Brex Business Account Review 2023
Last Updated: By TRUiC Team
Disclaimer: Brex is a fintech company, not a bank. Brex partners with multiple FDIC-insured program banks.
Brex offers an appealing alternative to traditional startup banking. You can use a Brex business account to accept and send funds using ACH and wire. And if you qualify, you can get a Brex charge card that includes a variety of rewards and can potentially expand to up to 20 times the limits of traditional lenders – without attaching the card to your personal credit.
Recommended: Read our Best Banks for Startups review to find the right bank or online banking platform for your company’s specific needs.
Brex Business Account Eligibility Requirements
The Brex business account does have some requirements that may be too difficult to meet for new startups. Whether you can meet the requirements depends on a number of factors, particularly your funding and your scale.
The following requirements are taken from the support center on Brex.com. Basically, businesses can qualify if they:
- Have received an equity investment of any amount (accelerator, angel, VC, or Web3 token)
- Have more than $1 million a year in revenue
- Have more than 50 employees
- Have more than $500,000 in cash
- Are a tech startup who is on a path to meeting the criteria above, and are referred by an existing customer or partner
Brex goes further to explain its criteria:
“In addition to the requirements listed on our website, Brex analyzes a company’s business model, source of funds, spending patterns, and other areas that may pose a higher risk to Brex and our partners. Meeting the requirements above does not guarantee you will be approved for Brex.”
As you can see, there are some hurdles to overcome to use Brex for your business banking. Of course, depending on your situation, qualifying might not be difficult at all.
Pros and Cons of Brex Business Banking
Pros of Brex Business Banking
- No monthly fees
- No minimum opening deposit
- No minimum balance requirements
- Unlimited fee-free transactions
- Offers two options on where your funds are stored with the option to invest in a money market fund to earn yield
- Includes rewards-earning Brex credit card
Cons of Brex Business Banking
- Only available to venture-backed startups and mid-market companies
- Must be incorporated to qualify, which means no sole proprietorships and similar unincorporated structures
- Missing features of traditional business banking, including ATM usage and debit cards
Brex Business Account
We believe Brex is the best online business banking option for venture capital-backed startups and mid-tier companies.
Brex Business Account Pricing and Features
If you can qualify for Brex banking, you can take advantage of all of its attractive features and benefits. Brex doesn’t charge you any fees, which can save your business a lot of money. You can decide where your funds go, such as a money market fund or an FDIC-insured account
Depending on your qualifications, you can get a great charge card from Brex. Keep in mind that it’s a charge card, not a credit card, meaning it’s not designed for you to carry a balance. You can choose to either pay it daily or pay it monthly (the monthly option is only available with additional qualifications).
This card has a pretty substantial rewards program that includes:
- 8x points on rideshare, including Uber, Lyft, taxi, and scooter
- 5x points on flights and hotels booked through Brex Travel
- 4x points on restaurants and dining
- 3x points on eligible Apple products like Mac and iPhone, via the Brex portal
- 1.5x points on ads through Facebook, Google, Amazon, Microsoft, and more
- 1x points on everything else with no cap on how much you can earn
Rewards and Benefits
- No fees
- Can choose to put the money in your account in an FDIC-insured account or invest in a money market account
- Brex card with a robust rewards program
- Built-in expense management tools that make it easier to track transaction approvals, recurring payments, user roles, match receipts, set monthly credit limits, and follow investor funding details
- Charge card requires daily or monthly payoff, so there is no interest rate
- You can choose to put some or all of your balance in a money market fund to earn a 2.73% yield
- No fees
Brex is a nontraditional cash management solution, which means it offers exciting perks for the right businesses – but not all businesses. Only venture-backed or mid-market companies are going to meet Brex’s requirements. If your business falls into those categories, Brex might be a very appealing option to manage your money, save on fees, and maximize your returns.
Brex tends to have positive reviews that mention its great customer service and functionality. Keep in mind that Brex recently changed its business structure to only serve venture-backed and mid-tier companies and dropped tens of thousands of small businesses from its services. It’s possible that some of those small businesses are less satisfied with Brex than current users.
Here are some verified customer reviews from Trustpilot by people who use Brex’s online banking platform:
“I got an incorrect email that my account was closing...they were responsive and the CFO Adam reached out personally to resolve the incorrect issue. Living up to the brand promise of being a financial OS for startups of all sizes after that incorrect communication.”
“After using other online providers for years having high transaction rates and long-complex processing, when I migrated my company over to Brex I was completely satisfied that I made the right decision. The online UX is awesome - The mobile app just works flawlessly and BREX SUPPORT is at another level. Would rate Brex with 10 stars.”
“They freeze accounts very easily and require a lot of documentation. But other than that it works fine.”
How Does Brex Compare?
There are many different online business banking options available, which means it’s important to compare and contrast your choices. Let’s compare Brex with another popular business banking solution, Novo.
Offers many perks, rewards, and money limits.
Best for: Venture capital-backed startups and mid-tier companies that want to take advantage of the rewards program and high limits of the Brex charge card.
No monthly fees
An extremely inexpensive banking option ideal for startups.
Best for: Ecommerce startups that need functional, efficient, free banking services and don’t need to make cash deposits.
Final Thoughts on Brex Business Bank Account
Brex is an exciting new option for the right business. It does away with some of the features of traditional business banking while adding other features that certain companies will find very appealing. If you qualify, you can take advantage of no fees, big rewards, and a money management platform that can transform the way you do business.
If you can’t qualify – and many startups won’t be able to – there are plenty of other high-quality banking options out there to consider.
Frequently Asked Questions
Is Brex a legit bank?
Brex is not a bank account. It’s a cash management account offered by Brex Treasury (a FINRA-registered broker-dealer). It functions similarly to a business bank account, and many businesses use it for that purpose.
What bank owns Brex?
Brex is not owned by a bank. It partners with banks to offer various services but is not owned by a bank.
Does Brex have a minimum balance?
Brex has no minimum balance requirements for its Brex Cash service.
How does Brex Bank work?
If you qualify for a Brex account, you can use it much like you would a traditional business banking account. You can use your account to transfer money, make transactions, and more. However, you cannot withdraw cash at an ATM, and you must pay your Brex charge card off daily or monthly, depending on your qualifications and preferences.
How long does it take to open a Brex account?
Brex usually responds to account applications within seven days. Within about a week, Brex should review your application and let you know if you qualify for an account.