Processes Small Business Payments: Remitly Shifts Focus
In a move to expand its services, Remitly, a leading player in the digital remittance industry, has ventured into the cross-border B2B payments market. The new service, initially available to customers in the US, aims to cater to the needs of micro-businesses, often migrants operating small businesses with employees or vendors in countries that are traditionally popular destinations for remittances.
Remitly's business payment service offers a unique approach, focusing on cash payouts in addition to bank accounts and mobile wallets. The company has set itself apart by offering cash pickup at 470,000 locations globally, a rarity among B2B players.
The service prides itself on transparency, competitive exchange rates, and no hidden fees, positioning itself as an accessible and straightforward option for small to medium-sized U.S. businesses sending payments internationally. Unlike some competitors, Remitly does not charge extra for business features for opening or maintaining a business account. Fees are determined by factors like the destination country, amount sent, and speed of transfer, which is standard across digital remittance platforms.
Remitly conducts know-your-business checks and onboards customers manually via their customer service. The company also highlights dedicated business support and fast disbursement (often under an hour), aiming to deliver both value and convenience.
In comparison, other players in the industry offer different service models. Wise, for instance, is known for its transparent, low-cost pricing structure, offering business accounts with clear breakdowns of fees and exchange rates. Revolut offers business accounts with free and paid tiers, while Payoneer caters to both freelancers and businesses for cross-border payments. Airwallex focuses on businesses with global operations, offering multi-currency wallets and competitive exchange rates.
A comparison table outlines the key features and pricing of each provider, highlighting Remitly's emphasis on no extra cost for business account access, a simple onboarding process, and a focus on SMBs that may not require the advanced features of enterprise-oriented platforms like Airwallex or the higher-tier paid offerings from Wise and Revolut.
With this new service, Remitly is challenging competitors such as Wise, Revolut, and the mainstream small business banking sector, while Airwallex provides a full financial platform of solutions for internationally focused businesses. Payoneer caters to both freelancers and businesses, with solutions including employer of record and connections to major marketplaces. Remitly's cash pickup option is well suited to its customer profile, offering a convenient solution for businesses that require cash payouts.
Remitly's new cross-border B2B payment service, catering to small businesses, offers unique features such as cash payouts at 470,000 locations globally and a focus on transparency, competitive exchange rates, and lack of hidden fees. Differentiating itself from competitors, Remitly does not charge extra for business features for opening or maintaining a business account, unlike Airwallex, Wise, and Revolut, who offer various pricing structures and advanced features.
