Revolut firing on all cylinders

This week, Revolut announced a very bold deal with VISA that will bring the headcount at the UK Fintech from 1,500 to 3,000 and the number of countries it operates in to 24 (including the US, Japan and Singapore). It could also lead the challenger bank to triple it customers base, from 8 to 24 million in the span of a single year.

But expanding its retail reach is not the only thing Nik Storonsky has been doing. They have been hard at work filling the gaps in their business offering too. Recently, thanks to their recent banking license, they have been able to start silently rolling out Direct Debits in the UK. After unique IBANs, that was one of the most often requested feature from businesses in the UK. Indeed, as much as you can do without cheques or branches, you cannot without Direct Debits. Many suppliers (and insurances or pension providers are such suppliers) will insist on being paid using the UK Direct Debit system. And unless you can offer the feature you can never replace the incumbents.

It has also done something that legacy banks used to do and have since stopped for some reason: get partners on board to help grow their business. As an accountant we are at the right place to nudge customers to one bank or another when we create a company. Not for the money (the commission a bank can give is too tiny to make a difference) but for the client experience. And Revolut understanding that, they are now asking accountants to help the onboarding process and offering extra features to our clients in exchange.

So, as a client of TaxAssist Accountants, if you open an account with Revolut, you’ll get exclusive access to a global business current account for easy international payments, with prepaid business cards, easy integration with Xero and other tools. You'll be able to hold, receive, and exchange 28 currencies without unfair bank charges or hidden FX fees.

And on top of that you'll be entitled to the following if your signup through our referral link: 

• 1 month free access to any of the premium plans (see all plans here) 
• Priority customer support: this means your are put into a priority support queue and your enquiries are answered first before regular customers. 
• Early access to new features (e.g. merchant acquiring to accept card payments online, FX forwards etc...) 
• Dedicated training video with the Revolut Business team account

So if you are a client of ours, and if you think that Revolut can provide an answer to your banking woes, do not hesitate to reach out! Alternatively, please use our referral link to open the account. 

Granted, Revolut has been doing just fine as a specialised financial institution focussing on cheap Money Transfers and Foreign Exchange but the company wants a much bigger pie of the banking business and if current behaviour is any indication, it's well on its way...

The 10,000 Small Businesses Programme

One often says that there is no such thing as a free lunch. It might not be the case with the Goldman Sachs sponsored 10,000 small businesses programme.

The programme modelled after a US programme of the same name aims to stimulate employment creation and economic growth and has a broad regional coverage, including many areas of relative economic disadvantage. It was first piloted in Yorkshire in 2010, followed by expansion to North West England, the Midlands and London. As of April 2013 almost 500 small business leaders across the country have participated, and approximately 250 new participants join the programme each year.

The programme is designed specifically for the leaders of established small businesses who have the ambition and the potential to generate substantial growth in their enterprises. Participation is by competitive entry and is fully funded by the Goldman Sachs Foundation for successful candidates. Businesses need to be established (at least one year of trading), have between 5 to 20 employees and have growth ambitions. While the programme is competitive, the last cohort in London had 25 successful applicants for slightly more than 100 applications. So it is within reach.

Metro Bank: a refreshing approach to banking

Metro Bank continues it rollout in the UK and their latest branch has just opened next door, here in Chiswick.

I met today with Dean Murphy, the branch manager, and I was impressed by his refreshing approach to doing business with the SME. An experienced banker with 20 years of commercial banking under his belt, he showed me around the new branch which has no tellers, a free coin counting machine (available to non clients as well) and safe deposit boxes which most of the other high street branches have gotten rid of. With staff rewards linked to customer service levels and not sales, the emphasis has clearly been put on pleasing clients, something that the other banks seem to have forgotten.