Flip Expands Market Reach, Presents Remittance Features for B2B

Sending money from within the country to abroad and vice versa has become a common activity for some customers. With the rapid pace of financial transfer activities, many financial companies have created various services that facilitate financial transactions, namely remittance services.

Startups offering the Flip interbank transfer service are now adding a remittance feature to their B2B solutions Flip for Business. Through this feature, companies can send money to up to 1.000 overseas accounts at once at a more competitive cost, both to personal and business accounts online. real-time.

This service, which has been available since January 2022, can be used by entrepreneurs to make transfers to partners or suppliers who are abroad at once. Flip itself has received a license from Bank Indonesia to run the International Transfer feature. There are no hidden fees charged on every transaction, and the remittance rate is also made more competitive with other players.

Currently, the International Transfer Flip for Business service can serve several countries, namely Singapore, Malaysia, Thailand, Japan, UK, Australia, and Germany. These countries are the countries most in demand by business people in Indonesia. However, in the future, Flip will seek to expand the scope of this service not limited to these 7 countries.

This service is also a manifestation of Flip's efforts to facilitate and support the smooth flow of money transfers between countries, especially from Indonesia to abroad. Previously, Flip did have an International Transfer service called Flip Globe. Individuals or entrepreneurs can use this service to send money to 48 countries.

“Flip hopes to continue to help more companies and business owners in Indonesia through B2B financial solutions, both for domestic and overseas money transfers and payment receipts. Through this initiative, we hope to be able to help financial transactions for all segments according to our tagline, #FlipBuatAll.” Henry explained.

Flip announced rebrand their B2B solution from "Big Flip" to "Flip for Business earlier this year. The change is also supported by strengthening financial transaction automation solutions powered by the latest technology, such as dashboard for no-code solutions, APIs for seamless integration, advanced features such as verification and idempotency key.

There are three excellent features offered, namely Money Transfer, which allows partners to send funds to up to 20 thousand bank accounts in a few clicks. Then, Accept Payment which provides seamless and acceptable payments for client company consumers real-time. Lastly, International Transfer which can save up to 50% transfer fees to seven countries.

During its approximately 7 years of operation, Flip's B2B solution has grown significantly amidst increasing technology adoption. This service has been used by hundreds of companies and SMEs (Small and Medium Enterprises) in Indonesia, also serves more than seven million users to process various types of financial transactions to and from various regions in Indonesia as well as for remittances abroad.

At the end of 2021, the platform developed by Rafi Putra Arriyan, Luqman Sungkar, and Ginanjar Ibnu Solikhin managed to secure a Series B funding worth 48 million dollars led by Sequoia Capital India, Insight Partners, and Insignia Ventures Partners.

Remittance Service for B2B

Happen remittance, both from a business and user perspective, is still highly fragmented in Indonesia. In fact, this service is provided by almost all banks in the country. Most users of this service are migrant workers or students who are abroad.

Bank Indonesia (BI) records remittances (remittance) of Indonesian workers (migrant workers) abroad amounting to US$ 2,28 billion or equivalent to Rp. 33 trillion (exchange rate of Rp. 14.496/US$) in the second quarter of 2021. This value increased 0,75% compared to the first quarter of 2021 which amounted to US$ 2,26 billion (month to month/m-to-m).

In addition, the micro, small and medium enterprise (MSME) sector in Indonesia is currently growing. Using technology vehicles and digital transformation, business people are now able to market their products overseas. Seeing this, of course, the opportunity for applications that offer remittance services for this business is getting bigger.

In Indonesia, there are already several non-bank players that provide similar services and focus on serving b2b including: Wallex Technologies recently acquired by M-DAQ, also RemitPro as part of the solution Bios Digiasia. Besides that, there are Transfez which is said to be expanding its services to the B2B payments sector after successfully securing funding led by East Ventures and BEENEXT.