In an announcement sent to PYMNTS on Wednesday (June 6), Arro Money said it has rolled out its account designed for entrepreneurs that operate independently. According to Arro, sole traders are an underserved demographic in the financial services market, often forced to rely on personal account services with inadequate cash management, tax and compliance offerings.
Sole traders looking to open an account with Arro must provide a proof of identification and letter to verify their address. Arro Money uses proprietary algorithms to verify the applicant, the company explained — since Arro does not offer financing, applicants do not have to endure credit checks to be approved for account services.
The solution is an omnichannel offering that works on mobile and other devices, the firm added.
“Seeing how sole traders have been under-serviced for many years, we wanted to create a financial services offering that worked specifically for them,” said Mahmood Ali Kamran, co-founder and Director at Marq Millions, which owns Arro Money. “We believe everyone should have access to appropriate financial services that meet their needs. By providing solutions that enable sole traders to grow their business, we’re actively supporting, not only these businesses, but also the economy as a whole.”
Arro charges sole traders a monthly fee for its account service, which includes cross-border transaction capabilities.
The challenger bank first launched its small business account service late last year following a Series A fundraiser. The firm provides financial services for both businesses and consumers — its small business account offers transaction processing, payroll on-boarding, and card products via Mastercard.
At the time, Arro said in a statement that “all individuals and businesses — no matter their size — have a basic human right to a bank account.”