The pioneer among fintech companies
Published Apr 10, 2018 12:00 am
By Bernie Cahiles-Magkilat
Miguel Warren
Regional Head
PAYONEER PHILIPPINES REGIONAL HUB The internet has opened wonders in business we never thought were possible decades ago. It has overhauled the way people do banking and in handing their finances. The traditional banking system, no doubt, has been forced into collaborating with the digital financial technology (fintech) companies to provide faster and convenient ways of doing business. Payoneer, a leading global cross-border payments company, is now challenging the fintech industry as it drives global growth for digital marketplaces, platforms and SMBs, and addresses the gaps in the marketplace. Payoneer is named as such to capture the imagination of its clients of its pioneering efforts to address the growth of global cross border business by providing solutions that will catapult these small enterprises to the global arena. Miguel Warren heads the Philippines’ regional hub, supervising the entire southeast Asia and other jurisdictions Pakistan, Bangladesh and Sri Lanka. The company Payoneer seeks to empower businesses and bridge the gap in the complicated traditional banking transaction. With Payoneer, receiving payment for business transactions is made easy. Its platform enables locals to sell to the international market and receive payments in the most convenient and cheapest way. According to Warren, the growth of fintech especially Payoneer is driven by the rise of the global marketplace where everyone is given the equal chance to undertake freelance jobs, sell merchandize and services online. This new way of working and earning has given rise to the need to receive payments directly across borders whether business to business or business to customers. As such fintech companies are rising to the challenge. The fintech revolution is here. “We provide a global platform in more than 200 countries in 150 currencies across the marketplaces,” says Warren. Payoneer empowers global commerce by connecting businesses, professionals, countries and currencies with its innovative cross-border payments platform. In today’s borderless digital world, Payoneer enables millions of businesses and professionals to reach new audiences by facilitating seamless, cross-border payments. Additionally, thousands of leading corporations including Amazon, Google, Airbnb, UpWork and Getty Images use Payoneer’s mass payout services. Payoneer is fast climbing up to the position as solutions provider for global business. With Payoneer’s fast, flexible, secure and low-cost solutions, businesses and professionals in both developed and emerging markets can now pay and get paid globally as easily as they do locally. Founded in 2005, the New York-based Payoneer is venture-backed, profitable and ranked in the top 100 of Inc. 5000’s Financial Services companies. It has been expanding globally, including the Philippines in 2016 although it has been present in the country since 2010. Warren noted how Filipino businesses adopt the service, mirroring the rise of the outsourcing and freelancing industry in the country. There have been similar digital platforms, but Payoneer focuses largely on the business to business and offers more ways of getting paid at much better rates. “So, if you are earning on a marketplace or freelance or selling goods you can receive funds direct from international clients. We have billing services and you send invoices to international clients,” he adds. One of the innovative solutions Payoneer offers is a virtual bank account in different currencies for flexibility purposes. According to Warren, this is particularly useful for BPOs or freelancers of American clients where they don’t need to pay anywhere from $50-$70 for bank transfer as it is just linked to your account in any local bank or get a Payoneer debut card that you can encash at any POS. Payments in your account can also be used to pay to a business partner via Payoneer. Payoneer is also concerned that it should deliver to customers with speed. Funds which are deposited in the evening can be accessed the following morning. “We are proud of ourselves for the solutions that provide many convenient ways to pay and receive money quickly,” he adds. Credit card payments though will require three to five days clearing but once it is already in the account, the speed of transfer is a lot faster. This is true in any of the 200 countries where Payoneer operates. In the Philippines, all banks with swift codes can receive funds from Payoneer. Globally, Payoneer has 4 million clients already but Warren cited the Philippines for growing very quickly on the back of continued sign ups. The Philippine profile is largely B to B. “The interest is very strong in my region. That is also true in the entire southeast Asia where growth continues aggressively as more are using the platform every day,” says Warren. There are an estimated 1.5 million freelancers in the Philippines. There are more than 150,000 using Payoneer and growing with daily sign ups. With government support through the Department of Information and Communications Technology, freelancing in rural areas is now within reach. Actually, it is quite easy to sign up in four steps. And it is absolutely free. The government is also pushing for world impact sourcing program, targeting 100,000 small and medium enterprises to sell online by 2020. There is also a strong collaboration among various stakeholders to encourage