Banker S.A. July 2014 | Page 38

SME’S: INNOVATION Small guys, big business Innovative banking solutions are being created to help the small business sector, writes Samantha Perry ensuring the system protects both users and merchants. Merchants can cash out money using vouchers, so they don’t even need a bank account to use the service. Merchants pay a 3,5% transaction commission fee. FNB is moving into this space too, says Alan Scoular, CEO of FNB Merchant Services. FNB has signed a deal with UK company MPowa Technologies to offer its mobile payment device in the country. mPowa uses a free mobile phone app and a reader, which connects to a smartphone or mobile device by plugging into its headphone socket or connecting via Bluetooth. It enables companies and individuals to accept card payments from their customers, and is driven by an app on the merchant’s phone, he says. “The agreement will involve First National Bank embedding the mPowa tools and software into FNB’s own merchant services, which will enable it to tailor the look and identity of the card service while maintaining the sophisticated and patented functionality that mPowa offers. We are in the final stages of certification and design, and will be active with the product in the coming months,” he states. The banking industry is taking active steps to help small business with payment solutions G overnment is looking to small business to boost South Africa’s economic growth, but small businesses need to be enabled by appropriate banking solutions. Payment solutions are often criticised as being too expensive (credit card machines, for one), particularly for very small businesses. The local banking sector has taken a renewed look at the lower end of the market recently, and some interesting products have hit the streets. Standard Bank’s BizLaunch product aims to offer start-up companies a range of banking and support services under one roof, eliminating the need for a business owner to try to source these from different providers, the bank says. It includes a transactional banking package, free access to Pastel online X