The world’s largest hotel owners’ group is partnering with the First National Bank of Omaha to launch a new credit card program aimed at B2B clients who need to manage cash flow and make major purchases on the fly.
The Asian American Hotel Owners Association announced Thursday (Feb. 19) that it has teamed up First National Bank of Omaha’s First Bankcard to release the Business Edition with Absolute Rewards MasterCard and the Commercial Edition MasterCard.
Both cards are part of a new card program designed specifically with the needs of AAHOA hotel owners in mind, the association said. With the cards, AAHOA members will have access to a cash flow management program that offers higher credit lines, as well as financing for large purchases like equipment for hotel renovations.
According to AAHOA and First Bankcard, those major purchases will earn 1.5 points for every dollar spend.
Benefits are designed for members of the hotel industry, too. The card program offers travel services and insurance and a points program that allows users to redeem points for travel, as well as other rewards.
“We have worked closely with First Bankcard to prepare an excellent package of benefits and services to our small business owner-members,” AAHOA Board Chairman Pratik Patel said. First Bankcard President Stephen F. Eulie added that the new card program reflects the company’s passion about “supporting business owners with smart financial tools that offer them flexibility, choice, cash-flow management and maximizing rewards.”
AAHOA and First Bankcard’s credit card offerings emerge as credit cards gain more traction within the B2B payments industry. Currently, the payment method only makes up about 10 percent of all B2B transactions, but that rate is triple what it was in 2011.
Part of the rise of the credit card in B2B payments, experts say, is due to the migration away from the paper check and fraud protection. The card, however, is not without its drawbacks, including extremely expensive loans and fees.