As part of this partnership, the company is offering the first 1,000 small- to medium-sized businesses (SMBs) who apply and qualify one of Clover’s point-of-sale/business management devices for one penny a month in hardware rental fees.
“Small businesses make up 99.9% of all U.S. businesses, yet many still face barriers accessing the technology, tools, and trusted support they need to compete and grow,” the company said in a news release Monday (July 7).
To that end, Mastercard offers its Small Business Navigator, a hub offering free and trial-based tools, curated content, product discounts and partner solutions to help SMBs operate more effectively. The company said the platform is open to all small businesses, whether or not they are Mastercard customers.
“As small businesses continue to digitize and modernize, access to trusted, flexible solutions matters more than ever,” said Chiro Aikat, U.S. co-president at Mastercard. “By collaborating with partners like Fiserv, we’re helping entrepreneurs navigate their next chapter with tools that meet them where they are — and where they want to go.”
The offering comes as SMBs face a range of challenges. For example, recent research by PYMNTS Intelligence “Keeping Score: Why Data Quality Determines Lending Decisions,” a collaboration with Markaaz, finds that lenders reject small business credit applications five times more than enterprise customers.
“Nearly 3 in 4 lenders say better credit assessments would improve risk-adjusted returns,” PYMNTS wrote late last month. “Yet only a minority call SMB lending profitable, especially for micro-businesses. The disconnect comes down to data: banks can’t price what they can’t verify.”
Additional PYMNTS Intelligence research has found that optimism among small businesses can vary spending on their location.
“SMBs operating in major urban centers generally expressed little reason for concern for their future, often reporting steady growth and increased profits,” PYMNTS wrote Monday. “In contrast, their counterparts in small towns, suburbs and rural areas harbored increasing anxieties about long-term growth and survival.”
These worries come from a range of factors, including the observed shift of workers moving back to city offices, which means fewer patrons for local SMBs. In addition, these businesses expressed worries about broader economic concerns and challenges in accessing finance.
