Paying staff on time has grow to be more durable because of the pandemic, lamented Matthew Shia, proprietor of home-based bakery ONLYKAI. As a consequence of provide chain and cargo delays, provider deliveries are sometimes not acquired on time and this impacts the enterprise’ capacity to pay its workers.
“Manufacturing will get delayed. The fixed fear about not having adequate money stream to tide us over bulkier provider funds is at all times there,” stated Matthew.
Matthew will not be alone in dealing with the every day stressors of managing funds. Raynald Zhang, founding father of native eyewear enterprise Foptics, stated that as a result of its enterprise’ gross sales come from varied on-line and offline sources, conserving monitor of funds turns into tough.
“We attempt to use digital means to make transactions as a lot as doable so most transactions are recorded appropriately. There should exist an answer that may consolidate them for accounting to be executed easily.”
A small and medium-sized enterprise (SME) proprietor often wears a number of hats — from managing manpower, to paying for hire, advertising the enterprise, and investing in analysis. All these are duties and bills that one has to account for day in and time out.
A examine by the Affiliation of Chartered Licensed Accountants Singapore final 12 months confirmed that nearly seven out of ten small companies needed to reduce or cease their spending on account of pandemic woes. In one other examine, money stream mismanagement was cited as a serious motive why small companies fail.
A number of companies Vulcan Submit spoke to agreed that the most important bugbear to enterprise homeowners is money stream. With out that, companies have a low survival price.
At occasions, even essentially the most prudent enterprise proprietor could run into money stream issues. For instance, he/she could not have acquired cost from the consumer, however has to nonetheless pay suppliers to maintain the following challenge going.
“Salaries come into our consideration when money stream will get tighter. As a enterprise, we will’t have our staff working for us understanding that they couldn’t be paid on time. Although we want to enhance our income typically and scale the enterprise, we don’t think about doing it on the expense of not making well timed wage funds,” stated Matthew.
How Flex and ipaymy assist small companies clear up money stream issues
Happily, the fintech growth in recent times has led to new cost and money administration choices that give smaller companies larger entry to working capital, like Flex and ipaymy.
Since incorporating ipaymy and Flex into his enterprise, Matthew stated ONLYKAI’s money stream points are higher cushioned.
“Everybody chooses to stay on the safer aspect of issues now. With financing and credit score line options just like the one ipaymy and Flex provide, we will safekeep our money reserves for wet days whereas staying open to enterprise into enterprise offers that would presumably require extra capital.”
Flex, in partnership with Finaxar Capital ll, gives small companies with a line of credit score, accepted in beneath 48 hours. This line of credit score can be utilized by a Flex Visa bodily or digital card, with funds simply consolidated through a single platform.
In the meantime, by ipaymy, SMEs can faucet on their strains of credit score to pay for bills beforehand not doable through bank cards — akin to hire, salaries, invoices, and even company tax. This provides them an added choice to not contact their money assets in any respect.
Flex helps SMEs flex their money stream
Launched in 2021 by Singapore-based Finaxar Capital, Flex is a spend administration resolution collectively developed in partnership with main funds know-how firm Visa.
Helmed by Group CEO Dr Tan Sian Wee, the enterprise — which is at present within the technique of acquiring a licence with Singapore’s central financial institution — is backed by many enterprise capital companies, together with Monk’s Hill Ventures, 500 startups, and Cathay Enterprise.
“We digitise finance and supply an all-in-one spend administration platform that allows companies to manage and handle their spending, and monitor their transactions,” stated Flex.
“Enterprise homeowners may also use Flex to dispense Visa playing cards to workers for work-related bills like transport allowance.”
Historically, employees must ship receipts and file a declare with the corporate, and that may take just a few enterprise days for the claims to be cleared earlier than the employee is reimbursed. With Flex, small enterprise homeowners can empower their workers to handle their very own bills, with the peace of thoughts that spend controls and full visibility gives.
