SMEs look to fintechs to reduce costs
Small- and medium-sized enterprises (SMEs) are choosing fintech solutions in an effort to reduce costs, as the cost of living crisis continues.
According to new research from embedded finance platform Sonovate, around half (47 per cent) of SMEs believe that using fintech tools could help their business become more efficient, while 45 per cent think it would save time.
Meanwhile, 35 per cent of SMEs said that using fintech tools could improve their customer service.
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“With global markets under pressure, inflation soaring, and the energy crisis at a critical point, this is a difficult time for businesses,” said Richard Prime, co-chief executive and co-founder of Sonovate.
“Fintech tools – while by no means the silver bullet – can provide some welcome relief for business owners by helping them to drive efficiencies across all areas of their business.
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“Using fintech tools can improve cash flow, automate operations, and enhance customer service, ultimately freeing up time for business owners to focus on the important things – notably growth, or simply staying afloat in the current climate.
“Recent developments such as open finance and open banking will allow fintechs to keep adding functionality and opening new avenues in finance that have not been available to SMEs so far.”
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