DBS is set to introduce Singapore’s first mobile-based QR payment collection solution, which will enable small and medium enterprises (SMEs) to receive funds instantly from their customers and vendors.
The solution named DBS MAX will be available to all DBS SME and corporate customers from 26 November.
According to the 2017 SME Development survey, more than one in three SMEs in Singapore face finance-related issues.
Of these, more than eight in 10 attribute their finance woes to cash flow issues resulting from delays in customer and vendor payments.
DBS MAX addresses these concerns by enabling SMEs to receive payment from their customers and vendors through a mobile app in real-time.
This does away with the need for businesses to wait two working days for cheques and credit card payments to be cleared. SMEs, in turn, enjoy better cash flow and benefit from a more efficient working capital cycle.
DBS Bank cash product management group head Jasmin Ng said: “Cash flow is the lifeblood of a SME. It is also critical to their success and overall viability. Apart from developing solutions to help our clients deliver an enhanced customer experience, we also look at ways to optimise their cash flows and improve their working capital management.
“This is important as SMEs form the backbone of Singapore’s economy, employing two-thirds of our workforce and contributing more than half of our GDP.”
DBS MAX was designed to be easy for a busy SME owner or frontline staff to understand and adopt in four simple steps. Once the DBS MAX app is installed onto their business’ mobile device, all a business owner and/or employee needs to do is to generate a QR code on his/her mobile device before letting the customer scan it, and the transaction is complete when a payment notification is received.
The funds received from the transaction would then be credited to the business’ bank account instantly, and all sales will be automatically consolidated in a report at the end of each day.
As it is designed as a mobile app, DBS MAX removes the need for different physical payment terminals at payment counters, allowing SMEs, especially those in the retail and services industries, to better utilise their counter space with promotional goods and special offers.
For businesses with multiple outlets across Singapore, DBS MAX also updates their headquarters of funds received in real-time across the entire franchise. All sales information is also collated into an end-day report, automating the book-keeping process for SMEs.
Source: Company Press Release