The digital transformation and innovation in our ecosystems are strengthening today’s increasingly borderless economy. As businesses follow this trend and expand internationally, they often struggle to find appropriate tools to help widen their business beyond borders.
A fundamental factor that a business needs to consider when entering new markets is the right global payment solution to enable them to send and receive funds and transfers in other countries. The complexities of cross-border payments can impact the ability to scale a business internationally.
But, when there’s a problem there’s also an opportunity. Thanks to numerous digital, alternative payment methods, going global is now easier. FinTech companies provide now numerous payment solutions from mobile payments, e-wallets, international money transfers, exchange, blockchain, and so on.
At Wallter, as a Financial Institution and a leading European Electronic Money Institution we know that when used adequately, payments can be a key facilitator of global expansion.
How Can EMIs Help Businesses Transcend Borders
Ready to use infrastructure – small and medium businesses that would require to rethink, change and integrate new technologies in their existing operation infrastructure, can rely on ready-to-use platforms. Moreover, businesses can deal with foreign exchange rates in an easier way.
Cost-effective – businesses are leaving money on the table due to operational inefficiencies related to their current payment processing system. Time spent with inbound payments could be spent on more strategic efforts. EMIs payment platforms increase speed and reduce payment costs between businesses and their suppliers, customers, employees, and governments.
Regulatory ease – Perhaps the most critical aspect of EMIs is that they make compliance with regulatory and tax obligations much more manageable. So, businesses do not need to hire legal and financial experts in a particular country to make the necessary changes and be compliant with payment for the market they desire to enter.
Cybersecurity – Know your customer (KYC) & Anti-money laundering (AML) compliance is one of the essential requirements for any licensed EMI. Being highly regulated financial institutions, when working with an EMI businesses can reduce their worries around fraud or being hacked.
Sectors That Can Benefit From Going Global
With easy cross-border payments, businesses are opened to new opportunities. Some of them include expanding their services and products portfolio with new partnerships, exposure to foreign investment opportunities, optimizing costs with cheaper or diverse raw materials, overcoming competition, and many other benefits.
Some industries are more likely to go global and receive the aforementioned benefits. The following business sectors are already undergoing a global expansion, with many businesses reaching new markets thanks to alternative global payment methods.
Digital marketing — Businesses focusing on online marketing can now offer their products and services worldwide, as the demand for digital marketing has expanded. After all, 93% of all interactions on the Internet start by using a search engine.
eCommerce — Selling products and services is one of the fastest-growing international sectors, with the projected global revenues being $5.4 trillion in 2022.
Gaming and iGaming — The video gaming industry was esteemed at $178.73 billion in 2021. The online gambling sector is also undergoing enormous expansion, with the market value expected to grow to $100 billion by 2026.
Blockchain market – The market size is projected to grow from $4.9 billion in 2021 to $67.4 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 68.4% during the forecast period.
The popularity of alternative financial service providers has skyrocketed, accounting for higher ROI and valuation multiples than most global universal banks. For the reasons stated in this article, it’s safe to say that if you are a business owner looking to expand globally, you can rely on alternative payment providers, such as Wallter, to enable your company to perform conveniently, quickly, and securely global payments.
Open your Wallter account now to get multiple, cross-border payment solutions.