Amex Cashback is this idea too good to be true?

JimmyTheWig

c-j-h wrote: »

Yes they are but if i'm going to spending £40k per month on the card, I don't think the cashback earned after 12 months would be regarded as tiny. May be to you, certainly not to me. It can be used as a year end bonus

I agree.
If your business plan needs this cashback to be successful then you've got problems.
But if you can make it work without then why not have this as the icing on the cake.

redux

c-j-h wrote: »

Yes they are but if i'm going to spending £40k per month on the card, I don't think the cashback earned after 12 months would be regarded as tiny. May be to you, certainly not to me. It can be used as a year end bonus

If you're trading goods worth half a million wholesale, you should be hoping to sell for about £600,000 to £1 million.

The cashback would be 2 to 5% of your profit.

Not insignificant, but surely you can arrange something a bit more robust, without incipient cashflow problems several times a month. Or are you expecting Amex to increase your card limit to £50k or £100k?

You might even get a slightly better discount from your suppliers using another payment method

bizwax

redux wrote: »

If you're trading goods worth half a million wholesale, you should be hoping to sell for about £600,000 to £1 million.

The cashback would be 2 to 5% of your profit.

Not insignificant, but surely you can arrange something a bit more robust, without incipient cashflow problems several times a month. Or are you expecting Amex to increase your card limit to £50k or £100k?

You might even get a slightly better discount from your suppliers using another payment method

My business is not dependent on the cashback, nor will I have cashflow problems.

planteria

c-j-h wrote: »

Ok, I guess it will be a pain managing the clearing of the card, hopefully with that kind of volume I will be able to get a credit increase which should make things a little easier.

it's not difficult. with all other cards i have tended to pay from my C/A by FP. with Amex i would pay on americanexpress.com/uk as that is the quickest way for your AC to jump back up.
and yes, spending in volume should help with that, but also you find the CS gets even better:D

planteria

c-j-h wrote: »

My business is not dependent on the cashback, nor will I have cashflow problems.

that's what i expected you to clarify.. some kind-of-assumptions being made above that weren't how i read it at all:think: