In the past few years, Kenya has witnessed a tremendous paradigm shift towards digital payment, thanks to the emergence of FinTechs. However, a big gap loomed on the way to a completely cashless reality, lack of interoperability. This informed the formation of PayConnect in 2016.
“Digital channels are not new in Kenya. All commercial banks have a mobile banking/agency solution. To carve out a niche for ourselves in the industry, we focused on developing solutions that are interoperable and can serve several institutions or even cross- border subsidiaries”, reveals Hussein Dida, CEO of PayConnect during an interview with StartUp Magazine.
According to the executive, the firm operates with two models when selling out solutions. “The outright purchase model where the institution pays for the license as well as the annual maintenance fee and the Revenue share model that requires the client to pay for the installation cost but not license fee.”
“Revenue share model works well for institutions that do not want to tie their capital but would prefer to have a joint venture with us. We provide the solution and they bring clients on board,” he adds.