American Express is revamping its Business Gold Card, raising the annual fee and adding more perks geared toward newer companies to tap into the boom in small-business creation. 

Rewards will now include purchases of electronics, wireless services and transportation, adding new ways to earn points in addition to more traditional categories such as advertising, fuel and restaurants, according to Anna Marrs, group president of global commercial services and credit and fraud risk.

“It all plays back into the fact that this is the age of new small businesses in the US,” Marrs said in an interview.

In the post-pandemic era of remote work and employee demands for more freedom, business formation has exploded. New business applications surged 42 per cent in 2022 from pre-pandemic levels, topping 5 million, census data show.

The annual fee will increase to US$375 from US$295 starting Feb 1, but the card will also include possible credits that outweigh the fee, including an annual US$240 credit that small businesses can put toward a statement after using the card at FedEx, Grubhub and office-supply stores. 

AmEx – known for unique card designs typically aimed at consumers rather than companies – will now let small-business owners get their hands on a Rose Gold card.

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“It just provides that little bit of extra sparkle to a small-business owner as their business grows,” Marrs said. BLOOMBERG