Vodacom Financial Services announces that it will offer short-term cash loans to small, medium and micro businesses as part of an initiative to promote financial inclusion.
VodaLend | Business Cash Advance will provide financing to unregistered small businesses that need quick access to short-term cash advances, the group said in a statement Monday, June 14. It will offer financing between R3,000 and R350,000 to customers using VodaPay point-of-sale (POS) devices.
Vodacom Financial and Digital Services, Managing Director Mariam Cassim, said that Business Cash Advance will further strengthen the financial security of SME partners.
âIt often happens that a small business has cash flow issues during the month. While the business is liquid over the long term, it sometimes finds itself unable to meet short-term cash flow needs. This is where our Business Cash Advance product comes in.
Business Cash Advance provides financing to SME partners who trade using VodaPay point-of-sale devices, including VodaPay Max, E-Commerce Switch, and VodaPay Chop-Chop QR code. Funding is offered to SMME on the basis of its monthly turnover and, if accepted, is paid to the company within 24 hours.
âReimbursements are specifically designed to help SME partners by being tied to the amount of money the business earns each day. When the business is not in operation, no reimbursement is required, âCassim said.
To qualify, users of VodaPay’s point-of-sale devices must have traded for four months or more, have a monthly turnover of at least R 3,000 (collected through the merchant’s wallet, regardless of the mechanism acceptance) as well as 10 payments. transactions per month on defined payment rails.
No business registration or VAT number is required, Vodacom said. Businesses looking for funding should apply through Vodacom’s SMME portal and from there merchants can view the funding options on offer. Once the funding is approved, they can use it whenever needed.
Ineligible VodaPay customers can also access the SMME portal, where they receive a dashboard showing what they need to do to be eligible. Once qualified, acceptance can be done in less than two minutes, he said.
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