BENEFITS OF FINANCIAL TECHNOLOGY TO SMEs

The increase in smartphones has dramatically changed the way small businesses operate.

Consumers can now browse a wide range of products online, select their options, pay and have them delivered to their doorstep.

It has changed consumer behaviour a lot and helped small businesses grow faster.  

The gradual integration of FinTech has given SMEs many opportunities to showcase their products and services through the introduction of e-commerce websites, social media ads, and other similar means. 

Fintech has helped SMEs in Nigeria in several ways, some of which are explained below: 

  • Banking 

In the past, SMEs were exposed to more financial risks such as theft and bad credit.

With financial technology in all aspects of society, SMEs have undergone an innovation that greatly reduces the appearance of the aforementioned dangers as payment can be made via direct deposit with code USSD and banking apps. 

  • E-commerce

E-commerce is also one of the media increasingly used by SMEs due to the many reliable payment options that have emerged from the technology.

You can choose any product you want from anywhere in the world, make secure payment and receive your order at the right time.

This has improved sales over time for SME owners who have adopted this medium. 

  • Financial Management

Once again, FinTechs have over time changed the way and the way SMEs manage their finances. Business finances can now be recorded, tracked and managed with digital financial solutions.  

Conclusion

The growth of FinTech has opened up many opportunities for small businesses. This allowed them to discover facilities that were once the monopoly of large companies.

Forward thinking entrepreneurs are encouraged to follow FinTech as it contributes a lot to business growth at this age.