A major problem African businesses face is the inability to get quick and efficient value transfers. This means that sending and receiving funds is usually a challenge for many businesses. However, thanks to the development and rise of fintech companies, there are solutions to the payment difficulties businesses encounter.
One solution to the several payment challenges African businesses face is the use of virtual accounts. A virtual account is a fantastic alternative for quickly sending and receiving funds, as well as making and tracking payments.
This post will provide insight into why African businesses need virtual accounts and the best platform to open one. Let’s get into it.
What is a Virtual Account?
A virtual account is a non-physical account that you can fully operate through a mobile or desktop interface and offers access to various financial services. You may also refer to it as a digital bank account and it allows you access to services like creating an account, checking account information, making deposits and withdrawals, bill payments, and so on- all without visiting a bank location. A virtual bank account offers you everything that a traditional bank does with the benefit that you don’t need to waste time in any banking hall. With a smartphone and internet connection, you can carry out financial transactions without taking a step out of your house.
With a virtual account, businesses can experience more flexible functions than with a physical account. Virtual accounts provide flexible solutions to accommodate all types of customers regardless of location.
Why African Businesses Need Virtual Accounts
The ultimate power of virtual accounts lies in their ability to help businesses streamline their bank account structures. This in turn enables real end-to-end solutions that are flexible, accessible, and can be easily integrated into existing systems.
For African businesses that face payment challenges, here are some of the ways having a virtual account can be beneficial:
Automated Payment Reconciliation
This is one of the primary advantages that a virtual account offers your business. For businesses that receive thousands of transactions per day, tracking payments can be overwhelming and tedious. However, a virtual account solves this problem by mapping all payment collections from each customer with a simple process.
Lower Transaction Fees
Compared to bank transfers, virtual accounts significantly reduce the cost of payment fees. You don’t have to pay a percentage of the transaction amount each time money goes into your business account. A virtual account allows you to pay a flat fee for each of the transactions you make on the account.
Plus, the operating and maintenance of a virtual account significantly costs less compared to a traditional account.
Streamlined Operations
A virtual account can give your company a centralized structure which helps to improve transparency and visibility. With a virtual account, you have greater transparency about where and how money is flowing into your business.
Budget planning and account management are also way easier with virtual banks. This is because of the customizable nature of virtual banking which provides features like round-up savings and saving targets.
Enhanced Transaction Speed
One of the most annoying problems that affects customers and business owners alike is delayed payments. People want to be able to conduct transactions swiftly and seamlessly.
Virtual accounts have become popular due to their ability to process transactions very swiftly.
Advanced Security
Virtual banking ensures that your security is covered at all times. For example, Changera uses high-end encryption of users’ details to ensure that there is less risk of compromise of customers’ data. In addition, there are multi-factor authentication and biometric login features to mobile apps and websites for added protection against online scams.
Open a Virtual Account with Changera
Changera is a leading fintech platform that offers a wide range of financial services. One of the key offerings at Changera is virtual accounts which help businesses to receive payments globally. Think about secure payment solutions that can help your business streamline its payment processing, Changera has got you covered.
Changera allows users to set up virtual accounts in NGN, USD, EUR, and GBP to receive payments from customers all over the world.
Takeaway
Fast and efficient payments remain challenging for many African businesses. As a result, business owners have to seek better alternatives that allow them to send and receive funds more efficiently. One such alternative is the use of virtual accounts rather than traditional physical accounts. It is almost impossible for businesses with international customers to provide payment solutions via traditional banks. However, virtual accounts open a new world of possibilities where you can generate virtual accounts for your customers.
Additionally, when done right, virtual accounts can lower costs by reducing the number of channels involved in money transfers.
Want to support your business with quick payments? Download the Changera mobile app on the Google Play Store or the App Store to create a virtual account today.
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