freelancing and SMEs to sell online and tap the international market easily. Competitive Payoneer helps to streamline the fees by providing flexible solutions to drive savings from cross border transactions. Warren said Payoneer grants competitive if not better rates than the existing market leader. Savings from foreign exchange and fees could be substantial. For instance, one client said his savings from forex and fees with Payoneer can already pay for a month’s office rental. Payoneer also offers customer solutions and personalized onboarding experience to help online entrepreneurs and freelancers grow. They work with several vendors and facilitate fund transfer easily than the complicated international bank transfer where transactions could take a month. Regional hub As regional head, Warren oversees markets in Southeast Asia, Pakistan, Bangladesh and Sri Lanka. Five out of the top 10 countries (Indonesia, Vietnam, Philippines, Pakistan, and Thailand) are in the fastest internet markets in the world are in the region. “We are focusing initially on these set of countries because this is where we see opportunities because of the rising internet penetration,” he adds. Aside from the Philippines, which tops the world as an outsourcing destination especially for voice and where freelancing is booming, Pakistan’s freelance industry and online business are also growing very fast. Malaysia and Thai companies are also aggressively exporting online. Because they are connected digitally and communication is readily available, overseeing operations is easier. He visits these 14 markets as the need arises. “I try to control the time away from home, but probably a couple of times in a quarter because there are events and partners are looking for assistance. It is actually getting better understanding of how we can continue to get more local and feel more local in those countries,” he adds. The Philippines as regional hub has been driving growth. Payoneer announced a record growth in its 2016-2017 business performance. Bangladesh and Pakistan also have growing contributions. Since its 2016 launch, Payoneer Philippines has seen a 472 percent growth in the number of active monthly users, leading to a record 483 percent growth in monthly core payment volume and 663 percent year-over-year Billing Service payment volume growth. This growth was primarily driven by freelancers and service providers. Warren expressed confidence in the company’s continued growth, expansion and investment in the market. He noted the region’s significant contribution to Payoneer’s global business, along with its impact on the growth of freelance and outsourcing industries. As key market, Payoneer has localized its offerings here and is building a strong team to support growth. The country’s outsourcing industry is expected to continue provide more growth impetus, he said. “Filipinos are also getting more tech-savvy, those services that are being provided are widening, from outsourcing call-center related services to technology-driven services. There’s a whole other wave of growth that’s coming. The sophistication of the market here, the quality of education, the quality of English and the global orientation of business people mean there’s tremendous opportunity,” he adds. Warren further cited the steady global rise of the freelance economy that helps fuel Payoneer’s phenomenal growth. “In a way, our work also becomes an advocacy. Payoneer’s growth parallels the trends that we see in the freelance and outsourcing industries. With our expansion, we conduct roadshows to empower small businesses, and we can’t wait to duplicate the Payoneer Philippines’ and the freelancers’ success in other countries. The goal is not just to benefit us but also to empower our core market,” says Warren. “We’re thrilled to be helping small business owners tap into new opportunities all around the world.” “Our goal is to lower borders for them and make it easier to go global. Technology and internet have created a new digital economy, but with international expansion comes a number of logistical and operational challenges. Through our payment services and our network of global partners, Payoneer provides the tools that modern businesses and entrepreneurs can grow.” With the recent appointment of the Philippines as southeast Asia regional hub, Warren anticipates amazing opportunities not just online but e-commerce and entrepreneurs selling goods online not just the locals but enterprising individuals putting up their own BPOs in the provincial areas. Filipinos have also combined work with small online business with potential to scale up quickly and tap the international clients. “With social media, we are seeing a lot of opportunities for growth,” he adds. As such, Payoneer is actively doing marketing efforts to make more users understand its services because that would also facilitate their growth. Already, Payoneer is now in the top five in terms of global growth and is number one in the region. China alone is its biggest market globally. As a hub, the Philippines provides information and onboarding support to either users, business partners and community partners. The team in Manila is still small with a staff of 9 and 25 overall across the region, but they intend to hire more this year. “A big part of our job is making sure is we support the local community whether freelance or sellers or providers. So, we are very active working with the different stakeholders,” he adds. In 2017, Payoneer held