The Virtual Corporate Card Value Proposition Expands

With more financial service providers positioning corporate cards in the market, interest in value-added functionality is on the rise.

In addition to business users demanding functionality like automated spend data capture and expense management, the latest solutions to enter the business payments landscape often embrace the opportunity in virtual cards: control, security and workflow efficiency.

This week’s Commercial Card Innovation Tracker identifies the newest tools driving virtualization of the corporate card.

Mastercard Broadens Its UAE Corporate Card Footprint

Mastercard is widening its corporate card footprint in the United Arab Emirates through a new partnership with First Abu Dhabi Bank (FAB). The companies announced their partnership that will allow FAB to issue corporate cards for business customers with a focus on streamlining B2B payments. The Mastercard Purchase Card comes with virtual card functionality, while Mastercard is also facilitating the availability of various Travel and Entertainment Cards for businesses to gain greater control and transparency into their spend.

Thrive Steps Into Aussie Biz Card Market

Australia’s Thrive, which targets small- to medium-sized businesses (SMBs) with automated financial services, including lending, banking, accounting and tax payments, has introduced corporate cards to its offering. An announcement said the company is rolling out Thrive Mastercard Debit Cards for SMBs later this year as part of the launch of an entirely new SMB business banking account, described by CEO Michael Nuciforo as a “CFO in your pocket.” The service will include automated expense management, with the platform able to capture and categorize spend on the debit card, in addition to a range of other services.

Germany Elevates Its Corporate Card Expectations

In theory, for Germany-based businesses, corporate card payments mean convenience and ease-of-use. In reality, according to pliant CEO and Co-Founder Malte Rau, businesses in the market struggle to access cards with sufficient credit limits and a lack of card acceptance. Yet as acceptance grows wider, corporates will be demanding greater flexibility and functionality from card solutions, Rau told PYMNTS in an interview. The company announced a partnership with Visa to roll out the Visa Infinite Business credit card, which expands offerings for businesses to more easily issue cards to employees, take advantage of virtual card capabilities and access more valuable card rewards.

CSI, Bank of the West Team on Virtual Cards

Corporate Spending Innovations (CSI) is teaming up with BNP Paribas subsidiary Bank of the West to debut a new integrated payables solution built with virtual card functionality. The firms are introducing their V-PAYO offering, which aims to migrate businesses off of paper checks to adopt virtual cards and ACH transactions, although the solution is showcasing the value of virtual cards to offer expanded capital float, greater security and more efficient workflows.

Ramp Secures $150 Million to Finance Corporate Spend

Corporate card and expense management FinTech Ramp has announced that it secured a $150 million credit facility with Goldman Sachs to bolster its offering and fund the spend of its corporate customers. TechCrunch reported the facility will allow Ramp to no longer have to finance corporate spend from its own balance sheet, allowing it to accelerate growth. In addition to a corporate card product, Ramp offers business users software to track and manage spend on those cards. The firm had previously raised $23 million in Series A funding, and $30 million in Series B, both of which closed in 2020.