This blog explores the features offered by fintech platforms that can help small businesses.
Small businesses are the engine that keeps the American economy in motion. According to the US Small Business Administration, there are 33.3 million small businesses across the US with more than 61.6 million employees working under it. These companies, which range from retail shops to tech startups, are the lifeblood of the economy.
However, despite their critical role, small businesses have to overcome a host of financial challenges to maintain their position in the economy. Here are some of those challenges.
- Maintaining a proper cash flow is essential for small businesses. According to Jessie Hagen, US Bank, poor cash flow management is the reason behind the failure of more than 82% of small firms in America.
- There are many businesses that still prefer traditional payment methods. Traditional methods can negatively affect the growth of a business as it is slow, costly, and requires manual intervention.
- Managing operational costs and vendor payments can be time-consuming and laborious when using manual methods. Moreover, these methods make it harder to track expenses and control budgets.
- For businesses dealing with international clients and vendors, managing cross-border payments is crucial. Using traditional methods for making international payments is impractical.
Fintech solutions have become a game changer for small businesses. It uses technology to provide simplified financial services. Fintech platforms offer improved payment solutions, reduced costs, and enhanced financial management, fostering innovation and efficiency. Overall, the fintech industry gives businesses more control over their money.
Zil.US is a financial technology company that offers financial services through partnerships with FDIC member banks. The cloud-based platform offers features that help small businesses solve all the financial challenges they face. Let’s check out those features.
Fee-Free Checking Account
Zil.US offers you a fee-free checking account. That is, for this account, you don’t have to pay any initial fees, monthly fees, or any other fee. You can invest the money that you may have otherwise spent on account fees back into your business, which can ultimately increase your profit.
Moreover, the checking account from the platform does not demand any minimum deposit. This helps a small business to open an account regardless of their current cash flow, giving them immediate access to essential financial services.
Small businesses often need funds immediately for various expenses such as payroll, inventory purchases, emergency repairs, etc. The platform’s checking account comes with no minimum balance requirement. This helps businesses to keep their funds liquid and ready for use without worrying about maintaining a specific amount in the account.
Another peculiarity of a checking account from Zil.US is that it can be opened from anywhere in the world. This helps small business owners who travel or live abroad easily access financial services without necessarily being in the US.
Send Your Payments Cost-Effectively Via ACH
Research shows that around 90% of total transactions processed in the US are via ACH. These transactions include direct payments, direct deposit, recurring bill payments, tax refunds, etc.
The ACH payments are processed via the ACH network, which facilitates electronic funds transfers within the US. The National Automated Clearing House, or in short, NACHA, is the regulating body that developed the technology behind ACH. Currently, NACHA continues to set guidelines and monitors the expanding ACH process. Zil.US is an official member of NACHA. So, ACH payment via the cloud-based platform is highly efficient and secure.
According to a recent study, nearly 53% of businesses prefer ACH payments for B2B transactions. This is mainly because of its convenience and lower processing costs compared to other methods. You can set recurring ACH payments with the cloud-based platform. That is, you no longer have to remember due dates and manually process each payment. You can easily settle payments online with little effort.
As a small business owner, the expenses that you may have to meet seem endless, and so the last thing you may want is to spend money for sending and receiving money. ACH offers you a low-cost solution. You can make ACH payments at an affordable cost with the cloud-based platform.
Pay Your International and Domestic Clients Effortlessly
If you need to pay an overseas vendor quickly or can’t rely on cash for paying a local contractor, a business wire transfer might be exactly what you need. Small businesses can make both international and domestic wire transfers with Zil.US payment solution In the US, international wire transfers are managed by SWIFT, and domestic wire transfers are managed by FedWire.
Wire transfer is basically moving funds electronically from one financial institution to another. They offer high transaction limits, which allow businesses to transact large sums of money without any worries. Moreover, they process funds more quickly than any other payment option since funds are sent directly from one account to another.
Make Instant Payments with Virtual Cards
You can make virtual card payments easily with Zil.US They are basically digital versions of physical cards and hold the same value. The cloud-based platform allows you to make any number of virtual card payments without any restrictions. The first step that you need to take to make a virtual card payment is to fill your wallet. You can make payments until your wallet is empty. Once the wallet is empty, you can easily recharge it. The cloud-based platform lets you make virtual card payments at any time. That is, you can make payments even on holidays.
Conclusion
Fintech platforms like Zil.US have helped small businesses greatly to overcome their financial challenges. The multiple features offered by the platform help businesses to increase their profitability. The numerous payment options, such as ACH, wire, and virtual cards, help businesses to make payments quickly and affordably.
