Visa Partners with Fundbox for New Payment Capabilities For Small Businesses

Visa(NYSE:V), a leader in digital payment, announced today that they are partnering with Fundbox, an embedded working capital platform for small businesses, to strengthen Fundbox’s platform with the power of digital payments. This collaboration began with the launch of Fundbox Flex Visa Debit Card, issued in partnership by Pathward, N.A., to help small businesses better manage cash flow.

In addition to the Fundbox Flex Card, Fundbox and Visa will work together in the coming months in an effort to introduce a series of new payment products, including a Buy Now, Pay Later (BNPL) solution for small businesses looking for flexible payment options when making purchases, and a push-to-card transfer option for instant fund disbursement through Visa Direct1, Visa’s real-time2 money movement network.

“Small businesses that embrace digital tools tend to be more resilient and better able to compete,” said Jack Forestell, Chief Product Officer, Visa. “As Visa continues to work towards digitally enabling 50 million small businesses by 2023, we’re excited to be teaming up with Fundbox to bring a range of new, digital offerings to the market from cards to installments to disbursement.”

Fundbox Flex Pay allows you to control your expenses and manage your payables. Fundbox has seen significant growth and quick adoption of the product, and reports payment volume increasing over 80% quarter-over-quarter, and the median active customer using it over five times a month. Fundbox Flex Visa Debit Card offers Flex Pay to card-accepting merchants. This allows for convenient payments for travel, supplies, and incidentals.

The strong performance of Fundbox Flex Pay has contributed to the growth of Fundbox’s working capital platform. Combined with their approach of embedding within their customers’ systems and workflows, and the increasing desire for people to build their own businesses, Fundbox has crossed over $160 million in annual revenue run rate.

“We’ve seen our working capital solutions become more embedded within our customers’ cash flow cycles as small businesses adopt digital payments to drive growth and operational efficiency,” Fundbox CEO Prashant Fuloria. “In order to accelerate the flow of funds to our customers, it’s critical for us to continue enhancing our core payment capabilities, and our partnership with Visa is a significant step towards that vision.”

According to the U.S. Census, 5.4 Million new business applications were submitted last yea. This is why small business owners are turning increasingly to digital payments to help them grow. According to Visa’s Global Back to Business Study, 73% of small businesses surveyed see accepting new forms of payments as fundamental to their business growth, and 59% said they already are or plan to, use only digital payments within the next two years.

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