Canadian financial technology provider Central 1 is linking its credit union customers to a new solution designed to streamline accounts receivable for small businesses.
The company said in a press release Wednesday (March 13) that it is combining its small business online invoicing solution with its Request Money tool, rolling the solutions into its single digital platform that integrates the Interac e-Transfer Request Money solution, which Central 1 said will reduce fees that small businesses face when using traditional online payment solutions. The tool links directly into small to medium-sized business (SMB) accounts, the company noted, allowing businesses to avoid the cost of card acceptance.
Synergy Credit Union is the first to offer this combined service to their small business customers, said Central 1.
"For small businesses in particular, the timely collection of outstanding payments is crucial to their success," said Central 1 Senior Product Manager Randy Johal in a statement. "This integrated invoicing and payments solution leverages Interac e-Transfer Request Money, an enhanced user feature, combining two steps into one and, in turn, more quickly putting the hard earned money back into the pockets of small business owners."
"Through this exciting partnership with Central 1, we're able to leverage innovative technology to provide our members with a more simple, streamlined and faster invoicing and payments experience," added Synergy Credit Union Chief Innovation and People Officer Trevor Beaton in another statement. "Credit unions are already the financial institution of choice for small business owners, and Request Money integration with online invoicing stands to bring the community a tremendous amount of added value and efficiency."
Credit unions are increasingly collaborating with FinTechs in a bid to enhance their small business services.
In a previous interview with PYMNTS, Trevor Dryer, co-founder of small business lending firm Mirador, said credit unions can often provide a more personalized and localized service for SMBs.
"What differentiates credit unions in the small business finance space is that they are very member-focused," he said in December. "They are able to offer their small business member bases competitive rates for funding, in addition to resources and personalized support."