Today in B2B payments, JiffyStock will now accept cryptocurrency for B2B wholesale payments, while Mondu grabs $43 million for expansion of its B2B buy now, pay later (BNPL) services. Plus, ACH payments are on the rise in the B2B sector, B2B payments innovation has been hampered by a talent shortage, PayMate India files to go public and Kennek adds plug-and-play credit infrastructure on Mambu’s cloud platform.
B2B ACH Payments Are Experiencing a ‘Boom’
More than two-thirds (68%) of chief financial officers report increased use of Automated Clearing House (ACH) transfers at their firms due to digitization since the pandemic’s onset, making ACH the No. 1 payment method in terms of being used more frequently, according to the “Real-Time Payments Tracker,” a PYMNTS and The Clearing House collaboration.
Originally developed in the 1970s, ACH payments enable money to be moved electronically between bank accounts, and the payments typically settle within one to three days. It has become one of the primary payment methods in the U.S. for business uses such as paying employees, taxes and vendors.
The benefits of ACH include speed, low cost and a contactless process — a combination that is leading many organizations to expand its use.
Melio Intros International Payments for SMBs
B2B small business-focused payments platform Melio has launched an international payments initiative that will allow small businesses in the U.S. to make payments to suppliers in more than 70 countries around the world by July 1, according to a Tuesday (May 31) press release.
Melio said in its announcement that 63% of small businesses have had to alter their supply chains in the past six months, and cross-border payments have been growing quickly in that time, meaning small businesses that aren’t equipped to handle them are often left behind or left out. Melio’s international payments solution brings the capabilities to a wider range of vendors.
Talent Shortage Is a Key Barrier to B2B Payments Innovation
As businesses consider digital payments innovation, one of the key impediments they face is a lack of in-house knowledge about the technologies they’re looking to adopt.
Twenty-eight percent of businesses reported that they have a difficult time obtaining and retaining the key staff they need to effectively implement and manage innovations, according to “Accelerating the Time to Realized Revenue,” a PYMNTS and Mastercard collaboration based on a survey of 409 corporate executives.
Both large and midmarket firms reported having trouble hiring and retaining the staff they need to create an informed strategy, implement new technologies and manage them.
B2B Retail Marketplace Betastore Nets $2.5M to Outfit Shops in Africa
Nigeria-based B2B retail market Betastore has raised $2.5 million to help informal shops in West and Central Africa with financial issues and stock-outs. By cutting out middlemen, the marketplace will give informal traders access to fast-moving consumer goods from manufacturers and distributors to make the products cost-competitive. It will collaborate with logistical partners to ensure one-day delivery.
Betastore aims to grow beyond its existing three markets—Ghana, the Democratic Republic of Congo and Cameroon—by the end of the year. CEO Steve Dakayi-Kamga said the important thing is to scale the company through an asset-light strategy, not having “any capital or labor-intensive assets” on warehouses or its delivery fleet.
The company plans to grow to more than 100 cities in Nigeria, the Ivory Coast and Senegal before the end of the year.
Kennek Debuts Plug and Play Credit Infrastructure on Mambu’s Cloud Platform
Lending solution Kennek will debut a new “plug and play” credit infrastructure on cloud banking platform Mambu to help alternative lenders and credit investors with credit sourcing. Building on Mambu’s composable cloud platform, the company will offer a “highly flexible” loan solution.
The platform will work with businesses to help launch and run things, and will let customers streamline all their middle-office and back-office functions, and will give structure and access to risk management tools.
Kennek has seen the demand for Software-as-a-Service (SaaS) platforms, lenders and credit investors, and will be expanding into continental Europe.
JiffyStock Will Take Crypto for B2B Wholesale Pay
B2B wholesale market JiffyStock has begun accepting cryptocurrency for payment, according to a Monday (May 30) Digital Journal report, allowing businesses on the platform to use crypto to buy and sell wholesale goods and services.
The report noted that major B2B wholesale markets often don’t have the tech to support newer methods of payments.
Rami Altawara, CEO of USASCT, the company behind JiffyStock, said innovation in the wholesale eCommerce industry has been lacking.
B2B Payments Firm PayMate India Files to Go Public
Payments and service provider PayMate India has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India to raise funds through an initial public offering (IPO). The company wants a fresh issue of ₹1125 crore and offer-for-sale of ₹375 crore. Up to 10% of the offer will remain available for allocation to individual bidders, with around 75% for qualified institutional buyers.
The proceeds will go toward new investments in new places, the company said. PayMate is a multi-payment category platform using vendor payments, statutory payments and utility payments, allowing for a “fully integrated” B2B payment stack. It allows consumers and vendors, suppliers, buyers, dealers and distributors to use commercial cards to make payments of direct taxes, utility payments and more.
Mondu Notches $43M for B2B BNPL Services
Buy now, pay later (BNPL) company Mondu has raised $43 million in a series A funding round, the firm announced in a Monday (May 30) blog post, allowing it to “continue to invest” in its product, drive consumer acquisition and support its expansion into more European countries, starting with Austria in June.
The Mondu BNPL solution will offer the installment pay options for business-to-business (B2B) transactions and at checkout, and will reportedly be easy to integrate with APIs, plug-ins and checkout widgets.
This will let business customers enjoy the kind of frictionless checkout they want from business-to-consumer (B2C) transactions, Mondu said.
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