Velocity and variety drive payments in startup world
There’s hardly a company owner around the world who does not dream of expanding the business. The successful completion of this goal depends on countless factors and there’s no general rule on how to achieve growth. In most cases, however, businesses which have established their brands and have amassed all necessary resources, grow easier and faster than companies that lack these means.
What about the startups? Polina Toskova from myPOS – which started as a startup itself – shares insights in 11 Series how the velocity and variety of payment methods could drive additional business and eliminate the hassle for the young companies.
Despite the existence of startup companies that ultimately became household names such as Airbnb, Reddit, Uber and Xiaomi, most newfound businesses face great difficulties in their first months or years. Quite often these problems are related to sourcing funds for performed sales or services – a resource that is vital for the successful operations of any enterprise. The reason for this phenomenon is easy to understand – either startups have not made enough efforts to create their own payment channels or they cannot meet strict financial requirements in order to use fiscal, bank or even economic stimuli or services to prosper.
Getting beyond limitations
While in many cases most of the bank and state programs, designed for supporting startups and small companies, have steep requirements that simply rule them out, when it comes to payment channels and making ways to easily receive their income, the responsibility lies with the startups. Fortunately, some fintech companies are aware of the payment challenges new businesses face and they have created a number of innovative solutions. As with everything in life, there’s no perfect payment platform in this field, but a great starting point is to ask yourself a few important questions in order to choose the best payment solution for your startup business:
- How do you usually get paid – e.g. in person, online, by bank transfer?
- Do you need additional channels to receive payments such as over the phone or through your website and the social media?
- Is your business seasonal or regular?
- Are you looking for additional services to grow your revenue?
What would a great payment processing platform include, especially in the light of startups?
Let’s jot down a few traits:
- No starting or subscription fees is a great thing for startups that are conscious on big investments. Being freed from such fees saves you money and users only pay a small fee per transaction.
- No long-term binding contracts – everyone likes freedom and so do startups, especially in a time, where challenges and chances change very quickly.
- Ready-to use payment terminals with easy internet connection that allow you to accept payments in the store, office or at the customers.
- Online payment services – from pay links, pay buttons to shopping card plugins for online stores, as a young company you should look for a provider that can offer you tools to get payments through your online store, website or even just a Facebook page.
- Distant payment services – those could include the traditional MO/TO (mail order/telephone order) that is still widely used the accommodation industry or the more recent Payment Request, which enables you to send a payment link to your customer via SMS, email or chat.
- A free business account that consolidates payments received through all payment channels – online, on the phone or in person.
- Other means to further grow revenue – these could be loyalty programs, topping up prepaid phones, basically any extra that would help you create a loyal clientele and would make clients come back again.
Finding the right payments platform is not an easy task – many of them will offer some of the aforementioned features but will lack other ones from the list above. Still, with the rise of card payments, more and more modern payment platforms come into existence, while the ones that are already on the market increasingly add new features so the perfect payment platform is definitely on its way. Or perhaps it even exists now, depending on your company’s needs?
So, if you are the owner of a startup, success more often than not lies in your own hands. It starts with dedication, focus and the will to make it. Given the immense benefits you will get from your own card payment solution, spending some time in research to find it does seem like an easy task, doesn’t it? So why not start now?
About the author:
Polina Toskova, myPOS country Manager for Bulgaria.
Polina is an expert in card payment services, having worked with some of the leading banks in the country. Presently she works closely with the myPOS sales, business development, and marketing teams – defining the strategy which ensures the company success on the Bulgarian market.