Categories: B2B Payments

Micro Firms Losing $2B A Year By Forgetting To Invoice

U.K. FinTech Amaiz, promoting its bookkeeping and banking services app, found in a survey that roughly one-third of micro businesses have trouble with payments, according to a press release.

The survey was conducted by 3Gem in February. It showed that around 15 percent of those surveyed still only take cash. Of those businesses, 31.5 percent said they had lost business because of that fact.

Amaiz found that 34.6 percent of those surveyed said they had forgotten to invoice a client at some point, and half of the businesses surveyed said they had lost 250 pounds ($295), with almost 8 percent counting their losses at around 1,000 pounds ($1,180).

All told, micro businesses lose 875 million pounds to 1.7 billion pounds ($1 billion to $2 billion) annually by forgetting to invoice.

“We know that micro businesses and sole traders are working long hours, and bookkeeping is an added burden at the end of the working day,” said Matt Goddard, head of Acquisitions at Amaiz. “Our aim is to reduce that burden, so we carried out the research to ensure we understood their struggles.”

To combat these numbers, the company is trying to battle perceptions that card or electronic payment systems are difficult. Amaiz’s new app helps to streamline those processes and reminds businesses of invoicing so they can keep funds on track directly through the app.

Amaiz is also partnering with SumUp in order to offer clients a new mobile card reader for free, allowing instantaneous pay and the money to go straight into the user’s account. The release stated the card reader is simple to set up and has a 1.69 percent transaction charge.

Among those set to benefit from the new features are tradespeople who do work at people’s homes and depend on payment via various means. The new app allows them to get paid before they leave.

Other functions on the app let users automatically record payments digitally.

Get our hottest stories delivered to your inbox.

Sign up for the PYMNTS.com Newsletter to get updates on top stories and viral hits.

——————————

LIVE PYMNTS ROUNDTABLE: MODERNIZING & SCALING FOR THE NEW NORMAL

The pressure on banks to modernize their payments capabilities to support initiatives such as ISO 20022 and instant/real time payments has been exacerbated by the emergence of COVID-19 and the compelling need to quickly scale operations due to the rapid growth of contactless payments, and subsequent increase in digitization. Given this new normal, the need for agility and optimization across the payments processing value chain is imperative.

Recent Posts

Fitbit Introduces $5K Emergency Ventilator To Address Urgent Pandemic Needs

Fitbit, the manufacturer of activity trackers and wearable technology devices, has received federal approval for a low-cost emergency ventilator. The San Francisco…

13 mins ago

British Car Sales Plummeted 90 Pct In May

May was a devastating month for Great Britain's auto industry, as sales fell by 90 percent. Aston Martin, the London…

14 mins ago

Simon Property Group Hits Gap With Lawsuit To Recoup Back Rent

All eyes in the retail sector are now on Simon Property Group, as the mall giant hauls The Gap into…

35 mins ago

Recreating Retail For The Recovery Period

Online commerce has soared during the pandemic, prompting retailers of all types and sizes to leverage how they use digital…

55 mins ago

The Battle Over Logistics Heats Up, With Amazon In The Crosshairs

As more and more retail commerce is done online, the battle to get goods to doorsteps with haste is becoming…

1 hour ago

Airlines Add Flights To Schedules As Demand Begins To Return, Block Middle Seats For Safety

American Airlines is intending to fly 55 percent of its domestic schedule and almost 20 percent of its international schedule…

1 hour ago