When it comes to running a business, there are a bunch of complexities involved that many may not be aware of. From banking to bookkeeping, it’s a long list of items to check off the list in order to get the business up and running.
In a study by Deloitte, SMEs tend to feel under-served by financial services as compared to multinational corporations. Indeed, there can be more hoops that SMEs have to jump through (for example, when getting loans) as banks are more restrictive towards SMEs partly because it’s more difficult to assess these businesses compared to MNCs.
One of the key things every business requires is a business bank account. That, and intuitive, fuss-free and seamless services simplify the journey of setting up a business.
What Services Do Digital Banks Offer To SMEs?
As the world and ways of doing business evolve, so should banks on their services and offerings. In a world of rapid technological advancement and innovation, it, therefore, seems like a no-brainer that digital banking would step in to fill this gap.
A 2020 Visa Study on digital banking and SMEs in Singapore revealed that 88% of SMEs in Singapore would consider switching to digital banks. The Monetary Authority of Singapore (MAS) has since looked to digital banks to support the underserved SME segment with the inaugural issuance of digital bank licences in 2020.
Visa found that the digital banking experience for SMEs wasn’t evolving at the same pace as retail banking and that the services offered ...