As a small business owner, if you’re debating whether it’s worth it or not to go cashless and route all your expenses and payments digitally then you might have just run into one of the many issues of physical cash:
- You can’t fully track the money that went in and out
- You lost some money due to human error
- You might have even been robbed (handling large sums of cash is not easy for a small retail business)
Operating your business requires non-stop work from your side as well as all types of other time-consuming activities. Being your own accountant is one of them. You can’t afford to pay someone just for that even if you know that’s a painstaking task that takes up more time than you have.
And that’s just the beginning. If you already approached a bank for a solution in terms of financial help, you know that managing your income requires much more work than you initially thought.
So let’s take a look into the commercial bank requirements when requesting a loan. To get a loan, you’ll need to provide the following:
- Guarantees and collateral in a situation where small businesses usually have no other alternative than their own business
- Multiple years of audited financial accounting of all operations, signed and confirmed by reputable audit firms (which usually cost a fortune)
- Bankers cannot give credit unless the business has a credit history
- Large deposits (banks make money from interest generated by these)
- Business and customer references
- And much more burdensome documentation and proof
Getting everything as they want is not only time-consuming but also very expensive. And this doesn’t even guarantee that they will accept your application. In a lot of the cases, banks consider offering a loan to small business too much of a risk for too little return.
We’ve explored the alternatives for small business owners and reached the conclusion that a bank is just not needed anymore. A blockchain-powered solution, like NEXXO, can act as a complete payment gateway for all of your business needs.
Collect payment from customers
For a business in its early stages, having a POS (point-of-sale) device doesn’t seem like a priority, however, studies have shown that customers are more likely to make the purchase if the shop accepts their preferred method of payment.
The high costs of renting a POS device have been reduced significantly by NEXXO. It offers a fully functional device with only $1 per day and, on top of accepting the international providers such as VISA, MasterCard, American Express, it also supports Android apps and smart contracts, making its communication with NEXXO seamless for the user. This is possible due to being based on the open-source standard Android as well as being PCI (Payment Card Industry) and DSS (Data Security Standard) certified.
International providers are not willing to certify any devices unless years of security tests have been applied, because they are communicating directly with banks and payment networks. NEXXO succeeded to obtain all the necessary licenses which not long ago were accessible only to banks and large financial entities. A step further away from banks.
Pay your employees electronically
Payday can easily become the pay week when it comes to cash. Having to handover physical cash to each of your employees can be troublesome in many situations. That’s why most businesses are shifting to an e-payment solution.
Digital payments come with requirements from both sides. Even if you manage to open a bank account for your business, if your employees don’t have bank accounts you won’t be able to make the process more efficient. Actually, 1.7 billion adults don’t have a bank account. Maybe the benefits aren’t enough for them to consider it, maybe access to a bank is troublesome, or maybe they don’t want a bank to have access to their funds. All of these are valid reasons, but for you to quickly and regularly pay their wages electronically you need them to have an account.
NEXXO comes with a win-win solution, enabling you to create a NEXXO bank ard for them. NEXXO Payroll offers employees access to their salary via a bank card while you can manage and track all the payments from a mobile app. Mobile access is available to your employees too; on their side, they are able to confidentially access all the human resources (HR) information that large companies offer, like tracking hours, overtime, deductions, bonuses, and labor documentation. Two and a half billion people have a smartphone. Most likely your employees do too, even if they’re lacking a bank account. As previously stated, these services become the norm in business due to the ease of setting up and operating. You don’t need a bank to handle those when you can do it from your phone.
Pay suppliers and bills electronically
Any business owner knows the importance of paying his or her government taxes on time. There are also government licenses and other mandatory fees on top of the monthly electricity, water, Internet, and other bills that are indirectly powering your business.
NEXXO, in this case, proposes a solution that not only makes it easier for you to save money but also supports recurring payments, which can automate the entire process without you ever having to worry about it. At the same time, if any of the providers or the government is asking for proof or documentation, instead of having to pull it out yourself, NEXXO can export wage files, commercial registration certificates, personnel employment documentation renewals, visas, and other paperwork requirements at the press of a button.
Actually, NEXXO’s “Mobile Cash management solution” is much more than a payment manager. It’s a complete dashboard for any business owner who can manage their operations and funds via cash, check, card, wire transfer, or NEXXO tokens directly from their mobile phone. These can be wired forward to make payments to employees, suppliers, utilities, or the government. Everything in the application can be accessed anytime, anywhere and keep you far, far away from a bank.
Get a micro-loan without all the documentation
This is where things get interesting and much more different than commercial banks, where options are limited by their risk-taking templates. As previously stated, getting a loan as a small business is almost impossible in today’s environment. Banks, who offer the best deals, have requests that are very hard to comply with as a small-sized business, and third-party services offer bad deals that don’t make it worthwhile.
NEXXO knows that financial needs can make a world of difference for a business in its early stages. That’s why it created a win-win system where any business owner can obtain a micro-loan or an expense card without all the paperwork. NEXXO is powered by the blockchain, so when the business has used the platform’s cashless features for a period of time, the data is registered on the NEXXO blockchain without any possibility to be changed or faked. This gives NEXXO the ability to make an audit of businesses’ revenue and spending trends upon request, almost instantly. The NEXXO Micro-Financing solution then proposes a partnership with a locally regulated lending entity and offers you loan services that you qualify for. The issued loan is registered on the blockchain under a smart contract and executed once the terms are met. You won’t ever need to step into a bank.
Blockchain technology made cashless solutions possible without the need of going through the extensive process imposed by banks, and NEXXO makes this a reality for small business around the world. Not only does it offer greater convenience to your customers, but it also improves the way you, as a small business owner, are running your business. Cashless means complete traceability, improved levels of security, and new opportunities to evolve!