Working Capital
Editorial Team
At Working Capital, we believe access to funding should be simple, transparent, and designed around your business not the other way around. We’re committed to helping entrepreneurs make smart financial decisions with tools, guidance, and lending partners they can trust.
A large invoice comes in. Payroll is due next week. An unexpected expense puts pressure on the cash in the bank. For a small business owner, even a temporary cash flow problem can make it difficult to cover expenses or take advantage of a new opportunity. The right financing can provide a cushion or support growth.
American Express and Funding Circle both offer business working capital loans for small businesses, but they serve different markets and take different approaches. American Express offers financing products to eligible U.S. businesses, while Funding Circle focuses its primary financing products on eligible businesses in the UK.
This comparison looks at the key differences between the two, including financing options, costs, repayment terms, eligibility, and product range.
American Express gives eligible small businesses access to a revolving line of credit of $2,000 to $250,000. Some customers may potentially qualify for more. Businesses can draw funds when needed. Each draw becomes a separate installment loan, and each has its own repayment schedule.1
Repayment terms depend on the options available and can range from six to 24 months. Each draw becomes a separate installment loan with its own repayment schedule.4
Instead of traditional interest, this business line of credit provider charges a monthly loan fee based on the original amount borrowed. The terms offered to a particular borrower can vary. You only pay the monthly fee while the draw has an outstanding balance. Paying the principal off early means you won’t owe loan fees that have not yet posted.4
To qualify for a line of credit through Amex, businesses generally need to have at least 12 months of operating history, show a credit score of 660 or higher, and generate at least $3,000 in average monthly revenue.1 Amex determines eligibility, credit limits, fees, and available repayment options based on a review of the business and owner’s overall financial profile. Not every industry is eligible.
The line requires a personal guarantee and is secured by business assets.4 Once approved, funds deposited into a verified business bank account generally take one to three business days to process. Businesses with an American Express Business Checking account in good standing can receive eligible draws instantly when they select instant deposit.1
Funding Circle’s FlexiPay is a revolving credit facility designed to give small businesses more flexibility in managing cash flow and business expenses. Rather than providing a single lump-sum loan, FlexiPay gives a business a credit limit they can draw from as needed for supplier payments, bills, and everyday business purchases. Funds are also available for transfer directly into the business’s bank account.9
Businesses can choose how quickly to repay each draw, with repayment periods ranging from one to 12 monthly installments. FlexiPay does not charge interest or an annual fee. Instead, each transaction is subject to a flat fee based on factors such as the repayment term and the business’s credit assessment. Businesses can also settle balances early without a settlement penalty and reduce the remaining cost of their installment plan.9
FlexiPay offers credit limits of up to £250,000, although the amount offered to each business owner varies. Once a portion of the balance is repaid, that credit becomes available to use again, allowing businesses to continue drawing on the facility without applying for new financing. Funding Circle says eligible businesses can receive an instant decision on a credit limit,8 and funds drawn into a business bank account before the deadline on a business day can be paid out the same day.9
Funding Circle’s primary business funding product is its small business loan, which may provide between £10,000 and £750,000 in financing to eligible UK businesses. Businesses must have been trading for at least one year. When determining eligibility and the terms offered, Funding Circle considers factors including the company’s credit history and financial position. The loans can be used for a range of business purposes, including expansion, equipment purchases, working capital, and refinancing existing debt.9
Loan terms range from six months to six years, with fixed interest rates and regular monthly repayments. Rates start at 6.9% per year, although the rate offered to an individual business will vary based on its circumstances.9
Funding Circle charges a one-time completion fee on its standard long-term small business loans, but there is no completion fee for its shorter-term 6- or 12-month loans when applying directly. There are also no fees for making additional payments or settling a loan early, which can help borrowers reduce the total interest they pay.9
Funding Circle emphasizes a streamlined application process, with an online application that takes minutes to complete and lending decisions available in as little as one hour.8 After accepting an offer, businesses may receive funds within 48 hours.9
With fixed payments, relatively long repayment terms, and borrowing capacity of up to £750,000, the loans may be particularly suitable for established businesses that want a predictable source of funding for growth, investment, or working capital.
