News Article

Konfío Acquires Mexican MPOS Provider Sr. Pago

By Andrea Villar | Fri, 08/27/2021 - 15:09

Konfío, a fintech specialized in providing loans to small and medium-sized enterprises, has completed the purchase of Sr. Pago platform, which will allow the former to expand its product offering in the short term. Sr. Pago had become one of the most important players in mobile point of sale (MPOS) and e-commerce in Mexico. 

Konfío CEO David Arana said the deal, which involved an undisclosed amount, will provide a more complete financial solution for growing companies, which is “the business sector that contributes most to development and employment in the country.”

According to Sr. Pago CEO Pablo González, the acquisition will allow Konfío to offer e-commerce payment services, business management, invoicing and business credit card financing on a single platform. “We are very excited to join our new family. Our arrival will add diverse payment systems to the financial services and management tools that Konfío currently offers to entrepreneurs and business owners,” González said in a statement.

Access to credit and financing, as well as companies' adoption of digital environments is a challenge that SMBs in Mexico have been facing in recent years, David Arana wrote for Mexico Business in April. According to ENAFN 2018, lack of credit history and low payment capacity are the main reasons why a banking institution rejects an application; however, the survey also records cases in which reasons for denying credit were not even given. “In contrast, small and medium-sized companies report the number of procedures and requirements, the unclear limits in the contracts and the verification of income as the main reasons for not requesting a loan from banking institutions,” he said.

In the eyes of Sr Pago, digitalization goes beyond just increasing sales channels in businesses. According to its Chief Revenue Officer Enrique Marú, digitalization in the financial sector means innovating, expanding services, generating reach, “providing your customers with an experience and adapting to their shopping habits,” he wrote on Mexico Business. “The public has changed and today it is more digital than ever, but we can help to technologize the businesses of our users. All this with the aim of achieving true financial inclusion, one that supports SMEs in the new era they are facing and that, as a result, leads to national economic development.”

Sr. Pago's addition to Konfío's portfolio of solutions represents the company's third acquisition, following the purchase of Astro in December 2019 and accounting software Gestionix in late 2020. “Now more than ever, we have learned that flexibility and adaptability are key to the survival of MSMEs in Mexico and the world. In an unprecedented environment, our company sees transformation and change as the only avenues for evolution.”

Andrea Villar Andrea Villar Journalist and Industry Analyst