Two Finovate alums partnered today to make it easier for small and medium businesses to conduct business abroad.
Xero’s small business users based in the U.S. and U.K. can use the TransferWise add-on to pay invoices in 25 currencies to 46 countries.
When small businesses use the new add-on to send funds from Xero, they avoid bank-commission fees and instead pay TransferWise’s rate (up to 0.5%). Here’s how it works for existing Xero customers:
1) Log into TransferWise to view their outstanding foreign-currency invoices
2) Select the invoice to be paid
3) The rate is locked in for 24 hours, during which time the user must pay the invoice on the TransferWise platform using a debit card or bank transfer
After the payment arrives, the invoice is reconciled on Xero.
London-based TransferWise demonstrated at FinovateEurope 2013 in London.