activities in 30 cities, including 5 Payoneer forum, an information sharing session where they invite speakers to talk to entrepreneurs, professionals and businesses. It is all about how to bring their business to the global arena. They are looking at more cities this year. Typically, its forum attracts between 300 to 400 people. “Payoneer empowers business to go global by offering them a complete solution,” he adds. He cited an enterprising call center employee in Iligan who now owns a BPO center and is now an advocate of helping others in the area to work online by helping them go online. “I think the Philippines is quite advanced in adopting new technologies,” says Warren. Although a large percentage of the country still remains unbanked, there is definitely a big opportunity to help them participate in the digital world. He said the internet provides business more growth and more employment opportunities which are driving the needs of companies like Payoneer. “Several hundred need solutions to get funds in and the experience is what we focused on to provide digital seamless experience and making sure that we always reduce the friction,” he adds. “I am seeing a lot of positive signs and at the end of the day I think if I want to connect to markets I have to participate in the global economy. You have to be connected to move quickly,” he adds. “We are uniquely positioned to help small and emerging businesses. We are very focused as we put all our efforts in helping clients grow and making sure we can offer them additional tools and ways for their business to prosper,” he adds. They are also now tapping larger companies where they believe there is good potential for their solution for back payments and their integration to other online platform so they can easily process payments. “There are opportunities to share values and improvements,” he adds noting that a lot of large companies are still doing the traditional banking system, but a lot of them are already adopting because it would be hard to send payments the traditional way. Security issues Warren said that one of the key things Payoneer is paying close attention to is complying with regulations in every country where they operate. That includes compliance risk management, data protection and safety. “We address these things very seriously so we work with clients to make sure they understand that their money is safe because at the end of the day we are in the trust business and we work with banking partners,” he adds. Payoneer worked very hard on ensuring they have a safe and secure platform. Payoneer also invests huge amount of money for their technology and processes to ensure payments are secure and funds that flow into the system are legitimate. Payoneer is a privately-held company funded by venture capitalists. Depending on the country where they operate, Payoneer complies with all the local regulations. There are alerts every time a money is withdrawn and, in every transaction made. The platform also offers a way to scale up so there is no need to worry as the business grows. Fintech Warren came from the traditional side of fintech, providing solutions to banks and card companies, offering them digital solutions but the adoption rate was slow. All those years, he was also closely following fintech companies like Payoneer. Finally, he joined Payoneer and found out what amazing company he’s got into. “One thing I love is the culture of Payoneer. It is all about connectedness as one company and having a common mission of helping businesses to go global. The company is very much focus that everybody has a voice to do the right thing and everybody feels being part of the organization,” he adds. “Every day there are more and more people discovering how to sell online, how to freelance and all they need is make sure they feel we are as local as they are and we understand their challenges because at the end of the day that will differentiate us from the rest,” he says. So, they put in a lot of meaningful investments in human resources and values. “I think that working in a company like Payoneer we articulate our values, including humility. It is setting a good example and working with my teams to show that we are all in this together. I am happy to roll up my sleeves,” he adds. He said he was fortunate to have a team of young, passionate and hungry people because that makes his job easier. His team is willing to go the extra mile to address customer issues quickly. Now, Warren is focusing a lot on business development but that includes the overall management of the region’s market. Warren’s work also ends late at night with calls and meetings from other parts of the world, but he really does not mind because everybody is engaged and passionate about the product. “When we hear the amazing stories of users that give us the motivation to do more to help them because if we can find and help more entrepreneurs go global that is better for us,” says Warren, who likes unwinding with his wife and daughter by cooking together. “We see big adoption so we focus here because if we work with them we continue to grow,” adds Warren, who finished management engineering from Ateneo de Manila University. Warren has been involved in financial services software but he just loves fintech more. He finds fulfillment with Payoneer because it is different when you are able to solve problems and help ease the pain points of start-ups. There is no holding back, fintech is here and Payoneer is leading the way.
