American Express Offers New Credit Card for Small Businesses
This week American Express OPEN launched its SimplyCash Plus Business Credit Card, which has no annual fee and the opportunity to earn cash back on business expenses.
The new credit card also allows members to spend beyond their credit limit to make large purchases on items, such as inventory and equipment. The amount spent above the credit limit is due in full each month. However, card members can carry a balance for any amounts charged within their credit limit
The SimplyCash Plus card was created in response to the findings of an American Express OPEN survey, which found 71% of respondents said credit cards were an important tool for funding and growing their business. 76% said being able to quickly increase their credit card spending limit would be beneficial. Since the new American Express allows cardholders to go over their limit without accumulating fees or filling out an application, it can expand the buying power of a business.
78% of small business owners say rewards are important when choosing a credit card, and 74% said cash back rewards would help their business the most.
“We consistently hear that one of small businesses’ largest challenges is managing cash flow. The SimplyCash Plus Card combines our charge and lending capabilities to provide a product that offers greater buying power to help with the ebb and flow of a small business, as well as more opportunities to earn valuable cash back even on larger business expenses,” said Audrey Hendley, Senior Vice President and General Manager of American Express OPEN Products. “This Card empowers small businesses to quickly and seamlessly seize and fund opportunities for growth.”
The cash back rewards program includes:
- 5% cash back on purchases made in U.S. office supply stores and on wireless telephone services purchased from U.S. providers (up to $50,000 in purchases each year; 1% cash back on purchases made thereafter).
- 3% cash back on the cardholder’s choice of these categories (up to $50,000 in purchases each year; 1% cash back on purchases made thereafter):
- U.S gas stations
- U.S. restaurants
- U.S. advertising expenditures in select media
- U.S. shipping costs
- Airfare purchased directly from airlines
- Hotel rooms purchased directly from hotels
- Car rentals from select companies
- U.S. computer hardware, software and cloud computer purchases made from select providers
- 1% cash back on all other purchases.
The SimplyCash Plus card is currently available to select small business owners and will be available to all eligible businesses this spring.