Is American Express dissing or courting small business?

So, how’s this for irony:  American Express just launched OPEN Forum, an ambitious Web site that, among other things, links entrepreneurs to in-house experts and other advisors. But, at the same time, it’s freezing or slashing credit lines to many small businesses.   According to a story in Crain’s New York Business, that’s  causing a great deal of consternation among small businesses that patronize AmEx:

Though many lenders are cutting credit lines, AmEx has ruffled more than a few feathers. Nearly three-quarters of small business cardholders have a negative or very negative opinion of the company, according to a study from market research firm Powerfeedback. Sixty-two percent say they wouldn’t recommend AmEx to a friend or family member.

via American Express walks a tightrope – Crain’s New York Business.

According to the story, an AmEx spokeswoman said, “The company is managing its business in the context of the current environment.”

Certainly, from the perspective of American Express, that’s not an unreasonable position. Still, it’s not hard to understand small business owners’  negative opinions, even when other lenders are taking similar steps (and, just a few months ago, Advanta Corp., a major small-business credit-card company, shut down all its cardholders’ accounts). American Express has made a big deal about courting small business owners, so it’s pretty galling to be slapped in the face by them.

Long-term, when the economy picks up, the company may find these contradictory actions back-fire in a big way, as small business owners spurn American Express and flock to other rivals.