Daily Tearsheet: Jiga and payments in manufacturing, and any company can embed banking products — but that doesn’t mean they should
- Jiga is doing embedding payments right, which means finding the right contextual moments to add payments to a workflow.
- And while every company can embed banking into their business, not every business should — those that deeply integrate banking into their product ecosystem instead of tacking on a feature are more likely to differentiate themselves and make it in the long run.
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Jiga embeds payments in manufacturing workflows
In this episode of Tearsheet’s Podcast, Jiga’s co-founder and CEO Adar Hay, joins host Zack Miller, Tearsheet’s Editor-in-Chief.
There’s a reason B2B payments hasn’t been solved. It’s so complicated – the need for different terms, payment forms, approvals, and workflows makes it damn hard to automate and digitize. So to really get at the heart of B2B payments, you have to first start with the quoting and invoicing process – payments come later. That’s just what Jiga is doing for the manufacturing sector. The SaaS company has zeroed in on improving the work that goes into everything that comes before payments in manufacturing – embedded payments is just the next piece.
Adar talks about the evolution of his early-stage company. From the pandemic-era genesis story, we move on to how the firm’s product supports the different players in the manufacturing value chain through payments.
Any company can embed banking products — but that doesn’t mean they should
By Ahon Sarkar, GM of Helix
Five years ago, a non-bank would have never considered launching a banking account service. But now, with the prevalence of Banking as a Service virtually any company can build a bank account. But should they?
Over the years, we’ve seen companies span the spectrum from resounding failure and dramatic success. What determines the difference?
Embedded banking products improve your business when they solve a specific problem for your users and add a new dimension to your product ecosystem. But when they don’t fit well with your long-term strategy, they strain your business by shifting your focus to include an area where you have no competitive advantage.
While every company can embed banking into their business, not every business should — those that deeply integrate banking into their product ecosystem instead of tacking on a feature are more likely to differentiate themselves and succeed in the long run.
Read more (sponsored by Helix by Q2)
Just look at the charts
1. Use of alternative payments
2. The four pillars of open banking play a crucial role in its success
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