Fintech Rho Technologies announced on Thursday (May 13) by a press release emailed to PYMNTS that it is launching the Rho Card. Rho said it is the first bank-issued corporate card that lets companies manage cash back, credit terms, spend control and policies, “all on their own terms.”
Rho stated that its Rho Card will let clients “opt to maximize their cashback up to 1.75%, extend their repayment terms for additional float, or calibrate the right balance in-between.” Cardholders can adjust the terms up to four times per year, according to Rho.
“Until now, companies have been stuck with corporate cards that put them in a rigid box, confined to a single set of terms,” said Alex Wheldon, co-founder and chief product officer at Rho. “Businesses are cyclical. As business owners ourselves, we built this first-of-its-kind card we always wanted, that supports the evolving needs of modern businesses as they grow.”
The card’s features include some that are common among offerings that help companies manage their B2B payments spend and others that are less common.
According to the release, the Rho Card will be tied to an underwriting process that will provide growing cardholders with the opportunity for increased credit limits without personal guarantees or collateral.
The card allows spending limits and holders can get “an unlimited number of virtual or physical cards,” the announcement stated.
Rho cards can be tied to budgets, and businesses using the card will have access to dashboards showing company-wide usage data, according to the announcement.
In a statement provided by Rho, Mark Riskowitz, operations head at Caraway, a New York-based maker of cookware, said, “Rho has enabled Caraway’s expansion. They adapt to our growth, provide superior products and allow us to optimize our operating expenditure.”
According to Rho, it has raised $120 million in debt and equity financing from investors, including Inspired Capital, M13 Ventures, ConsenSys, Torch Capital and Community Investment Management. Per Rho, the company was founded by Everett Cook, who formerly worked at Point72 and Deutsche Bank, and Wheldon, a “serial entrepreneur.”
Rho-branded banking services are provided by Evolve Bank and Trust and card services by Sterling National Bank, the announcement stated.
Rho and other fintech companies are pushing rapidly into the B2B payments space as digital banking rapidly takes hold in the U.S.
May 13, 2021 at 01:00PM