Problems from the management of cash-flow systems are still a significant concern for small and medium-sized businesses, constituting a vast number of trading merchants located in the United States, as per the research conducted by Karmic Labs and MasterCard.
The payment in B2B businesses have scourged the segment to a vast extent, however, with pain points appearing in no small extent, the industry is digitizing and shifting at a tremendous pace.
In the past, merchants used to make payments through analog methods. The entanglement of the payment methods in B2B along with a fixed price of the digital solutions has kept small-and-medium-sized businesses – merchants to be specific – from getting away from the analog payments.
It has been reported that last year, businesses in the United States still managed to make half of their payments through check as per the reports suggested by AFP.
With digital methods expanding to a large extent, so are the options. New challenges are being faced by small-medium sized businesses are transpiring. In recent times, a whole new set of offerings has precipitated the merchants in digitizing a large chunk of their cash flow.
Even though the checks are still the source of payment for business credit and debit cards, invoicing, along with personalized payment tools and PayPal, which are getting extremely famous as per the research conducted by Karmic Labs and MasterCard.
Most of the time, sellers are using different methods for personal and business use and others for both of the uses. However, with the process of payment methods going digital and speeding up at a higher rate, the payment process is improving a lot.
This is going to develop a market for new solutions. The existing problem at hand is changing with digital payments going unreachable; the issue, on the other hand, is now relying on the fragmentation and complexity existing in the options for payments with no proper suspension for reconciling and streamlining the various types of methods.