Unlocking SMB Growth with Commercial Solutions: A Working Capital Mechanism

In today's competitive business landscape, Small and Medium-sized Businesses (SMBs) are always on the lookout for innovative financial solutions, new sales channels and spend management tools that can help them drive sustainable growth and improve their profitability.

The world is increasingly moving towards digitization, this can be a significant advantage for SMB’s growth ambitions giving them the ability to access new sales and marketing channels. Commercial cards solutions can help capture this growth opportunity by enabling SMB’s to tap into e-commerce, cross-border, and digital platforms ecosystems, expanding their client and revenue base.

The need for working capital for improved cash flow is a common thread that runs through all businesses, big or small. Increased digitization of purchase and sales transactions brings additional opportunities for financial institutions to provide Credit and issue Commercial Credit cards to SMB’s which will give them access to much-needed flexibility to manage their cash flow more efficiently. These cards can be used to pay for supplies and services offering an extended payment period, thus improving liquidity for buyers. At the same time, SMBs can accept card payments from their customers and get paid faster, reducing the number of days to get paid, potential costs and collection risks.

In addition, SMB’s need to manage their businesses more efficiently and our “Visa Spend Clarity Platform” allows them to monitor, control and track their spend, optimize their procurement process, and help digitize their accounting and inventory management activity. This can help reduce the reliance on cash and paper-based processes which can demand significant resources, allowing businesses to be more efficient. This, combined with the ability to access new sales channels, can significantly increase their revenue, efficiency and customer base.

Commercial card programs are more than just a payment instrument; they are a strategic tool that can help unlock the growth potential of SMBs. By improving cash flow, enhancing controls, promoting digitization, and expanding access to new sales channels, commercial cards can help drive the growth and success of your business. It's time to embrace the future with Visa commercial card programs.

Click here to download our SMB research paper and learn more about how financial education and the commercial card programs can help grant access to working capital for underserved populations.