Revolutionizing business growth with digital transformation

Digital transformation has become central for Old Mutual and inherently, an imperative in doing business through platforms and systems for SMEs in its ecosystem.  One key innovative solution that stands out is Old Mutual SMEgo, a cutting-edge, secure, and affordable platform designed to empower and enable entrepreneurs with the tools they need to streamline their business operations and drive business growth. Through embracing technology, the user-friendly interface, and powerful, time-saving features, offers businesses a competitive edge in navigating the complexities of business management, allowing business owners to focus on what truly matters - growing their enterprises.

According to recent statistics on entrepreneurship, efficient financial management is a top priority for SMEs looking to thrive in today's competitive market. Studies show that businesses that implement proper financial strategies are more likely to succeed and expand, highlighting the crucial role that sound financial management plays in achieving long-term success.

By leveraging the capabilities of Old Mutual’s SMEgo, the cloud-based Fintech solution stimulates entrepreneurs’ capabilities, gaining valuable time back through easy-to-use features such as professional quotes, invoices, customer statements, and the ability to access their credit score which is a pre-requisite to any funding application.

This not only enhances operational efficiency but also enables businesses to seize new opportunities and drive sustainable growth in a rapidly changing environment.  Moreover, the use of artificial intelligence (AI) in financial management gives SMEs as business owners a major competitive advantage with data analytics and dashboard reporting.  Financial data from SMEgo becomes critical for SMEs as it catalyses future investment opportunities whether financial or non-financial as well as varied partnerships in the public and private sectors.  This ground-breaking digital solution removes barriers to entry into the mainstream South African and Global Economies for SMEs.

Nobesuthu Ndlovu, Director: Old Mutual SMEGO

In an interview with Nobesuthu Ndlovu, Director SME at Old Mutual, we delve into the importance of adopting innovative financial management solutions.

Question: What are some key industry trends that highlight the growing importance of leveraging technology in financial management for SMEs?

Answer: In Fintech, digital transformation of financial management is a prominent trend in the SME space, with more businesses adopting cloud-based software solutions to augment operations.  Accessibility through zero-rated data to allow for free access to platforms also ensures that businesses effectively streamline operations and improve efficiencies. Automation, real-time reporting, and data analytics are becoming essential features for businesses looking to stay competitive in today's fast-paced market. 

The World Economic Forum (WEF) reported as of last week (second week of April 2024) that Amazon and Microsoft have reportedly committed at least a combined $15 billion to competing generative AI startups.  It further alluded to the CEO of one of those startups having yet to raise as much as $7 trillion more (that’s not a typo), to make the precious chips needed to train models for AI systems more abundant. The WEF report further speaks to the overall amount of money funneled into private investments like venture capital deals may have slipped by 2022, but AI remains a high priority for governments around the world.

This World Economic Forum (WEF) article with a global lens affirms that anchor platforms such as SMEgo are in alignment with innovation that seeks to enable business operations using artificial intelligence which is seemingly growing at an exponential rate.   

Question: What opportunities does Fintech Innovation present for SMMEs in financial management?

Answer: The rise of financial technology (fintech) has opened new avenues for SMMEs to access affordable and varied funding instruments in different financial services. As part of innovation and to remain relevant in the world of responsible business approaches, Fintech companies have also embedded Environmental, social, and governance (ESG) considerations into all portfolios both in the public (e.g. Development Finance Institutions (DFI) included) and private (Commercial banking) sectors.  This “responsible” ESG angle also allows for inclusion in the domestic and international economies, aligned with the relevant frameworks that influence the financial sectors.  SMEGO’s suite of services using input data further creates business relevant dashboards for optimizing analytics in finance.

The varied portfolio of financing solutions, such as peer-to-peer lending, loans, venture capital, seed funding, grants (repayable and non-recoverable), angel investors, and crowdfunding, provide SMMEs with flexible funding solutions outside of traditional banking channels. By leveraging fintech innovations, and through partnerships in the funding sector SMMEs can unlock capital and accelerate business growth.

Question: How can data analytics benefit SMMEs in improving financial management?

Answer: Effective financial management is crucial for the sustainability and growth of any business. Advanced data analytics tools empower SMMEs with customised financial dashboards to gain deeper insights into their financial performance and make informed decisions to drive business success.  By analyzing key financial metrics, trends, and patterns, SMMEs can monitor their profitability, identify cost-saving opportunities, optimize revenue generation strategies which influence the ability to scale at a measured rate using AI-generated financial information leading to business inclusion in the mainstream economy.

Data-driven financial management allows SMMEs to monitor and evaluate business performance, assess risks, forecast future outcomes, and devise proactive strategies to mitigate challenges and capitalize on opportunities in the market.

Question: In what ways does Old Mutual SMEgo serve as a catalyst for business growth and long-term success for SMEs in today's dynamic market?

Answer: Old Mutual SMEgo suite of offerings empowers SMEs to focus more on the core business operations efficiently using advanced interactive tools and insights helping SMEs to remain competitive in the global landscape.  SMEs can unlock new opportunities, maximize profitability, and drive sustainable growth in a rapidly changing business environment.

For more information on Old Mutual SMEGO go to www.smego.co.za or email: . The app can also be downloaded from the Apple I-Store and Google Play store.