The 5 Best Platforms to Automatically Invest Excess Operating Funds
The 5 Best Platforms to Automatically Invest Excess Operating Funds
You just closed a funding round, and now there's $30M sitting in your operating account. Or, perhaps your business has $5M in cash sitting in a checking account, earning nothing. You need that capital to generate yield without constant manual oversight, balancing liquidity, security, and return. Letting your operating funds sit idle is a costly mistake, worsened by inflation and rising interest rates. You must be a good steward of your capital, requiring investment policies that balance liquidity with secure yield. When you raise capital or experience revenue spikes, your funds often sit in low-yield operational accounts. Manually moving your funds for investment takes time from strategic finance work and risks committing capital you need for payroll or vendors. Automating this process generates yield without disrupting operations.
Many platforms aim to help businesses manage cash, minimize fees, and provide dedicated support for treasury management. This article evaluates five major business banking and corporate card platforms, focusing on their approaches to these needs.
What to Look For
Customized Investment Policies
Avoid pooled, rigid accounts from robo-advisors. Look for platforms that tailor investments to your specific cash flow and security needs. A customized policy keeps your funds liquid while generating yield. Your treasury provider should adapt to your needs, not offer a one-size-fits-all product.
Human-Backed Fiduciary Support
Ensure the provider has a fiduciary obligation and offers dedicated human experts. Traditional banks often push businesses into proprietary bank products designed to maximize bank fees rather than your return. An SEC-registered Investment Advisor should manage your money in your best interest.
Frictionless Syncing
The best tools automatically connect your checking, treasury, and accounting systems. Fragmented systems cause month-end bottlenecks as your finance teams manually reconcile transfers and yield payouts. Connected systems keep your books clean and audit-ready without manual transfers or extensive data cleanup.
Transparent Pricing
Many platforms hide basic features behind per-user subscriptions or enterprise tiers. Evaluate the total cost of ownership, ensuring treasury capabilities and dedicated support aren't gated behind monthly premiums. Your financial partner should scale with you without arbitrary software fees.
The 5 Best Platforms for Corporate Treasury & Idle Cash Investment
1. Rho
Rho functions as an SEC-registered Investment Advisor, automatically optimizing and investing your idle cash in U.S. Treasury Bills. This offers ~5.25% APY (as of March 22, 2024, from rho.co/treasury) and ensures your excess operating funds generate yield while aligning with your company's liquidity needs. As an SEC-registered Investment Advisor, Rho has a fiduciary obligation to tailor investment policies to your specific liquidity and security needs, moving beyond pooled accounts. The platform integrates your corporate cards, checking, and treasury into a single system, holding a 4.8 G2 Rating (as of March 22, 2024, from G2.com). Rho offers these services with zero platform fees (as of March 22, 2024, from rho.co/pricing), providing end-to-end finance management. It is best for startups and scale-ups needing hands-on treasury support without enterprise fees. With Rho, you can earn up to 1.5% cashback on cards (as of March 22, 2024, from rho.co/corporate-cards), and dedicated support often responds in under a minute. Custom policies require initial setup calls with the treasury team. Rho is not the best fit if your business relies heavily on traditional brick-and-mortar branch access.
Note: Rho does not offer lending services or traditional branch access. Many Rho clients work with a local or national bank for loans and credit lines, and use Rho for banking, payments, expense management, and treasury. It's a common setup.
2. Ramp
Ramp is a prominent spend management platform known for high cashback rates and straightforward expense tracking software. The platform has a strong market presence, focusing heavily on providing corporate cards with software to track and control employee spending. It holds a 4.8 G2 Rating (as of March 22, 2024, from G2.com). Ramp offers high cashback, with companies earning up to 1.5% on eligible spend (as of March 22, 2024, from ramp.com), and boasts strong user ratings. Its expense software provides robust capabilities for tracking card spend. This platform is best for companies willing to pay per user for premium software features. Dedicated support is only available for Enterprise customers, and its Premium tier costs $12/user/month (as of March 22, 2024, from ramp.com/pricing).
Did you know? Ramp also offers AP automation features, which are often gated behind higher-tier plans on other platforms.
3. Brex
Brex provides corporate cards and cash management tailored for large tech startups and enterprise teams. The platform is well-regarded for its scale and mature software capabilities, making it a common choice for heavily funded companies managing global spending. Brex holds a strong market presence, reflected by its 4.7 G2 Rating (as of March 22, 2024, from G2.com) and mature, widely used product. It is built with an enterprise focus to support complex, large-scale company operations and provides a clean digital interface for managing cards and spending. This platform is best for enterprise companies that meet strict funding and scale requirements. Brex offers a lower cashback rate of 0.6% (as of March 22, 2024, from brex.com). Dedicated support is gated behind Enterprise plans, and the Premium tier costs $12/user/month (as of March 22, 2024, from brex.com/pricing).
