastercard® credit card limits the amount of cash back you can earn in bonus spend categories to $50,000 per year. That said, if you max out the spend cap on a choice category during the first year of card membership, you’ll earn $1,500 cash back on those purchases alone. Once you factor in the sign-up bonus, that amount becomes $1,800.
Additionally, if you plan to finance large business expenses, the Bank of America® Business Advantage Cash Rewards Mastercard® credit card will be the better choice, since it offers an introductory APR on purchases of 0% for 9 billing cycles (then 13.74% - 23.74% Variable APR). By contrast, the Brex For Startups does not allow cardholders to revolve a balance on the card.
The bottom line
If you’re in the market for a corporate charge card that offers unlimited rewards and doesn’t impact your personal credit history, the Brex For Startups could be a great option. Just keep in mind that you will be required to have a minimum bank account balance of $100,000.
But if you’re interested in a business credit card that allows you to carry a balance interest-free for close to a year, the Bank of America® Business Advantage Cash Rewards Mastercard® credit card will be a better fit.
See our top picks for Best Small Business Credit Cards.
The information related to the Bank of America® Business Advantage Cash Rewards Mastercard® credit card has been collected by MagnifyMoney and has not been reviewed or provided by the issuer of this card prior to publication.
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Intro 0% for 18 months on Balance Transfers, then a 13.49% - 24.49% Variable APR.
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