XTRANSFER DELIVERS FASTER, MORE EFFICIENT CROSS-BORDER PAYMENT COLLECTION FOR SMEs
Background
Headquartered in Shanghai, China, XTransfer is a financial technology(fintech)company that renders one-stop, cross-border financial and risk management services to small- and medium-sized enterprises (SMEs). It partners with global banks and financial institutions by leveraging its technology capabilities to facilitate foreign trade collections, while providing multi-currency settlement networks, customer relationship management, risk management services and other solutions for SMEs. XTransfer serves more than 350,000 registered customers in over 200 countries and regions, including Mainland China, the United Kingdom, the United States, Canada, Japan, Australia, Singapore and the Netherlands.
Challenge
Reducing barriers and cost of global expansion for SMEs:
Many SMEs engaging in international trade have traditionally relied on telegraphic transfers for payment collection. This process typically involves multiple intermediary banks, which incur high bank fees and frequent delays associated with cross-border remittances.
To address these issues and reduce the barriers and costs of global expansion for SMEs, XTransfer expanded local collection services across markets ranging from Canada, Europe and the United States. However, ensuring regulatory compliance with disparate and complex monetary regulations across the different jurisdictions was challenging. Furthermore, creating and maintaining an in-house payment infrastructure would incur significant investment.
To this end, XTransfer partnered with Currencycloud by leveraging its local collection capabilities in these countries, so that they could collect funds more efficiently while ensuring regulatory compliance. This allowed XTransfer to achieve higher cost-savings with improved time to market.