5 ways fast-growing startups optimize their cash management.

Cash management should be top of mind for fast-growing startups — not just for keeping the lights on but to fuel growth and create new business opportunities. The right banking and corporate card strategy ensures startups can optimize cash flow, extend runway, and operate with confidence, even in unpredictable market conditions.

Brex’s business banking solution combines checking, treasury, and vault accounts to help founders access banking features and liquidity — two of the most critical factors for startup success. The best business banking accounts, however, also integrate seamlessly with corporate cards, expense management, and bill pay solutions, helping startups simplify financial operations while unlocking new ways to optimize working capital

Startups that master cash management gain a competitive edge. Here are five key strategies to optimize cash flow and extend working capital:

• Extend your runway with a high-yield treasury account
• Leverage higher credit limits to bridge cash flow gaps
• Accelerate rewards and cash back on vendor spend
• Unlock new efficiencies with a consolidated financial stack
• Use credit strategically to manage operational cash

1. Extend your runway with a high-yield treasury account.

For startups, every dollar counts, and an extended runway can mean the difference between scaling successfully or running out of capital too quickly. A high-yield treasury account helps maximize idle cash by earning competitive interest while maintaining liquidity for operational needs. By strategically allocating excess funds into a treasury account, startups can grow their reserves without sacrificing access to working capital.

Early-stage companies that sign up for a Brex business account get access to high-yield treasury accounts from day one with no minimums — and same-day liquidity. It was a no-brainer for payouts platform Dots. “The yield we earn from Brex treasury has materially extended our runway,” said Sahil Hasan, Dots CEO and co-founder. “As a startup trying to scale, that was such a value add.”

Sahil also noted how much different Brex’s banking for startups experience has been compared with traditional banks: “The Brex team was very responsive to our questions,” Sahil said. “It’s nice to know we have that level of attention from our banking partner. Several large banks have pitched us to move our business over, but we love Brex because we get amazing service, high yields, and no hidden fees.”

2. Leverage higher card limits to bridge the cash flow gap.

Startups often face mismatched cash flow cycles, where expenses like payroll and vendor payments come due before revenue is collected. Higher credit limits provide the flexibility to bridge this gap, allowing businesses to keep operations running smoothly without disruptions. By leveraging a high-limit business credit card, startups can cover short-term expenses while waiting for customer payments or funding rounds to close.

Sparkling beverage company Aura Bora uses Brex’s corporate card to extend payment terms, balance inventory purchases with customer payments, and grow the business.

“Access to higher limits and extended payment terms enables us to keep up with inventory without straining our working capital,” says Paul Voge, co-founder and CEO of Aura Bora. “Brex helps us bridge the gap between when we have to pay for inventory and when customers pay us through high credit limits. With 30 to 40 times the credit limit compared to Chase or Amex, Brex helped us finance a lot of product runs that wouldn’t have been possible otherwise.”

3. Accelerate rewards and cash back on vendor spend.

Every expense is an opportunity to reinvest in growth, and earning rewards or cash back on vendor payments helps startups optimize spending. Paying for major expenses like advertising, software, and operations on a corporate card can generate valuable returns that can be reinvested into the business. The best rewards programs offer business-building redemption options like billboards and team offsites to ensure that every dollar spent goes back into growing the business.
Amber Papp, the VP of Finance at Scentbird, a monthly fragrance subscription service that delivers exciting new perfumes to your doorstep, switched to Brex to consolidate its disjointed card and expense management programs. Scentbird began shifting larger invoicing spend, such as for ads and shipping, to Brex cards to further maximize rewards and cash flow.

A vendor analysis showed Amber how easy it is to onboard vendors in Brex. “Our Brex rep gave me a list of our higher-spend vendors that accept credit cards,” she said. “He even noted which ones don't charge additional fees.”

Since then, Scentbird has more than doubled its card usage and reaped the higher rewards. “Paying vendors by Brex card will give us better cash flow,” Amber says, “and we’ll get the rewards for it.”

4. Unlock new efficiencies with a consolidated financial stack.

Managing finances across multiple platforms makes it harder to maintain visibility and control over cash flow. One consolidated financial stack powered by AI — integrating startup business banking accounts, corporate cards, expense management, travel, and bill pay — streamlines operations and eliminates inefficiencies. Startups can then leverage AI-powered automation to accelerate workflows, including 4x faster expense reviews and 3x faster accounting.

Pangea sought a banking alternative to JP Morgan Chase to eliminate the hidden business banking fees and gain more control over its account transfers. Pangea co-founder Adam Alpert found out Brex had a lot more to offer the growing design talent marketplace. “Because of Brex, I’ve been able to consolidate a lot of our financial stack,” he said. “The entire Brex platform brings us so much value, and it’s easier to manage the day-to-day.”

Brex’s visibility also helps Pangea cut unnecessary costs and helps Adam stay focused on the business. “Bringing all our money to Brex also helped us identify other things we were spending on,” he said. Since moving to Brex, we’ve identified $6,000 in monthly spend that we were able to unwind. Brex helps me stay in founder mode, so we can continue to build without constantly worrying about our finances.”

5. Use credit to strategically manage operational cash.

Cash flow fluctuations are inevitable, but using credit strategically can help startups maintain stability and avoid liquidity crunches. By leveraging flexible credit options, founders can cover upfront costs, invest in growth opportunities, and weather seasonal or cyclical revenue fluctuations. A good credit strategy ensures you can operate with confidence — something Hatchproof founder and CEO Imran Syed recognized early on.

Building a next-generation talent retention platform, Imran sought to maximize the value of every dollar and every minute. He chose Brex not just for its card program, but for a financial partnership that could help Hatchproof accelerate growth.

“I did my research, and I wanted a relationship with a provider that understood me and could grow with me,” Imran said. “The key is to secure credit before you need it, not when you’re scrambling for it. With Brex, I’ve never had to worry — they’ve scaled seamlessly with Hatchproof, giving us all the credit we need and then some.”

That includes a flexible credit system to help manage operational cash: “Brex’s rotational credit system has been a game-changer for managing cash flow,” he said. “We typically pay vendors at the beginning of the month while collecting revenue during the last two weeks. Brex helps us bridge that gap seamlessly, giving us the flexibility to balance expenses and collections while providing a critical buffer for the future.”

Make every dollar — and decision — count.

Choosing a financial partner is an important decision for founders. As Sahil Hasan, CEO of Dots, put it, “Some fintechs end up creating more work for founders, but Brex built a platform that actually reduces the amount of finance work on my plate.”

By making it easy to open a business bank account, streamlining cash flow, optimizing credit access, and eliminating hidden inefficiencies, Brex empowers founders to stay focused on long-term growth. Imran Syed, CEO of Hatchproof, sums it up best: “Financial strategy is critical, and tools like Brex have completely reshaped how I approach it. It gives me the clarity I need without taking up the time I don’t have. It’s a true win.”

Whether through high-yield accounts, flexible credit, or an integrated financial stack, Brex helps startups make every dollar and decision count. Based on our review of rewards and automation from December 2024, more than 30,000 customers — and 1 in 3 VC-backed US startups — earn and free up over $1.5B with Brex. Sign up for Brex today to spend smarter and scale faster.

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