VMPL
New Delhi [India], May 24: In India, where the entrepreneurial and startup scene is seeing explosive growth, digital payments are the lifeline of global business. Yet, many entrepreneurs still face challenges with international transactions due to high fees, security concerns, and cumbersome processes.
According to Payoneer’s 2024 SMB Barometer,Indian small and medium-sized businesses (SMBs) are focused on global expansion, particularly to the US, Australia, China, and the UK – countries to and from which most payments are made. 62% of Indian entrepreneurs surveyed listed ‘access to new customers’ as the key benefit of globalisation for their business, but with over two thirds of respondents saying their business is the sole source of income for their family, it’s absolutely crucial that these businesses are able to gain and retain that global customer base.
The pain of cross-border payments in India
Indian entrepreneurs face significant challenges when it comes to managing cross-border payments.
According to a recent study, 82% of businesses in India lack faith in their bank’s transparency around cross-border payment costs. Exchange rate mark-ups can be up to 5% of the transaction amount, and banks also charge steep intermediary fees as well as maintenance fees. High transaction fees and unfavourable exchange rates compound the problem, with the result being reduced profit margins that have a knock-on effect across the wider economy.
Cross-border payment pain points:
– Lack of fee transparency
– Extortionate exchange rate mark-ups and transaction fees
– Compliance requirements
– Slow processing times
– Language and cultural barriers
Bank fees are far from the only obstacle facing Indian SMEs. Complex compliance requirements, slow processing times disrupting cash flow, and language and cultural barriers make international trade rife with roadblocks. These are particularly acute
problems for startups who operate on tight cash flow and cannot afford to lose time or money. Simply put, payment inefficiencies remain a major barrier to global growth. A resolution is long overdue if we are to support a future-focused approach to digital banking for Indian SMEs.
Alternative global payment solutions
While there are several options for managing cross-border payments, the core need for Indian businesses is a solution that optimises transparency, speed, security, and simplicity.
Some entrepreneurs continue to use traditional banks for their international transactions due to familiarity, but with those high transaction fees, lengthy processing times, and lack of flexibility, the majority are now moving to more modern solutions. Digital wallets or third-party platforms may offer faster transfers than in the past, but hidden fees are still a problem. Setting up local receiving accounts in multiple regions is an impractical – and often infeasible – suggestion.
So, what does the ideal global payment solution look like?
-Low and transparent international fees
-Fast settlement times to improve cash flow
-Global receiving accounts
-Compliance with Indian regulations and banking infrastructure
-Support tailored to regional business needs.
By understanding these essential needs, entrepreneurs can better evaluate solutions that align with their growth goals and are sympathetic to their operational constraints.
When you compare these essential needs against mainstream offerings, one provider stands out as a global payment solution for Indian startups that’s tailored to local needs: Payoneer.
Comparing global payment features
Payoneer for Indian entrepreneurs
For those looking for the best payment gateways for Indian entrepreneurs, especially with a focus on scalability and compliance, Payoneer offers key advantages.
Global receiving accounts enable businesses to send and receive money globally at a fraction of the cost of local banks, making them a cornerstone of business growth with multi-currency accounts. Indian entrepreneurs can receive payments in all majorcurrencies, without having to navigate multiple payment systems.
Abhinav Gupta, founder of Concretio Apps in Jaipur, used to use PayPal and wire transfers, facing challenges with high fees and payment hassles. Payoneer allowed him to receive payments from around the globe into a single account, significantly streamlining processes and allowing him the space to grow the business.
The issue of excessive fees is another key concern. Payoneer, once again, offers a solution based on a more predictable pricing model, minus the hidden charges, where transaction costs are clearly set out.
Hothaat Marketplace in Mumbai depends 100% on cross-border exports. CEO Hooner Baweja, reports saving 2-3% on exchange rates and improved payment realisation times by transitioning to Payoneer from traditional wire transfers. It’s a clear example of how low-fee money transfers in India can help a business stay competitive.
An ongoing frustration for SMEs in India is that of compliance and regulatory frameworks.
Cybersecurity features ensure secure money transfers for Indian businesses, and compliance with international financial regulations. Payoneer deftly handles these aspects, alongside partnering with Indian banks and operating under regulations like the LRS, so businesses can be assured that they’re aligned with domestic legal and tax requirements. Language and cultural barriers have been identified as a leading obstacle for Indian SMEs. Payoneer’s report identifies this to be the top challenge cited by businesses seeking to expand to new markets. As such, it’s incredibly important for startups and freelancers to have ready access to global finance teams, something that’s usually hard to come by for smaller players. The localised support and guidance powered by Payoneer breaks down those barriers to make international trade more accessible.
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How to get started with Payoneer
Getting started with Payoneer is simple:
1. Sign Up: Visit the Payoneer website and click on the ‘Open your account’ or ‘Register’ button.
2. Provide personal and business information: You’ll be prompted to enter details such as your name, contact information, and business details.
3. Verification: Submit necessary identification documents and any required business documentation for verification purposes.
4. Link bank account: Once verified, you can link your Indian bank account to your Payoneer account to facilitate withdrawals in INR.
5. Receive payments: After setup, you can start receiving international payments through your Payoneer account.
Ready to simplify your international transactions? Sign up for a Payoneer multi-currency account today.
Unlock global payment solutions for Indian startups
For Indian entrepreneurs, freelancers, and SMEs, accessing international markets shouldn’t come with hidden costs and operational headaches. Payoneer international transactions in India offer a secure, compliant, and cost-effective way to receive and manage payments worldwide.
With global receiving accounts, low fees, and robust customer support, Payoneer stands out among the best payment gateways for Indian entrepreneurs. Ready to expand your global reach?
Sign up now and simplify your international finances.
(ADVERTORIAL DISCLAIMER: The above press release has been provided by VMPL. ANI will not be responsible in any way for the content of the same)
Disclaimer: This story is auto-generated from a syndicated feed of ANI; only the image & headline may have been reworked by News Services Division of World News Network Inc Ltd and Palghar News and Pune News and World News
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