13th-Oct-2025 • Faith Chebet • Payments
In today's digital age, managing payments effectively is crucial for Small and Medium Enterprises (SMEs) in Kenya. With the right tools, you can streamline your financial operations, reduce costs, and enhance customer experience.
Traditional payment methods such as cash and cheques are time-consuming and error-prone. They also expose businesses to security risks. On the other hand, digital payments offer a secure, efficient, and convenient alternative.
Why Digital Payments Matter
According to a report by the Central Bank of Kenya, mobile money transactions accounted for 96% of all value transferred in Kenya in Q1 2021. This underscores the importance of digital payments in the Kenyan market.
By embracing digital payments, SMEs can reduce manual work, minimise human error, and save time. More importantly, digital payments provide a safer and more reliable means of transacting business.
Choosing the Right Payment Solution
When selecting a payment solution, consider factors such as security, cost, ease of use, and integration with your existing business management system. For instance, Lipabiz Technologies Ltd offers a business management platform that includes a payments platform, making it easier for SMEs to manage their finances in one place.
Example: Case Study
Consider the case of Mary, a small retailer who was previously using cash and cheques for transactions. By switching to Lipabiz's payments platform, she was able to reduce her accounting time by 30%. Moreover, she experienced a significant decrease in errors and increased customer satisfaction due to the convenience of digital payments.
Recommendations
To maximise the benefits of digital payments, we recommend: