What is FinTech?

You come across the word ‘FinTech’ all over the financial world these days. But what does it actually mean? And what benefits does it bring to you? We explain it to you on this wiki page. 

Meaning of FinTech

Fintech is an American term that is a combination of two different words: ‘Financial’ and ‘Technology’, or financial technology. FinTech companies create solutions and applications that make paying and receiving money faster, better and easier. The days of paying with cash and bringing money to the physical bank are beginning to come to an end. This form of payment is gradually being replaced by online payments, QR codes and payment requests. Thus, FinTech companies speed up, simplify, and secure payments for businesses and consumers. 

Benefits FinTech

Often you don’t even realise it, but FinTech is increasingly changing our lives. The world is changing and we are changing with it. And this brings many benefits. 

1. Automated payments 

Payt decided to change the way businesses get paid. Previously, business owners would call and email after their customers to get outstanding invoices paid, and large corporations had entire accounts receivable management departments to handle this. Today, this is no longer necessary. By automating the process where you can, and keeping it personal where necessary, businesses (big or small) get paid much faster and better. And that with less work, less worry and more control. Customers can pay their invoices very easily with various (online) payment options, such as Stripe, Mollie, PayPal, credit card or direct debit. 

Wondering what this means for your business? Check here to find out why Payt works well for your business. 

2. Maintain your cash flow

When your customers do not pay (on time), you will notice this in your liquidity and cash flow. In the long run, this can also have major consequences for your company. That is why you want to maintain your cash flow and liquidity as well as possible. By using FinTech, such as Payt’s software, you can take advantage of this. Firstly, you can continue to communicate with your customer at invoice level. As a result, you always know why your customer (not fully) pays the invoice.
Secondly, you can set up a payment plan with automated follow-up. This allows you to get parts of the outstanding invoice paid in instalments, allowing you to maintain your cash flow.

3. Convenience and more control

Most FinTechs work online, which allows them to set up the working environment as efficiently and user-friendly as possible. In Payt, for example, you have a full overview of your entire business on the dashboard. Here, you can see what your outstanding balance is and what stage outstanding invoices are in. The software also indicates exactly where your attention should go. Reminders are automated, but you always keep control of the process. 

Discover for yourself what FinTech can do for you. Book a demo below and experience how you will get paid faster and better.