Back in the day micro and small businesses preferred cash transactions over digital payment transactions.
Some of the reasons small businesses prefer cash payments from their customers are possible delays in receiving payments, the trust deficit that is prevalent in our clime, network failure between sender and receiver banks, and the inability for businesses to increase their rates of turn over within their own timelines.
With the increasing number of Fintech in Nigeria and Nigerians getting more tech saavy than we have ever been, there is now a clear shift in the adoption of the various forms of digital payments.
Consumers are increasingly using bank apps, online bank payments, and debit cards for transactions.
Mobile money and e-wallets are also gaining traction, particularly for relatively low value and high value transactions.
An average millennial or Gen Z prefers to make their payment transactions swiping their cards, doing online transfers via their #USSD channels, or via virtual accounts.
The growing youthful population in Nigeria also drives the increasing levels of smartphone penetration and a growing digital payments culture across board.
Small business that are willing to thrive have to incorporate digital payments and collection methods to serve their customers and run their businesses in the most efficient ways.
According to PWC MSMEs 2024 Survey, Micro and Small Businesses in Nigeria account for a large percentage of businesses and employment and contribute substantially to the GDP.
However, they also face challenges such as limited access to finance, infrastructure deficits, and regulatory hurdles.
The report further highlights the urgent need for digital transformation among other needs. Some of the core areas of digital transformation for merchants in this regard are enhanced customer experience, digital operations, and business model transformation.
The financial lifeblood of any retail business is an efficient payment system which can be powered by a reliable and efficient digital bank.
This allows business owners to manage cash flow, fuel growth, and meet other operational obligations.
Bank9ja Merchant Collect, the 9PSB cardless payment gateway for business owners is developed to offer seamless, cost- effective instant settlement to merchants to drive payment collections throughout the country irrespective of location or business size.
Since the year 2020, relevant regulatory bodies such as the Central Bank of Nigeria has continued the regulatory drive to increase financial inclusion and cashless payments in the country. And digital payment service banks have been primarily obligated to ensure the financial inclusion of individuals and businesses alike. Every business owner or merchant now more than ever before needs seamless access to reasonable and sustainable financial services that they can afford them without putting their businesses at risk.
Not only does the Bank9ja Merchant Collect offers merchants features that help them ease the burden of unsustainable terms of usage, it also helps merchants better manage their finances, plan for the future, and potentially expand their businesses by providing access to capital and resources.
With the Bank9ja Merchant Collect, business owners have access to its self-onboarding platform and instant settlement feature.
The platform is a bank-agnostic platform and so merchants can make payment settlements to any Nigerian Bank of their choice, and can easily accept payments through various methods, including QR codes, USSD, and direct transfers.
This system is designed to provide merchants with a reliable and convenient way to collect payments, ultimately boosting their business operations.
For business owners that own physical stores alone, Bank9ja Merchant Collect provides the access to multiple virtual accounts for payment collection in their stores. For business owners who have online stores, Bank9ja Merchant Collect can be seamlessly integrated to their websites and social media pages to enhance customer service and direct payment methods for customers who want to make quick payments for a purchase. The Bank9ja Merchant Collect can also be onboarded by starter businesses that are yet to be registered.
Bank9ja Merchant Collect is not only making life easier for the customers of these businesses, but also, making life easier and more efficient for business owners with its robust dashboard services that help merchants monitor in real time payment inflows and outflows.
In 2025, business owners should no longer have to deal with an inefficient payment collection system. The Nigerian businesses have so much potential to increase the GDP year on year and business owners must learn to choose efficient ways to do business.
The Bank9ja Merchant Collect helps reduce payment collection challenges for retailers along with operational inefficiencies, and increased risks of fraud and errors which can ultimately impact their bottom line and overall business health.
9 Payment Service Bank (9PSB) was founded in 2020, becoming Nigeria’s first payment service bank Licensed by the Central Bank of Nigeria (CBN) to provide unique banking services to the unbanked and underbanked. Operating as a fully digital bank, 9PSB provides innovative financial solutions to individuals, businesses, and a broad range of digital payment solutions to fintech and other financial institutions. At 9PSB, we firmly believe in making our services accessible to all by leveraging digital financial technology and innovation to provide simple, secure, accessible and inclusive digital payment solutions that are in Nigeria.
