The company is already processing about $1.7 million directly through its new platform.
Digital payments transition
Cirralto, which is transitioning to a digital payments company, says the Spenda family of payments products takes B2B payments to the next level, providing a single platform, enabling all businesses to get paid on time.
A significant number of businesses have transitioned consumer payments to digital and contactless transactions to fight the spread of COVID-19.
Managing director Adrian Floate said: “Since the launch of the SpendaCollect product, we have been flooded with interest from a really diverse cross-section of the market.
“The next step for our team is to implement processes that will allow us to satisfy the increased demand for our services.”
B2B merchants' transactions limits are up to 25 times greater than their retail counterparts. It noted that while B2B merchants processed fewer transactions than retailers, their transactions were substantially greater in value than retail-to-consumer (B2C) transactions.
Further, B2B merchants were more invested in getting paid on time because of compliance obligations.
SpendaCollect can process more than $25,000 in a single statement payment compared to the average retail transaction of less than $500.
This is significant as far fewer merchants are required to acquire substantial blocks of revenue and market share in the payments space. In addition, SpendaCollect enables customers to digitise their payments processes.
SpendaCollect can be used by almost any industry, making the addressable market in Australia alone conservatively greater than $100 billion in merchants’ payments.
Focus on B2B market
While SpendaCollect has applications in both the B2B and B2C market, Cirralto has focused on the B2B market because of the revenue acceleration it delivers with relatively few merchants.
The scale of B2B merchants is such that 100 SpendaCollect merchants are the equivalent of 2,500 – 3,000 retail merchants, the company said.
B2B Pay Later launch
Cirralto also plans to launch its B2B 'Pay Later' and trade finance modules with its partner Invigo.