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Fintech is a unique fusion of two significant industry finance and technology. The combination has erupted a positive impact on the financial market. The Fintech industry has gain moss over the year and becoming a daily experience for many. The technology has invested in many small and medium enterprises—a practice that isn’t embraced by traditional banks, making SMEs struggle in funding their businesses.

Fintech research shows SMEs have great potentials and contribute more to economic growth. Fintech companies such as offers products and services specially designed for small and medium enterprises.

These solutions align with the current global revolution and digitalization. They help solve the demands of the SME participants. The financial technology industry provides SMEs with automated tools to help in basic practices. The business receives digital services such as financial bookkeeping and documentation of transactions. The technology improves accuracy in business processes, and it’s cost-effective. This allows SMEs to embrace Fintech solutions.

Utilizing Fintech solutions in SMEs has helped in financial automation and freedom. This helps save time and money as they utilize the currently available resources to build business finances. Let’s venture into some significant Fintech solutions, which help solve small and medium business enterprises’ concerns.

Helpful solutions

1. Improving the lending process to the SMEs

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Small and medium business needs finances to fuel and expand their operation—the majority of micro-business turn to traditional banks for financial help. However, the banks follow strict measures and take time to process the request. Sometimes the financial request doesn’t go through, leaving the small startups stranded.

However, the introduction of new technologies by Fintech provides fast and effective ways to transact. Fintech has created digital platforms and services such as internet banking, P2P lending service, mobile banking, and more. Banks can implement the services and help lend money in fast, transparent banking services.

2. A point of sale management system

Fintech has created a new digital process of handling sales and accounts for micro finances. The solutions don’t require skills to handle as the painless and error-free with a friendly user-interface. The platforms operate online, providing users a self-explanatory menu, unlike the manual system. The sale automated software allows SMEs to collect client data such as purchase habits, personal contact details, etc. record finance stock and employee performance. The services are available in the same software and operational simultaneously. This micro help business handles different strategies and grow their potential.

3. Create cash register in table based design

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The manual cash registers used by traditional banks are bulky and complicated. The registers are used to scan prices, open cash drawers post billing, and provide customers with printed bill receipts. The machines are quite expensive for many businesses. Fintech provides an easy solution of a table-based cash register for all the services (scan, post billing, printing customer receipts). The digital register uses cloud technologies and SaaS to collect and save data on the cloud for future reference. SMEs pay for the services based on bandwidth usage. This makes it easy and affordable for micro-businesses.

4. Mobile point of sale solutions

This a unique technology that provides the user with an inbuilt card reader feature. The service applies in different businesses such as:

  • It helps waiters reduce the back and forth movements with table bills and card machines.
  • The e-commerce industry can work fast when a client request to use the card payment option when selecting the cash-on-delivery option.
  • Today customers can pay cab through credit cards, a process facilitated by mPOS solutions.

5. Digital customer service software

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Customer invoicing software is a powerful software for many SMEs. They can enjoy benefits such as safety, low cost, agility, edit features, and user-friendly interface. The customer service software enables transfers from a customer’s account to the employee’s or business account. It has reduced paperwork and delays in cash payments.

6. Transferring to the digital space.

The digital space is gain traction as many people prefer online channels to transact and receive funds. Online platforms are also open to online shopping and fast delivery. This makes it the first choice for many customers globally. The majority of SMEs are thriving due to online services and avoiding the brick-and-mortar stores for operation. The online platform provides better marketing and sale opportunities for clients and businesses.

7. Omnichannel banking

Fintech has enabled SMEs to provide an Omni-channel experience to their customer. The service provides different banking features such as mobile, print, and desktop apps. Customers can access multiple operations in one platform. The service is compatible with any device, and users can log in to view their accounts, financial data, and personalized financial services.

8. Data sharing and APIs

Today APIs have disrupted the normal banking experience and introduced new digital services. Fintech allows users to share data between service providers and customers. This has promoted open banking ecosystem services. SMEs are highly personalizing their services and financial management services. Fintech and SMEs have better services compared to the traditional banking systems.

9. Shifting to digital lending platforms

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Fintech companies have introduced positive changes in the financial market. People can access fast and reliable lending platforms. The services provide the funds fast and don’t require paperwork. However, they gather client information from the social media pages determining the amount to provide and paying habits. This has shifted the focus from traditional bank loan services to online lending companies.

Fintech has improved many SMEs ‘ operations making it easy to operate their business. The micro-business can connect to their customers easily without investing in many strategies such as marketing and sales teams. However, Fintech enables SMEs to save client data online and refer to it when needed. They can trace purchasing habits of every client and market the right products and services.

Fintech eradicates the need to market physically, which is annoying to the client. It has introduced automated tools which help provide customers with information on their social media. There are automated emails that refer to the client personally and provide information based on client preference.