In the present day, SMEs can subject limitless Visa digital playing cards, and as much as 20 Visa bodily playing cards with Flex. Transactions made may also simply be tracked on the app by an administrator, which ensures transparency on funds.
Enterprise homeowners may also set spending limits on the Visa playing cards or freeze playing cards when required, the fintech agency stated.
“Funds made with a Flex card might be drawn down from the credit score strains prolonged by Flex by its accomplice, Finaxar Capital ll. This service, also called Flex PLUS, is interest-free for as much as 35 days, a credit score line that small enterprise homeowners can faucet on,” added Flex.
“The quantity of credit score can vary from S$3,000 to S$100,000, with approval given as quick as 24 hours, or inside 48 hours relying on the quantity required by the enterprise proprietor.”
If a buyer is unable to make cost in full, a 3 per cent month-to-month curiosity is charged on the excellent quantity. That is just like bank cards at conventional banks.
Flex has plans to roll out an app model supported by each iOS and Android by the tip of this 12 months or early subsequent 12 months.
Tapping on ipaymy to unlock “funds”
ipaymy is a Singapore-based agency that has presence in different international locations like Australia, Hong Kong, and Malaysia.
It lets clients pay their largest bills by bank card. This eases the burden on funds that often require money solely, like store hire, employees’ salaries, and tax funds.
SMEs get to satisfy month-to-month cost obligations whereas conserving money accessible to gas development, ipaymy stated.
“For instance, workplace hire is often collected in money. With ipaymy, customers can faucet on the service to unlock money to pay for store hire,” stated ipaymy.
“What they should do is to easily enter their bank card info, select a cost class, fill within the required info, and have the cost devoted for rental made in as little as two enterprise days.”
Whereas the payee receives the funds from ipaymy two working days later, the payer solely must settle the quantity as soon as their bank card assertion is due.
Paying with their card additionally permits customers to faucet on bank card rewards and cashback from banks.
“One of the best ways to handle money stream is to know the place all of your money goes and price range accordingly. All the time plan forward and be sure you have a gentle runway. Having a bank card helps as you’ll have the ability to have an extended timeline to work with,” stated Tze Hing, founding father of e-commerce enterprise Refined Asian Treats.
SMEs that arrange a enterprise account may also get a devoted account supervisor, and the supervisor might help as an prolonged service line to shortly tackle companies’ on a regular basis wants.
Different advantages of ipaymy embrace with the ability to schedule recurring funds, handle invoices, set cost reminders, and monitor cost standing in a single dashboard.
Why Flex and ipaymy are the all-in-one financing resolution for SMEs
By Flex, SMEs can handle and monitor the bills of employees by issuing them Visa digital or bodily playing cards. They will additionally set limits to funds to stop overspending.
What’s extra, by tapping on the credit score line with Flex through Flex PLUS, this interest-free cost time period of greater than 35 days helps give an extra enhance in money stream.
Enterprise homeowners can go a step additional with ipaymy by inserting their Flex Visa Playing cards on the platform to unencumber credit score for cash-only purchases.
SMEs may also faucet ipaymy’s all-in-one dashboard to ease their operational duties. They will schedule recurring funds, handle invoices, set cost reminders, and monitor cost standing through the one-stop platform.
Most significantly, the assets for working capital are expanded and there’s more money liquidity.
From organising a Visa bodily or digital industrial card to managing enterprise workflow, monitoring enterprise bills, to paying suppliers, each Flex and ipaymy are complementary as they supply companies higher money stream.
Ipaymy and flex are having an ongoing promotion proper now. Customers who use each ipaymy and Flex can get decrease transaction charges of 1.5 per cent by making funds with a Flex Visa card by ipaymy. This deal will probably be legitimate till the tip of March 2022.
SMEs can join Flex in simply 10 minutes right here.
Featured Picture Credit score: Flex ipaymy, Vulcan Submit