*By Tanaya Macheel* Brex, the start-up that provides credit cards for start-ups, has created a rewards program for its customers that awards points for spending on ride-sharing, software, travel, and dining, as well as offers from partners like AWS, Salesforce, and WeWork. Brex aims to service early stage start-ups, which tend to have difficulty getting corporate credit cards because of their lack of revenue — similar to how consumers tend to have trouble being approved for credit cards before they’ve established any credit. The issue often forces founders to use personal credit cards to fund their businesses. Brex extends them a line of credit based on their corporate bank account balances. CEO Henrique Dubugras called it a "niche program" that may not necessarily be best for every startup but is competitive for tech companies specifically, in a recent conversation with Cheddar. He shared the details on Product Hunt [late Monday] (https://www.producthunt.com/posts/brex-rewards). The new points system earns users a point per dollar with no cap on rewards, plus multipliers of seven for every dollar spent on ride-sharing companies, three for travel and dining and two for software, allowing companies to earn more than $25,000 back from partner offers including Amazon's ($AMZN) AWS, Salesforce ($CRM), and WeWork. The company claims an average startup can earn at least 20 percent more with the Brex Exclusive card than with competitor cards. A comparison table on the Brex Rewards website shows the card’s value against AmEx’s ($AXP) SimplyCash Plus and Business Gold Rewards cards; the Chase Ink Business cards and Capital One’s ($COF) Spark card. Dubugras told Cheddar on background that with its most recent funding, he is confident Brex can take on industry goliaths like AmEx. Previously, young startups tended to find a sliver of the market or just the right angle so as not to step on the toes of larger companies with incomparable scale that they might need, he said. The two-year-old Brex is something of a darling among startup lending companies. Earlier this month it raised $125 million with a $1.1 billion valuation ー following a $57 million Series B round it [raised in June] (https://cheddar.com/videos/building-a-start-up-with-brex) from investors including PayPal ($PYPL) Mafia members Peter Thiel and Max Levchin. Ribbit Capital, Y Combinator Continuity, Facebook ($FB) investor Yuri Milner, and former Visa ($V) CEO Carl Pascarella are also investors. For full interview [click here](https://cheddar.com/videos/brex-launches-rewards-program-for-tech-start-ups).

Share:
More In Business
‘Chainsaw Man’ anime film topples Springsteen biopic at the box office
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
Flights to LAX halted due to air traffic controller shortage
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing defense workers on strike in the Midwest turn down latest offer
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
FBI’s NBA probe puts sports betting businesses in the spotlight
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla’s profit fell in third quarter even as sales rose
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
Load More