Stripe is getting into the credit card business. On Tuesday, the San Francisco-based payments technology provider announced that it is launching a corporate credit card to make it easier for business to handle expenses and get credit. Stripe’s announcement comes days after the firm announced its Stripe Capital lending business.
In a statement shared with Bloomberg, Cristina Cordova, a Stripe business lead who is working on the card, said “we’re really targeting all businesses on Stripe but are focusing on fast-growing startups and small businesses,” adding that “a lot of these businesses are using their personal cards.” According to Stripe, its credit card will offer easy onboarding and no associated fees.
Stripe’s entry into the credit card market targeted at startups puts it face to face with Brex, a three-year-old startup that has raised more than $300 million at a valuation of $2.6 billion. Brex is funded by investors including Kleiner Perkins, Ribbit Capital, and PayPal co-founder Peter Thiel.