Revolut tackles digital payments with new business service
Fintech startup Revolut is bolstering its business offering with a digital payments service, chief executive Nik Storonsky announced at this year’s Web Summit.
The new product launched on Friday, known as merchant acquiring, allows businesses in 13 European countries to accept online card payments directly into their account.
It will cost 1.3% for UK and European Economic Area (EEA) cards and 2.8% for all other cards.
Its business customers in the UK, Austria, Belgium, Denmark, France, Germany, Ireland, Italy, Netherlands, Poland, Portugal, Spain and Sweden are all able to accept payments online. With the service rolling out to eligible businesses in the EEA in the coming weeks.
Revolut said that businesses can accept payments in 14 currencies and funds can be converted to another currency at the interbank rate, which allows them to save money on foreign exchange.
The service pits Revolut against digital payment firms Stripe and Adyen (ADYEN.AS), in what is now a booming sector due to the coronavirus pandemic.
“Companies across Europe know that it’s now essential to their success to be able to do business online,” Storonsky said.
“That’s why we introduced a new secure way to accept payments through websites and we have enabled customers without an online presence to get paid fast through secure payment links. Our mission is to democratise acceptance and we are already on the way.”
He added: “Payments sit at the core of any business so we have crafted a solution that meets not only their business account demands but also their payment acceptance requirements.”
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Revolut, one of the world’s fastest-growing banking apps, with 500,000 businesses account holders, said the product will make it easier for firms to operate, by allowing them to manage financial flows in one place without having to reconcile between their acquiring and banking platforms.
On Wednesday Revolut announced it had partnered with Modulr to allow its UK customers opportunity to be paid a day early, and launched a web app for its regular users.
Since launching in 2015, the UK-based bank, which offers a range of money management tools has amassed more than 13 million retail customers. Its products include a debit card connected to an app that allows users to spend different currencies at the interbank exchange rate with low fees.
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