Miguel WarrenRegional Head
PAYONEER PHILIPPINES REGIONAL HUB The internet has opened wonders in business we never thought were possible decades ago. It has overhauled the way people do banking and in handing their finances. The traditional banking system, no doubt, has been forced into collaborating with the digital financial technology (fintech) companies to provide faster and convenient ways of doing business. Payoneer, a leading global cross-border payments company, is now challenging the fintech industry as it drives global growth for digital marketplaces, platforms and SMBs, and addresses the gaps in the marketplace. Payoneer is named as such to capture the imagination of its clients of its pioneering efforts to address the growth of global cross border business by providing solutions that will catapult these small enterprises to the global arena. Miguel Warren heads the Philippines’ regional hub, supervising the entire southeast Asia and other jurisdictions Pakistan, Bangladesh and Sri Lanka. The company Payoneer seeks to empower businesses and bridge the gap in the complicated traditional banking transaction. With Payoneer, receiving payment for business transactions is made easy. Its platform enables locals to sell to the international market and receive payments in the most convenient and cheapest way. According to Warren, the growth of fintech especially Payoneer is driven by the rise of the global marketplace where everyone is given the equal chance to undertake freelance jobs, sell merchandize and services online. This new way of working and earning has given rise to the need to receive payments directly across borders whether business to business or business to customers. As such fintech companies are rising to the challenge. The fintech revolution is here. “We provide a global platform in more than 200 countries in 150 currencies across the marketplaces,” says Warren. Payoneer empowers global commerce by connecting businesses, professionals, countries and currencies with its innovative cross-border payments platform. In today’s borderless digital world, Payoneer enables millions of businesses and professionals to reach new audiences by facilitating seamless, cross-border payments. Additionally, thousands of leading corporations including Amazon, Google, Airbnb, UpWork and Getty Images use Payoneer’s mass payout services. Payoneer is fast climbing up to the position as solutions provider for global business. With Payoneer’s fast, flexible, secure and low-cost solutions, businesses and professionals in both developed and emerging markets can now pay and get paid globally as easily as they do locally. Founded in 2005, the New York-based Payoneer is venture-backed, profitable and ranked in the top 100 of Inc. 5000’s Financial Services companies. It has been expanding globally, including the Philippines in 2016 although it has been present in the country since 2010. Warren noted how Filipino businesses adopt the service, mirroring the rise of the outsourcing and freelancing industry in the country. There have been similar digital platforms, but Payoneer focuses largely on the business to business and offers more ways of getting paid at much better rates. “So, if you are earning on a marketplace or freelance or selling goods you can receive funds direct from international clients. We have billing services and you send invoices to international clients,” he adds. One of the innovative solutions Payoneer offers is a virtual bank account in different currencies for flexibility purposes. According to Warren, this is particularly useful for BPOs or freelancers of American clients where they don’t need to pay anywhere from $50-$70 for bank transfer as it is just linked to your account in any local bank or get a Payoneer debut card that you can encash at any POS. Payments in your account can also be used to pay to a business partner via Payoneer. Payoneer is also concerned that it should deliver to customers with speed. Funds which are deposited in the evening can be accessed the following morning. “We are proud of ourselves for the solutions that provide many convenient ways to pay and receive money quickly,” he adds. Credit card payments though will require three to five days clearing but once it is already in the account, the speed of transfer is a lot faster. This is true in any of the 200 countries where Payoneer operates. In the Philippines, all banks with swift codes can receive funds from Payoneer. Globally, Payoneer has 4 million clients already but Warren cited the Philippines for growing very quickly on the back of continued sign ups. The Philippine profile is largely B to B. “The interest is very strong in my region. That is also true in the entire southeast Asia where growth continues aggressively as more are using the platform every day,” says Warren. There are an estimated 1.5 million freelancers in the Philippines. There are more than 150,000 using Payoneer and growing with daily sign ups. With government support through the Department of Information and Communications Technology, freelancing in rural areas is now within reach. Actually, it is quite easy to sign up in four steps. And it