Visa has teamed up with Australian fintech firm Payment Logic to introduce a new digital payment solution to cater to the needs of small and medium-sized businesses (SMBs).
Known as Yak Pay, the new solution will enable SMBs to use digital payments when paying non-card accepting suppliers.
Owned by Payment Logic, Yak Pay only collects 1% on transactions and allows small businesses to complete bulk payments in a single transaction.
For Yak Pay, Visa has provided product design as well as market strategy planning. It is also helping Yak Pay to team up with other partners across the payments network.
Visa head of merchant and sales and acquiring Dan Parsons told The Sydney Morning Herald that the company is focusing on working with more local fintechs, including offering investment.
“At a high level, we’re always interested in investment and partnerships that help us expand the Visa capability,” Parsons told the publication.
“We see this sector as a huge opportunity for digital payments and we estimate about 3% of small business payments are put onto credit or debit cards.”
Last month, UK-based fintech Revolut extended its partnership with Visa in a bid to drive rapid global expansion.