Flywire and FranConnect Develop B2B Payments Solution for Franchisors

Flywire and FranConnect have partnered on a B2B payments solution for franchisors.

The addition of Flywire’s global payments enablement and software to FranConnect’s franchise management technology will make it easier for franchisors to collect royalties and fees from franchisees around the world, the companies said in a Wednesday (Feb. 22) press release.

“Our brands leverage the FranConnect platform for everything from unit sales and territory development, to brand consistency, performance management and royalty management but a critical missing piece is providing a seamless payment experience, for everything from set-up fees to managing ongoing royalty fees,” FranConnect CEO Gabby Wong said in the release. “Flywire enables us to meet that need, and our users will look to their payments capabilities to help them open up new growth areas both domestically and abroad.”

PYMNTS research has found that small- to medium-sized businesses (SMBs) said a lack of access to the necessary financial services to power their international reach is a key constraint.

Twenty-seven percent of SMBs see the complexity of cross-border payments as a hindrance to their ability to grow, and just 23% of SMBs found their current cross-border payment solutions to be very or extremely satisfactory, according to “International B2B Payments: A Guide for Entrepreneurs and Digital Businesses,” a PYMNTS and Payoneer collaboration.

The Flywire-FranConnect partnership will help franchisors overcome headwinds they encounter when expanding their business internationally, including the complexities of complying with different countries’ regulatory and statutory requirements and collecting payments from different countries, in different payment types and currencies, according to the press release.

With Flywire’s global payments network working with FranConnect’s platform, franchisees can pay in their local currency and preferred payment method and franchisors can more easily collect royalties and see the status of payments, the release said.

“With our powerful integration, the 1,500 franchise brands who use FranConnect to manage their operations can also rely on Flywire to power their critical transactions, all within a familiar interface,” Flywire Senior Vice President of B2B Greg Leven said in the release.

Companies looking to do business in other countries must consider how they will get paid, Flywire CEO Mike Massaro wrote in a PYMNTS article posted in 2021.

“Take into account all sides of the payment equation — including how customers will be invoiced, what currency they will pay you in and how you will reconcile those payments upon receipt,” Massaro wrote at the time. “It’s all connected and can have an important impact on your success.”

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