Xero says its Apple Pay partnership will help small businesses get paid faster.
The company says slow payments are a major source of grief for small businesses who often struggle with poor cash flow.
Xero says its customers around the world sent 15 million invoices in the last 30 days. Based on Xero’s data customers will pay more than 60 percent of those invoices late.
It says there is evidence that if you offer debtors a payment service your invoices get paid almost 80 percent faster.
Xero is using Stripe to add Apple Pay to its services. Strip operates in 25 countries, its service allows anyone to accept internet bill payments.
Apple Pay streamlines the paying process. Online credit card payments involve a lot of fussing filling in forms and looking up security codes. Apple Pay can be as simple as reaching for the Touch ID button on an iPhone, iPad or MacBook Pro. It is also fast.
If you’re a business taking Xero payments with Apple Pay and Stripe you get the extra level of security. Fraud is harder with Apple Pay.
Connecting Xero users with Apple Pay means transactions are automatically entered and matched against invoices. The more automation the better.
With more and more online transactions taking place on phones, Apple Pay opens another channel to get money into a business faster.
One of the most interesting things here is how Xero is able to focus on the things that matter most to small businesses. Cashflow is essential. Small business owners and freelance contractors tend to live off the cashflow.