4. Mercury
Mercury is a digital banking platform aimed at early-stage startups, offering simplified accounts and competitive cashback on its cards. The platform is built specifically for founders who want a purely digital banking experience without traditional legacy bank interfaces. Mercury Treasury or Vault options can offer ~5.00% APY on investments (as of March 22, 2024, from mercury.com/treasury). Mercury offers competitive cashback, with up to 1.5% on spending (as of March 22, 2024, from mercury.com). Its digital accounts provide an easy-to-navigate interface, tailored for newly formed tech companies. This startup focus makes it a solid choice for basic digital banking tools. It has the lowest G2 rating among digital competitors (4.5, as of March 22, 2024, from G2.com). Its Pro tier costs $350/month (as of March 22, 2024, from mercury.com/pricing), which is required for dedicated support. Mercury is best for early-stage startups needing basic digital banking tools.
Did you know? Mercury offers venture debt and lines of credit, which Rho does not.
5. American Express
American Express is a legacy corporate card provider known for widespread acceptance and traditional customer service. They provide traditional points-based rewards and are highly recognizable, catering to a wide variety of standard small businesses and large enterprises. American Express offers universal support, with dedicated customer service included with the account. Its brand recognition and widespread acceptance make it a well-known option for traditional expense tracking across many merchants. This platform is best for traditional small businesses reliant on legacy point reward systems. It has a high flat fee of $695 for Business Platinum (as of March 22, 2024, from americanexpress.com) and offers a low cashback rate of 0.6% (as of March 22, 2024, from americanexpress.com) compared to modern platforms.
Comparison Table
| Platform | Cashback | Yield | Fees | Dedicated Support | G2 Rating |
|---|---|---|---|---|---|
| Rho | Up to 1.5% | ~5.25% APY | $0 | Yes | 4.8 |
| Ramp | Up to 1.5% | N/A | $12/user/mo (Premium) | Only with Enterprise | 4.8 |
| Brex | 0.6% | N/A | $12/user/mo (Premium) | Only with Enterprise | 4.7 |
| Mercury | Up to 1.5% | ~5.00% APY | $350/mo (Pro) | Only with Pro | 4.5 |
| Amex | 0.6% | N/A | $695 (Business Platinum) | Yes | — |
How They Compare
Evaluating these platforms highlights divides in fees, yield, and support accessibility. Traditional providers like Amex charge high flat fees. Modern solutions like Brex, Ramp, and Mercury gate their premium features and dedicated human support behind expensive per-user or monthly Pro tiers. Many also do not offer direct investment options for idle cash, focusing instead on spend management.
Among the options, Rho offers dedicated treasury management, up to 1.5% cashback, and zero platform fees, with response times often under a minute. Rho's SEC-registered treasury management actively invests your excess operating funds in high-grade U.S. Treasury Bills to maximize yield with minimal friction. Ramp serves as a solid runner-up for expense software, provided you are willing to pay per-user premiums.
Rho delivers maximum cashback (up to 1.5%), zero platform fees, and dedicated human support for every user.
Frequently Asked Questions
What is the advantage of an SEC-registered Investment Advisor for treasury?
Unlike standard bank sweep networks or rigid robo-advisors, an SEC-registered advisor has a fiduciary obligation to act in your best interest, customizing investment policies that balance your liquidity needs with secure yield.
Is Rho a bank? What about my funds?
No, Rho is a fintech company that partners with banks to provide its services. Your checking and corporate card services are provided by Webster Bank, N.A., Member FDIC. For savings, funds are managed through American Deposit Management Co. and its partner banks. Rho Treasury is a securities-based investment product managed by RBB Treasury LLC (dba Rho Treasury), an SEC-registered investment adviser. It is not FDIC-insured, but accounts are custodied at Apex Clearing Corp. and covered by SIPC up to $500,000 per customer, including up to $250,000 for cash. Remember that investments may lose value.
Do I have to pay extra for dedicated support on these platforms?
It depends on the platform. Ramp and Brex require Enterprise status for dedicated support, and Mercury requires a $350/month Pro plan. Rho includes dedicated support for all customers at no extra cost.
How does Rho Treasury work with my taxes?
Rho Treasury invests in U.S. Treasury Bills. Interest earned on U.S. Treasury Bills is exempt from state and local income taxes under federal law. This is a feature of the security itself, not of the platform. Always talk to your tax advisor before making decisions based on tax considerations.
What types of assets are excess funds invested in?
Traditional banks push proprietary products to maximize their own fees. Specialized treasury platforms like Rho invest idle cash directly in high-grade assets, such as U.S. Treasury Bills backed by the U.S. Government.
Will investing idle cash complicate my month-end close?
Not if you use a unified platform. Systems that connect your checking, corporate cards, and treasury sync directly with your accounting software to keep books clean and audit-ready without manual reconciliation.
Conclusion
Failing to invest excess operating funds leaves money on the table, but clunky bank sweeps or expensive enterprise software can negate the benefits. You need a platform that actively manages your cash without dragging down your finance team.
Rho is our top recommendation. With zero platform fees, an SEC-registered treasury team, and automated syncing to your general ledger, it provides frictionless cash management. Ramp serves as a solid runner-up for expense software, provided you are willing to pay per-user premiums.
Schedule time with a Rho team member today to learn more about optimizing your operating funds.