Zip’s award-winning Tap to pay technology is now available for its business customers – helping to boost cash flow and take control of their financial future with one tap payments
Sydney — 8 September, 2021: Leading global Buy Now, Pay Later (BNPL) company, Zip Co Limited (ASX: Z1P), has today announced the official launch of Zip Business ‘Tap to pay’, a new feature enabling small business owners to buy now, pay later anywhere that accepts Visa and shows the Contactless Symbol at checkout.
Zip Business Trade Plus already provides SMBs with access to a simple, interest-free and flexible line of credit of up to $150,000, which can be used to pay any bill or invoice, or can be spent at its network of more than 35,000 merchants including Tradelink, Holcim Australia and Paramount Liquor. In an extension of the ‘Tap to pay’ consumer feature launched in 2020, Zip Business ‘Tap to pay’ significantly expands the number of places Trade Plus customers can use their credit, for an easier and smarter way to pay.
In line with social distancing mandates and the rise of contactless services, use of digital wallets has skyrocketed. In the 12 months from March 2020 to 2021, the number of monthly digital wallet transactions increased by 90 per cent, with the number of transactions rising from 36 million to 68 million. Over the same period, the total dollar value of digital wallet transactions more than doubled, with the value of monthly transactions rising to $2.1 billion, up from $1 billion.
While the global pandemic saw a huge uptake of business-to-consumer (B2C) pay-by-installment services, there continues to be a substantial gap in the business-to-business (B2B) BNPL market. Zip Business ‘Tap to pay’ addresses and solves this crucial customer need for Australian SMBs.
With over two million small businesses in Australia, the universal pain point is cash flow and access to capital – this has only been compounded by the pandemic. Some of the industries hit particularly hard include on-premise retail, hospitality and construction. The Australian Bureau of Statistics Business Conditions and Sentiments Report revealed that 25 per cent of Accommodation and Food Services and 23 per cent of Retail trade businesses are finding it difficult to meet their financial commitments.
‘Tap to pay’ harnesses the latest digital wallet technology for contactless payments, so Zip Business customers can pay for goods and services beyond the Zip merchant network, enabling both SMBs to pay easier and a world of new merchants to accept Zip payments.
The launch of Zip Business ‘Tap to pay’ marks another milestone in Zip’s mission to put the financial well-being of its customers and merchants at the heart of everything it does. The technology behind ‘Tap to pay’ was recently named Finder’s Best Buy Now Pay Later Innovation 2021.
Geof Alexander, General Manager of Zip Business, said:
“Small businesses are the lifeblood of the Australian economy with entrepreneurs taking incredible risks to create a business around what they are passionate about. Now facing the ongoing challenges of COVID-19, entrepreneurs are fighting hard and putting everything into finding a way forward – and at the moment, they need support.
“At Zip Business, we’re building the pieces to help Australian entrepreneurs to manage cash flow – supporting them with fair, transparent and flexible payments options to give them longer to pay and make their lives easier.
“Adding another layer of functionality to our Zip Business Trade Plus product, ‘Tap to pay’ brings award winning experiences to small businesses, helping to boost cash flow and fund growth, whatever the world decides to throw at them. In the first week since launch, we’ve seen Zip Business customers use ‘Tap to pay’ 4.5 times on average.
“We know what it’s like to grow from being the little guy and we want to give our customers the tools to fulfil their business dreams.”
In order to be eligible for a Zip Business Trade Plus account, businesses must have an active ABN or ACN, have been in business for six months and generate at least $5,000 in sales per month. Small business owners can apply for a Zip Business Trade Plus account here. Zip’s lending criteria applies.