Every small business owner knows that how you manage your cash flow is usually the difference between growing or plateauing. Kate Dalton, founder of boutique tea brand Mayde Tea, knows this all too well. Since starting her business in Byron Bay over a decade ago, she’s transformed her passion for wellness into a thriving company with more than 500 stockists.
One of her secrets to success? The American Express Flexible Payment Option (FPO), which has helped her maintain stability and jump on new opportunities with peace of mind.
Kate Dalton’s humble beginnings were forged in a personal passion for naturopathy and herbal healing.
“I started making tea in 2012, but at the time I didn’t realise I was setting out on actually building my own business,” she says. “I was studying naturopathy and was fascinated by the effects of herbs on the body.”
What started as an exploration of herbal teas quickly grew into a business with a mission: to craft high-quality, organic teas with respect for both personal health and the environment.
“In those early days, I was spending all my pay on tea herbs and exploring the potential of what you could make with them. I developed our Serenity and Digest blends as some of my very first teas, and those recipes have not changed to this day.”
With her passion and naturopathy expertise, it didn’t take long for demand to surge — thanks in large part to word-of-mouth support from local cafés. “I was lucky that the cafe I was working in while I was studying offered to serve my teas, and it all just grew from there.”
As Mayde Tea grew, so too did the need to manage cash flow cycles.
“When we pay for products, we usually don’t receive them for at least another four weeks,” says Dalton. “Then, we have to package the tea and sell it, so there can be a large gap between purchasing supplies and getting the cash flow back in through sales.”
For many small or medium businesses, even a minor delay can put a strain on cash flow, and for those with long lead times between purchasing supplies and generating revenue, it can be one of the most stressful parts of running a business.
Rather than wilting in the face of such a hurdle, Dalton sought out ways to bring more balance into the cash flow peaks and troughs. The solution, unbeknownst to her, was already within arm’s reach: her American Express Qantas Business Rewards Card, which has a feature called Flexible Payment Option (FPO) built into it.
“The American Express Flexible Payment Option is a great tool to manage cash flow for those longer lead times,” Dalton says. “It helps us to bridge any gaps between incoming and outgoing cash flow when we need it because it basically gives us an instant line of credit without having to apply for it.
“It also means that if we’re going through a period of growth and need to pay for a lot of stock or a big order of new products, we have some extra time to pay for that once the sales come through, which definitely helps to take the pressure off.”
The FPO feature lets Card Members pay off a portion of their monthly balance, up to their FPO limit over time, without any of the unnecessary hassle of extra paperwork*. With flexibility incorporated into the card itself, small businesses like Mayde Tea can smooth out cash flow fluctuations during high-demand periods.
“The Flexible Payment Option in American Express Business Charge Cards is all about helping business owners take on new growth with confidence,” says Kiely Potter, American Express Vice President of Commercial Account Development and Client Onboarding.
“A business owner might have an unexpected cost come up out of the blue, or need to replace an important piece of equipment that they haven’t budgeted for, and Flexible Payment Option can help provide some breathing space in moments like that.”
In addition to supporting Mayde Tea’s long-term growth, Dalton says her everyday business spending also earns her Membership Rewards® points.
“I use the American Express Qantas Business Rewards Card for all my business expenses, and that means that I accumulate Membership Rewards points, which feels like a nice bonus for spending I have to make anyway.
“Then I use those points to go on holidays. Our babymoon to Hawaii was all through Membership Rewards points – it was so good!”
Ultimately, what makes it all worth it for Dalton is the positive feedback she gets from her customers, knowing that her business is making a difference in their wellness.
“One of the best things is reading all of the feedback that people send in,” she says. “That is the most fulfilling and rewarding element for me.”
American Express is a globally integrated payments company, providing customers with access to products, insights and experiences that enrich lives and build business success. Learn more at americanexpress.com.au and connect with us on Facebook, Instagram, LinkedIn, Twitter, and Youtube.
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