Ramp going into B2B BNPL is a case study for how FinTech should be done ✅; Google Wallet is going global with the next Big Move: Africa 📲; The verticalisation of venture capital. The new VC game? 💸
Good Morning FinTech, 30 August
Good day Everyone,
And happy Tuesday! Today’s issue is especially interesting and heavily focused on game-changers. We’ll be looking at Ramp going into B2B BNPL, which is a case study for how FinTech should be done (bonus: steal their playbook!), Google Wallet that’s going global with its next Big Move: Africa (& why it’s a massive opportunity), and the verticalisation of venture capital (is this the new VC game?). Without further ado, let’s jump straight into the awesome stuff:
Ramp going into B2B BNPL is a case study for how FinTech should be done ✅
The launch 🚀 Ramp, the finance automation platform and corporate card FinTech, recently announced an expansion of its platform that enables businesses to finance all of their bills in one place.
Flexing 💪 Following the early success of the bill pay feature (launched in October, it allows business to easily pay their bills and manage it all in one platform with automated accounting, expense management, and invoice processing) Ramp is now adding financing and overlay with a new product called Flex.
The USP 🥊 Flex allows customers in just one click to add financing to pay the money back up to 30/60/90 days later for a fee while the vendor gets paid right away. In addition to extra time, bill pay gives the business the flexibility to pay any way they wish or the vendor requires, including via ACH, check, or card.
Economics 💸 Ramp makes money via fees for the instant bill payments as well as interchange fees when bills are paid. So, the longer the terms of the financing, the larger the fee paid by the business. Though, if the business pays back the money within 30 days and did not use their corporate card, Ramp will make $0 via this feature. But not everything translates to direct ROI. The long-term game of this software is making Ramp customers more sticky.
Why is this important? 🤔 Ramp going into B2B BNPL is not only a case study of how FinTech should be done. Also, it yet again proves that Ramp is the gold standard for product-led growth and rapid execution (bonus: steal their playbook!). Here’s the takeaway: