Vesicash, a Nigerian-based financial tech startup has announced its expansion to four African markets and launched its Merchant of Record (MoR) product.
Founded in 2018, Vesicash aims to revolutionize the African digital economy by allowing companies to pay and securely receive online payments seamlessly. Its flagship offering, a digital escrow product has grown and now serves over 5,000 businesses.
Tomisin Adeshiyan, Vesicash’s Co-founder and Head of New Market Expansion, says, “We are thrilled to launch our Merchant of Record technology in multiple African markets. Thus, expanding our reach to businesses in Ghana, Rwanda, Zambia, and Egypt.
According to the company, operational complexities associated with expanding to new markets make many African businesses either shy away or take their time, which could mean another 12 months of delay.
This is because to expand, a business will need to incorporate in the new market, sign up and integrate multiple local payment partners, pay taxes and develop a customer resolution framework, all in line with the prevailing regulations in that market.
Having a Merchant of Record, which handles the payment from customers, compliance and payout to the business, reduces the need for this operational overhead and allows businesses to focus on localizing their product, packaging and marketing, and ultimately Record and leveraging its technology to connect African businesses to suitable partners.
For example, a Nigerian business expecting to collect payments from their customers in Ghana or Kenya shouldn’t find it unnecessarily arduous. By empowering African businesses with innovative payment solutions, we’re committed to enabling the growth of their businesses by helping them effortlessly scale into new markets”.
Besides the launch of its MoR product, the company has boosted its escrow technology with new features such as milestone capability, third-party managed escrow, transaction and team-based role assignments. These new features enable automated payments, faster processing times, and secure payment processing. “With our combined product offerings, businesses can effectively manage their local and cross-border B2B payments with an additional security layer,” says Tomisin Adeshiyan.
The company has partnered with strategic players such as Flutterwave, Alexpay, and Wapipay with regard to supporting its global ambition of powering payment optionality and digital commerce adoption.These partnerships enable the company to offer its business users greater payment flexibility for their customers.