If you’re looking for a corporate credit card that allows you to manage your business expenses, earn rewards and save money with customized spending insights, then you should know about the Ramp corporate card.
Ramp offers a robust suite of features for small- and medium-sized businesses, including unlimited 1.5 percent cash back, built-in spend control and access to more than $175,000 in partner rewards. The no-annual-fee Ramp Visa® Corporate Card also has no late fees, foreign transaction fees or even card replacement fees.
If you’re thinking of signing up, here are nine things to know about the Ramp Corporate Card that may help you make up your mind.
1. No personal guarantee required
Most applications for today’s best business credit cards ask for the business owner’s Social Security number, which generally means you’re personally guaranteeing your company’s debt. As a result, any missed or late payments might be added to your own credit report—and if your business defaults, you’ll still have to fork over any unpaid balance on the card. In fact, your card issuer could come after your personal assets, including your home, to recoup some of its losses.
The Ramp card, however, is one of the few business credit cards with no personal guarantee from the business owner. In other words, holding the Ramp card ensures your personal finances and credit will remain intact in the event your business fails.
2. High credit limit
Unlike many business credit cards, Ramp doesn’t conduct a credit check during the application process. Instead, Ramp determines credit limits based on your company’s cash balance, or “the drawable reserves in the bank accounts that your company has linked to Ramp,” according to the startup’s website.
What’s more, Ramp advertises credit limits that are 10 to 20 times higher than what you’d get elsewhere. Having a high-limit business credit card can give you the flexibility you need to invest in the success and growth of your enterprise, whether that’s purchasing new equipment or covering day-to-day expenses in a pinch.
3. Unlimited virtual cards
Rather than charging for each individual cardholder, Ramp supplies unlimited virtual cards for all employees, providing added security against fraud. To streamline the approval process when someone on your team needs to make a purchase, Ramp also sends those requests directly to the relevant manager via email or SMS (or Slack).
From spending limits to how long a virtual card stays active, you maintain full control over company spending and monitor every transaction in real time. You can also assign similar permissions to physical Ramp cards and enable them to automatically decline any purchases that fall outside of company policies.
4. Automatic receipt-matching for easy expensing
Like other expense-management startups, such as Divvy, Ramp’s platform addresses a common pain point among many small- and medium-sized businesses: the time-consuming chore of manual expense report processing. Ramp instantly requests and collects receipts at the time of purchase and allows users to submit them via SMS or email, and then automatically matches them to the right transaction.
In addition, Ramp can sync with various accounting software (including QuickBooks and Netspend), letting you create rules that automate tasks such as expense categorization and account reconciliation. Ramp says these features can significantly speed up the month-end closing process, potentially saving your business up to five days every month.
5. Analytics that help reduce spending
Ramp’s technology analyzes your company’s spending data and looks for ways to help you save money by eliminating duplicate subscriptions, identifying supplier price increases or switching payment methods to maximize your cash back earnings. It also provides visibility into spending trends across your entire business, giving you a big-picture view of upcoming payments and helping you forecast spending more accurately over time.
6. Earn 1.5 percent cash back on every purchase
Ramp stands out among business cards by offering a straightforward 1.5 percent cash back on all purchases, with no caps or category restrictions.
7. You’ll never pay interest
The Ramp Corporate Card isn’t a traditional business credit card. Rather, it’s a charge card, which means you have to pay your balance in full each month. Eliminating even the ability to accrue interest charges by using the Ramp card could save your business significant amounts of money over time.
8. You can’t carry a balance
Though Ramp’s 30-day payment terms mean that in addition to never paying interest, you also never have the option to carry a balance. If the inability to carry a balance leaves you with very little wiggle room in your budget, it could hamper your efforts to grow the business or manage short-term cash flow issues when they arise. Depending on the type of business you run and what stage it’s in, you’ll have to decide whether the Ramp card’s potential interest savings outweighs the flexibility to pay over time when you need to.
9. Valuable features
Ramp inarguably offers a ton of valuable tools for businesses—such as Slack integration, category spend controls and vendor management—all at no additional cost to its customers. Ramp refers to this as an “all-in-one solution” because, through its platform, cardholders not only get 1.5 percent cash back on all spending, unlimited users and cards and no annual fees, but access to finance automation tools, accounting integrations, automated receipt matching and more. Keep in mind, the Ramp card falls short in its lack of travel or lifestyle perks that a handful of other business credit cards offer. Also, the Ramp card doesn’t offer a welcome bonus to new cardholders.
The bottom line
With the promise of getting set up in less than 15 minutes—and the possibility of saving a significant amount of money with Ramp’s advanced savings reports—one of the newest and fastest-growing fintechs on the block is certainly worth considering. But the Ramp card falls a bit short when it comes to the premium benefits offered by some other business credit cards.
Whether Ramp is right for you and your business depends on what matters to you more: comprehensive, automated accounting and expense management with a no-frills (but potentially lucrative) cash back card or a top-tier business credit card with flashy perks and more flexible payment options. The choice is yours.
The information about the Ramp Visa® Corporate Card and Brex Corporate Card for Startups has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.