American Express offers business credit cards for different spending and rewards priorities. Its current lineup includes options for earning cash back, Membership Rewards points, and travel rewards, along with cards designed around features such as no annual fee, no foreign transaction fees, and introductory 0% APR offers.2
For businesses focused on travel, the selection includes cards such as the Business Platinum Card and Business Gold Card. The Business Platinum Card currently earns 5X Membership Rewards points on eligible flights and prepaid hotels booked through AmexTravel.com, while the Business Gold Card offers 4X points in a business’s top two eligible spending categories each month, subject to the applicable terms and limits.2
Those who prefer cashback have different options. Currently, the Graphite Business Cash Unlimited Card earns unlimited 2% cash back on eligible purchases, while the Blue Business Cash Card earns 2% on the first $50,000 in eligible purchases each calendar year and 1% after that. The Blue Business Cash Card also carries a $0 annual fee.2
Businesses that want to earn points without paying an annual fee can consider the Blue Business Plus Credit Card. Eligible purchases earn double Membership Rewards points on the first $50,000 spent each calendar year. Purchases beyond that threshold earn 1X points.2
The range of business credit cards for small businesses gives owners room to choose based on how they spend, rather than simply how much they spend. A company with substantial travel expenses may place more value on Membership Rewards and travel benefits, while a business looking for straightforward savings may prefer cash back or a card without an annual fee.
Information reflects American Express terms and offerings and is subject to change.
Funding Circle offers a business credit card with a credit limit of up to £250,000 to qualified UK businesses. The card earns 2% cashback on all card spending for the first six months, up to £2,000 in cashback. After that introductory period, businesses earn 1% cashback on spending. Cashback is automatically credited to the account when a payment is made toward the monthly statement.10
Businesses can use the card for everyday business expenses anywhere Visa is accepted, including for international spending. Funding Circle does not charge foreign exchange fees on international transactions, although foreign transactions are subject to Visa’s exchange rates.10
The card has no monthly or annual fee and offers up to 42 days of interest-free credit. If the balance is paid in full during the billing period, no interest is charged for that period. Businesses can also issue additional company cards to team members at no monthly or annual cost and set individual spending limits.10
To qualify, a business must be based in the UK, operate as a limited company, have at least one year of trading history, and have annual revenue of at least £30,000. Limited companies can check their credit limit and receive a decision without impacting their credit score. Funding Circle says applications can receive an instant decision, with digital cards available immediately after approval and physical cards typically arriving within three to five working days.10
One limitation is that Funding Circle’s business card is not currently available to existing Funding Circle customers who already have FlexiPay or another Funding Circle loan.10
American Express offers businesses an online checking account. The American Express Business Checking account has no monthly maintenance fee or minimum balance requirement, and businesses can manage their accounts digitally, deposit checks through the mobile app, make payments, and use a Business Debit Card for purchases and ATM withdrawals. The account also provides access to live customer support.3
The account can earn interest on balances up to $500,000, with the current APY subject to change. Businesses can also earn Membership Rewards points through eligible Business Debit Card purchases, earning one point for every $2 spent. Those points can be redeemed for deposits into the Business Checking account or, when eligible, used through other available Membership Rewards redemption options.3
American Express Business Checking can also connect with other parts of the company’s business-financing platform. Business owners can also connect their Business Checking account to QuickBooks to help keep their financial information up to date.3
Funding Circle does not offer a business checking account or traditional business banking platform. Instead, the company focuses on providing financing products for small businesses. Its current lineup includes business loans, a revolving line of credit through FlexiPay, a business credit card, and asset financing.
That means businesses looking for a place to manage everyday banking would need to use a separate bank or financial institution. Funding Circle can still serve as a source of financing alongside that banking relationship, particularly for businesses looking for working capital or short-term financing.
American Express and Funding Circle give small businesses different paths to access fast small business lending, and understanding those differences is more important than simply looking for the lender with the lowest rate or the largest loan. Each business has its own financial needs, cash flow patterns, and plans for growth, and those factors should shape the type of financing it considers.
The cost of credit, the way repayments work, the amount of flexibility a product provides, and the requirements a business must meet can all affect how useful that financing will be over time. A financing option that looks attractive at first may not make the same sense once those details are considered in the context of the business.
For that reason, business owners should take the time to look beyond the headline features and consider the full picture. A thoughtful comparison of American Express and Funding Circle can help clarify what each lender offers, where each may fit, and what questions a business owner should ask before choosing a source of financing.
1https://www.americanexpress.com/en-us/business/blueprint/business-line-of-credit/
2https://www.americanexpress.com/us/credit-cards/business/business-credit-cards/?inav=us_menu_cards_business_credit_cards_view_all_business_credit_cards
3https://www.americanexpress.com/en-us/business/checking/
4https://www.americanexpress.com/en-us/business/blueprint/terms-and-conditions/business-line-of-credit/
5https://www.fundingcircle.com/uk/
6https://www.fundingcircle.com/uk/small-business-loans/
7https://www.fundingcircle.com/uk/businesses/business-finance/
8https://www.fundingcircle.com/uk/resources/business-finance/preparing-credit-checks/
9https://www.fundingcircle.com/uk/payments/flexipay/
10https://www.fundingcircle.com/uk/payments/cashback/
