The two companies have partnered to launch Flostore, powered by a Visa digital wallet and Flocash’s African payment platform.
Visa, a global leader in digital payments, has announced its partnership with Flocash, one of FT Africa’s 2022 fastest growing FinTech companies, to promote the digital capabilities of African SMEs through digital payments, vendor solutions and access to financial services.
The first step in this partnership is the launch of Flostore, powered by a Visa digital wallet and pan-African payments platform Flocash, which can help small businesses accept digital payments, manage supplies and access financial services across Africa.
In addition to Flostore, Flocash and Visa will work together to integrate financing into payments and bring the element of analytics, accounting and reconciliation for small businesses through Visa’s dynamic underwriting capabilities that include purchase structures immediate, subsequent payment.
“Visa is committed to expanding the digitalization of payments across Africa. With partners like Flocash, our goal is to enable African businesses to access our payment ecosystem and technologies to enable them to serve their customers in innovative and efficient ways. This partnership with Flocash, along with the launch of Flostore, are important steps towards achieving this goal,” said Corine Mbiaketcha, Vice President and General Manager for East Africa at Visa.
“Flocash has grown significantly as a travel payments processor over the past few years and we are delighted to partner with them to create innovative payment solutions that reduce friction in commerce for merchants in West Africa. ballast.”
Flostore Tap2phone’s capabilities allow small businesses to turn their existing mobile devices into payment acceptance terminals. Tap2phone is an essential and cost-effective mechanism for developing digital payment infrastructure in developing markets.
On the other hand, cybersource payment gateway technology incorporates all the security protocols in place to give customers peace of mind when transacting online. It’s designed to provide increased fraud protection, minimize cardholder friction, and increase sales fulfillment, resulting in a better experience for all parties involved. This helps merchants and issuers detect and avoid fraud more effectively.
Through digitalization, SMEs can use their digital footprint to tap into traditional and alternative sources of finance to expand trade, while banks reduce their operating costs as they grow their revenue base. Digitizing the lending process allows banks to streamline their inefficient SME lending processes and deliver value to their customers. 82% of small and micro businesses responding to Visa’s annual outlook survey in 2022 indicated a preference for digital payment options.
“Visa is a great partner to scale Flocash’s pan-African payments platform and grow this critical area of African commerce that can provide tremendous opportunities for economic development across the continent,” said Sirak Mussie, Managing Director of Flocash.
SMEs represent 90% of all businesses in Africa but have an annual funding gap of over US$136 billion according to IFC. A digitized SME sector will unleash the huge market potential of the African continent, supported by rapid population growth.
Click below to share this article