Embedded finance company BankiFi and Axiom Bank have formed a partnership, aiming to improve banking for small- to medium-sized businesses (SMBs).
According to a Monday (Oct. 10) news release, through the partnership, Axiom Bank’s SMB customers will be able to better track and manage their finances with BankiFi’s embedded banking services.
The collaboration also solidifies Axiom as BankiFi’s first North American client, having launched in the U.S. in July with the introduction of BankiFi Americas.
Learn more: BankiFi Americas Launches in US With Focus on Small Business Banking
As PYMNTS noted at the time, BankiFi’s open cash management platform and architecture lets financial institutions embed a solution that can be personalized to meet the needs of SMB clients, using digital workflows to collect payments, automate data integration with accounting platforms and offer insights on optimizing working capital.
“Financial institutions in the U.S. are facing an existential threat from fintech platforms, national banks, and accounting package vendors that are offering a competitive suite of payment solutions and financial services to SMBs,” Keith Riddle, CEO of BankiFi Americas, said in the release.
“Through BankiFi, these valuable institutions can begin fighting back and regain the trust of SMB customers.”
See also: 12% of SMBs Concerned They Won’t Survive Past 2024
Mike Coyne, Axiom’s chief information officer, added: “Many SMBs across the U.S. are struggling right now and need help to keep their heads above water. And many banks are unable to offer this support effectively, having seen their role in the financial ecosystem diminished in recent times.”
Recent research by PYMNTS reflects that struggle. Although more than 50% of the SMBs we surveyed for the most recent edition of our Main Street Health report confidently said they anticipated an increase in full-year revenues for 2022, a strikingly large proportion — 12% to be exact — said they were unsure about their chances of surviving into 2024.
Meanwhile, 56% of businesses said they expected revenues to increase in 2022, a decrease from the 64% who said the same thing late last year.
For all PYMNTS B2B coverage, subscribe to the daily B2B Newsletter.
New PYMNTS Study: How Consumers Use Digital Banks
A PYMNTS survey of 2,124 US consumers shows that while two-thirds of consumers have used FinTechs for some aspect of banking services, just 9.3% call them their primary bank.
https://www.pymnts.com/news/investment-tracker/2022/bank-of-america-adds-100-million-dollars-low-cost-deposits-minority-led-banks/partial/
