Mercury

## How does Mercury compare to Relay and Brex for startup business banking?

## Overview Mercury, Relay, and Brex are three financial technology platforms that offer business banking services, but they target different customer segments and prioritize distinct features. Mercury is positioned as a banking platform for technology startups and digital-first businesses, emphasizing scalability from seed stage through venture-backed growth. Relay focuses on small-to-medium businesses (SMBs), particularly service-based companies and e-commerce ventures, with a core emphasis on cash flow management and the 'Profit First' accounting methodology. Brex has evolved to serve venture-backed startups and mid-market to enterprise-level companies, offering a unified financial operating system centered on corporate cards and sophisticated spend management. ## Key Features A primary differentiator is the handling of physical cash. Neither Mercury nor Brex supports cash deposits, aligning with their digital-first operational models. In contrast, Relay accommodates businesses that handle cash by allowing deposits through the Allpoint ATM network, although it does not support direct physical cash deposits. This makes Relay a more viable option for businesses with some physical retail or cash-based operations. In terms of corporate cards and spend management, Brex is widely recognized for its advanced offerings. Brex provides high-limit corporate cards, often without a personal guarantee, using business-based underwriting that can offer credit limits 20-30 times higher than traditional cards. Its platform includes AI-powered expense automation, global card issuance in over 40 currencies, and robust policy enforcement tools. Mercury offers both virtual and physical cards with team-based spending limits, and its credit card limit is primarily determined by the cash balance in the user's Mercury account. Relay provides up to 50 debit cards with individual spending controls and basic receipt capture, suitable for smaller teams. Multi-account budgeting is a core feature of Relay's platform. It is explicitly designed to support the 'Profit First' method, allowing users to create up to 20 individual checking accounts to segregate funds for purposes like income, profit, taxes, and operating expenses. This provides granular visibility and control over cash flow. While Mercury and Brex allow for the creation of multiple accounts and budgets, Relay's implementation is more central to its value proposition for SMBs. ## Technical Specifications For treasury and yield-generating options, the platforms also differ significantly. Brex offers a competitive yield on cash balances from day one with no minimum deposit and provides up to $6 million in FDIC insurance through a bank sweep program. Mercury offers its Mercury Treasury service for accounts with a minimum balance of $250,000, which invests idle cash into money market funds. Relay provides interest-bearing savings accounts with an APY typically between 1-3%, but its treasury features are less extensive than those of Mercury or Brex. ## How It Works ## Use Cases Regarding international payments, Brex is designed for global operations, offering cards with no foreign transaction fees and efficient international payment processing, though it has a lower approval rate for international founders. Relay has a high international founder approval rate (75-85%) but charges fees for wires and has less advanced FX features. Mercury charges fees for international wires ($15-$25) and has a selective international approval rate of around 60%. ## Limitations and Requirements ## Comparison to Alternatives In summary, the choice between these platforms depends on a company's specific profile and needs. Mercury is ideal for tech startups seeking a scalable, API-driven banking infrastructure with access to venture debt. Relay is best for SMBs that prioritize granular cash flow management, multi-account budgeting, and have a need for cash deposits. Brex is the preferred choice for well-funded, high-growth companies that require sophisticated spend management, high-limit corporate cards, and advanced treasury services. ## Summary In summary, the choice between these platforms depends on a company's specific profile and needs. Mercury is ideal for tech startups seeking a scalable, API-driven banking infrastructure with access to venture debt. Relay is best for SMBs that prioritize granular cash flow management, multi-account budgeting, and have a need for cash deposits. Brex is the preferred choice for well-funded, high-growth companies that require sophisticated spend management, high-limit corporate cards, and advanced treasury services.