Last week, we had the pleasure of speaking with one of our customers during our webinar, “Beyond COVID-19: Payment trends and recovery strategies.” Alex Sklar, Head of Business Development at Payability, spent time discussing what payment trends Payability is seeing during the pandemic. He also brought up solutions and possibilities that merchants, marketplaces, lenders, and payment providers can create during these tough times.
You can find the recording of the webinar here.
The COVID-19 pandemic has had a major impact on e-commerce, with merchants looking to shift sales online as consumers think about safety and health. And with only 56% of small businesses reporting that they currently feel comfortable with their cash flow,* services like Payability’s are even more critical to ensure online sellers can access their cash and reinvest their earnings quickly to keep their businesses healthy during uncertain times.
Payability is a financing company for businesses that operate on Amazon or other e-commerce marketplaces. For sellers who run these businesses, Payability has two main products: Instant Access, which offers accelerated daily payouts for sellers who are otherwise paid on the marketplace’s terms (e.g., Amazon, who pays sellers every 14+ days); and Instant Advance, which provides capital advances based on projected e-commerce sales. Payability also gives sellers more options to get paid beyond what marketplaces typically provide — including same-day ACH, wire transfers, and payments disbursed via Payability’s Seller Card, which is powered by Marqeta.
Payability partners with Marqeta to issue its customers the Seller Card for disbursements and spending. Approved sellers are issued a virtual card so they can get started immediately, while waiting for their physical card to arrive. The Seller Card program enables sellers to receive their earnings quickly for better cash flow, as well as spend their marketplace payouts even faster so they can reinvest in their businesses. The Seller Card also gives sellers up to 2% cash back on transactions (which helps mitigate selling fees), plus exclusive deals. Payability has seen the Seller Card help create stickiness with their customers, as well as increased spending as sellers reinvest their capital into their businesses.
Since launching with Marqeta in September of 2018, Payability has seen continued volume growth month-over-month with thousands of seller cardholders, and counting. By providing over $1 billion in financing, Payability has helped thousands of sellers scale their online marketplace businesses.