6 effective ways FinTech can grow your Business
Every business sector has witnessed technological evolution hugely in their respective domains. FinTech is an emerging financial technology solution that is helping different business models and sizes to improve their efficiency and performance.
FinTech offers unique business financial solutions that make transactions easy, secure, and flexible for the users(customers) and for businesses also. Fintech solutions have a great potential to enhance your business productivity as it has already helped numerous business sectors with their advanced technology solutions.
Here, in this article, we will be talking more about various FinTech solutions that can help your business in expanding its reach, service, customer satisfaction, and productivity. Let’s proceed with the aim of better FinTech business solutions understanding.
How does FinTech help businesses?
FinTech solutions help businesses with the precise management of their financial resources. Keeping accurate records of an organization’s cash flow, providing easy payment methods to consumers and clients, digital payment modes, a wide range of functionality and features, 24/7 availability of the services, banking services at the office, and many others are the different ways in which FinTech is helping businesses to improve their productivity and customer service.
Now let’s see the distinct ways FinTech is contributing to the growth of a business.
- Simplified digital payments methods
Every company needs to manage its financial transactions accurately and effectively. FinTech solutions offer a variety of digital payment methods that do not get influenced by geographical location, banking service provider, and time zone.
2. Automating accounting
Financial operations and assistance are essential in any firm, but they’re especially important when it’s small and expanding. You can make smarter judgments about where and when to invest your money, whether or not a loan is a good idea, and whether or not you can afford your next hire if you have a clear grasp of your finances.
Despite this, over half of all small firms lack a bookkeeper or accountant. Fintech applications are emerging to fill some of these voids. While they can’t completely replace the skills of a real-life professional, they can help to reduce the workload in the finance department.
3. Expanding finance options
To establish and grow their businesses, small business owners require financing. In 2018, over half of all business owners said they needed outside funding for their company. Traditional small business loans, equity fundraising, revenue-based finance, and small business-specific credit cards are just a few of the offerings that banks and fintech have tried to address this massive market with. Some — or all — of the application process has been moved online as part of these efforts, making it quick and easy for business owners to understand their options.
4. Innovating insurance
Traditional business insurance methods are being disrupted by fintech firms, with the goal of delivering more convenient products for small business owners. The first major change is that business owners will be able to apply for insurance policies online, making the procedure easier. The demand for online insurance is only expected to increase. While only a quarter of SMBs have purchased insurance online in the past, 65 percent expect to do so in the future.
5. Biometric security
The possibility of hackers is one of the most prominent concerns among finance organizations operating online. To maintain user trust, fintech companies must provide the highest level of security.
This is where biometric security comes in. It is a multi-step security standard that encompasses fingerprint recognition, face recognition, and iris recognition, and is one step ahead of alpha-numeric security.
6. Customer insights and engagement
One of the most significant advantages of financial technology is that it provides businesses with detailed information on their clients. Fintech for payment processing reveals customer patterns and delivers data on interests, wants, and needs to businesses. Small businesses can boost their marketing for prospects and current consumers by utilizing the data supplied by fintech.
Square, for example, offers merchants free customer interaction capabilities such as private messaging with clients, a customer directory where merchants can view loyalty activity, email collection tools, and customer insights such as frequency of visits.
Businesses can also connect marketing capabilities with fintech payment processing, such as automated email campaigns and Facebook user feedback requests. These functions are not available in traditional point-of-sale systems.
Conclusion
There’s a lot of technology out there, and paying for a dozen fintech apps at once not only increases your costs but also increases the likelihood that you and your team won’t use them all to their full potential. Instead, examine your main business priorities and hunt for fintech solutions that will help you achieve them. If managing cash flow has been a long-standing challenge, for example, look into fintech tools that are meant to provide greater financial awareness and cash flow predictions. If you’ve been thinking about starting a retirement plan, look into fintech companies that have made the advantages more accessible.
Small businesses continue to benefit from technological advances. Take the time to consider how fintech could help your company satisfy its needs, and then use the innovation to your benefit. ultroNeous Technologies provides mobile app development solutions for Fintech solutions. Contact us now!
