As Small Business Market Shrinks, Can Opportunities Grow

by Patricia Hewitt 0

By Patricia Hewitt, Director, Debit AdvisoryService

The SBA offered the market a realitycheck regarding the small business market, as their data indicatesthat last year an estimated 552,600 new firms opened for businessand 660,900 firms closed up.That certainly shrinks the opportunitypool, but as we’re seeing happen up and down the financial servicesmarket, does it necessarily translate into a lesser market or onethat requires more focus and better services to attract thecustomers that are left?

Almost simultaneously, MasterCardmade a product announcement regarding their Smartdata ExpenseManagement Platform including an enhanced expense reporting moduleand receipt management capabilities.Mixed messages?I’m not sosure.In a challenging market like this one, only the strong willsurvive, which may end up serving small businesses better in thelong run. This is a market that has been generally underserved bythe larger electronic payments community, but that’s changingfast.Having less of an opportunity pool to work from shouldmotivate solution providers to offer better overall value to themarket that’s left – and that’s not a bad thing.