american express business finance corporation - This renders fas

American Express Business Finance Corporation (AEBFC) was a division of American Express dedicated to providing funding for business equipment. As part of the larger American Express Company, a global leader in financial and travel services founded in 1850, AEBFC offered fast and reliable financing solutions primarily through its network of vendor partners.

What Was American Express Business Finance Corporation?

American Express Business Finance Corporation was established in 1998 as an equipment-leasing unit within American Express's small business division. Headquartered in Parsippany, New Jersey, AEBFC grew to manage assets of approximately $1.5 billion by 2004, with estimated originations of about $750 million in that same year. The corporation operated across the United States, with major hubs in Houston, Chicago, and Parsippany, employing roughly 400 sales and service associates.

What Services Did AEBFC Offer?

AEBFC was a prominent commercial finance company that provided capital investment for small and mid-market businesses. Its services primarily focused on equipment leasing across various sectors, including:

Lease solutions typically ranged from $20,000 to $75,000 for equipment acquisition. AEBFC also offered specialized services for point-of-sale equipment for national restaurant chains.

Paul A. Larkins, President and CEO of Key Equipment Finance Company, once praised AEBFC, stating, "American Express Business Finance is built on a foundation of service and process excellence. Both of our companies share a commitment to providing best-in-class products and business equipment financing solutions to businesses of many types and sizes. We are excited to add capabilities and professionals of this caliber to the Key family."

Susan Sobbott, president of OPEN, the Small Business Network from American Express, noted, "Our Business Finance unit has been successfully serving business owners through our vendor leasing partners strategy. At this point in AEBF's business development, we believe it makes more strategic sense for it to grow as part of a company where equipment leasing is a core focus, and for OPEN from American Express to concentrate on our strength the small business payments business, where we have been the leader in providing charge and credit cards to business owners for nearly two decades."

How Did AEBFC Partner with SAP for "Express Financing"?

American Express Business Finance collaborated with SAP America Inc. to offer business leasing solutions to SAP customers through an Internet-based product called "Express Financing." This platform was designed to efficiently meet the needs of small and medium-sized businesses by significantly reducing the application process time from days to as little as an hour. Express Financing allowed vendor leasing partners to:

This online tool helped business customers simplify the acquisition of SAP solutions and other small business infrastructure needs, making SAP offerings more attractive and flexible for growth-oriented investments.

What Special Financing Programs Did AEBFC Provide?

AEBFC developed specific programs to cater to various business needs. In partnership with Best Software Mid-Market Division, AEBFC offered a unified program for Timberline Software business customers. This program included:

Additionally, American Express Business Finance offered leasing services to restaurant chains across the U.S., providing 100% financing with affordable, convenient monthly lease plans. It's important to note that specific financing programs, like the 0% financing for Timberline Software, often had conditions, such as not being combinable with other special pricing or programs, and typically did not apply to service plans.

What Happened to American Express Business Finance Corporation?

A definitive agreement was signed between American Express and KeyCorp's Key Equipment Finance for the acquisition of American Express Business Finance Corporation. At the time, Key Equipment Finance was the nation's third-largest bank-based equipment financing company, managing a portfolio of approximately $10 billion and conducting business in 25 countries. This acquisition represented a strategic combination, allowing the merged entity to focus on diverse markets, including small to large corporate firms in the U.S. and Canada, global equipment manufacturers, distributors and resellers, federal, state, provincial, and local governments, public sector organizations, and other finance companies.

Frequently Asked Questions

What was American Express Business Finance Corporation?

American Express Business Finance Corporation (AEBFC) was a division of American Express that provided funding and equipment leasing solutions for small and mid-market businesses.

When was AEBFC founded?

AEBFC was founded in 1998 as an equipment-leasing unit within American Express.

What types of equipment did AEBFC finance?

AEBFC financed a wide range of equipment, including medical and dental diagnostic equipment, IT hardware, telecommunication equipment, commercial vehicles, construction machinery, and various office products.

What was "Express Financing"?

"Express Financing" was an Internet-based product offered by AEBFC in partnership with SAP America Inc., designed to provide quick and efficient business leasing solutions to SAP customers by significantly shortening the application process.