Working Capital Terms, a short-term financing product aimed to
help business owners cover the cost of invoices due to vendors and smooth out
cash flow, is for American Express business credit cardholders. Working Capital
Terms is American Express business loan products offered to small businesses.
AmEx introduced
this Working Capital Terms product in response to success seen by companies
like Square have seen offering flexible loan products to existing
customers.
American
Express Working Capital Terms are available up to $750,000, with a fee of 0.5%
for a 30-day loan and 1.5% for a 90-day loan.
Who should benefit from Working Capital Terms?
AmEx “goes
for the cream of the crop with any of their loans, so existing customers are
who they are targeting.”
Customers
who work with a number of vendors and lack the flexibility of trade terms can
benefit from this product—meaning if you
work with vendors who require you to pay upfront or within a few days, this
will be a low-cost product to try out.