is absolutely free. The government is also pushing for world impact sourcing program, targeting 100,000 small and medium enterprises to sell online by 2020. There is also a strong collaboration among various stakeholders to encourage freelancing and SMEs to sell online and tap the international market easily. Competitive Payoneer helps to streamline the fees by providing flexible solutions to drive savings from cross border transactions. Warren said Payoneer grants competitive if not better rates than the existing market leader. Savings from foreign exchange and fees could be substantial. For instance, one client said his savings from forex and fees with Payoneer can already pay for a month’s office rental. Payoneer also offers customer solutions and personalized onboarding experience to help online entrepreneurs and freelancers grow. They work with several vendors and facilitate fund transfer easily than the complicated international bank transfer where transactions could take a month. Regional hub As regional head, Warren oversees markets in Southeast Asia, Pakistan, Bangladesh and Sri Lanka. Five out of the top 10 countries (Indonesia, Vietnam, Philippines, Pakistan, and Thailand) are in the fastest internet markets in the world are in the region. “We are focusing initially on these set of countries because this is where we see opportunities because of the rising internet penetration,” he adds. Aside from the Philippines, which tops the world as an outsourcing destination especially for voice and where freelancing is booming, Pakistan’s freelance industry and online business are also growing very fast. Malaysia and Thai companies are also aggressively exporting online. Because they are connected digitally and communication is readily available, overseeing operations is easier. He visits these 14 markets as the need arises. “I try to control the time away from home, but probably a couple of times in a quarter because there are events and partners are looking for assistance. It is actually getting better understanding of how we can continue to get more local and feel more local in those countries,” he adds. The Philippines as regional hub has been driving growth. Payoneer announced a record growth in its 2016-2017 business performance. Bangladesh and Pakistan also have growing contributions. Since its 2016 launch, Payoneer Philippines has seen a 472 percent growth in the number of active monthly users, leading to a record 483 percent growth in monthly core payment volume and 663 percent year-over-year Billing Service payment volume growth. This growth was primarily driven by freelancers and service providers. Warren expressed confidence in the company’s continued growth, expansion and investment in the market. He noted the region’s significant contribution to Payoneer’s global business, along with its impact on the growth of freelance and outsourcing industries. As key market, Payoneer has localized its offerings here and is building a strong team to support growth. The country’s outsourcing industry is expected to continue provide more growth impetus, he said. “Filipinos are also getting more tech-savvy, those services that are being provided are widening, from outsourcing call-center related services to technology-driven services. There’s a whole other wave of growth that’s coming. The sophistication of the market here, the quality of education, the quality of English and the global orientation of business people mean there’s tremendous opportunity,” he adds. Warren further cited the steady global rise of the freelance economy that helps fuel Payoneer’s phenomenal growth. “In a way, our work also becomes an advocacy. Payoneer’s growth parallels the trends that we see in the freelance and outsourcing industries. With our expansion, we conduct roadshows to empower small businesses, and we can’t wait to duplicate the Payoneer Philippines’ and the freelancers’ success in other countries. The goal is not just to benefit us but also to empower our core market,” says Warren. “We’re thrilled to be helping small business owners tap into new opportunities all around the world.” “Our goal is to lower borders for them and make it easier to go global. Technology and internet have created a new digital economy, but with international expansion comes a number of logistical and operational challenges. Through our payment services and our network of global partners, Payoneer provides the tools that modern businesses and entrepreneurs can grow.” With the recent appointment of the Philippines as southeast Asia regional hub, Warren anticipates amazing opportunities not just online but e-commerce and entrepreneurs selling goods online not just the locals but enterprising individuals putting up their own BPOs in the provincial areas. Filipinos have also combined work with small online business with potential to scale up quickly and tap the international clients. “With social media, we are seeing a lot of opportunities for growth,” he adds. As such, Payoneer is actively doing marketing efforts to make more users understand its services because that would also facilitate their growth. Already, Payoneer is now in the top five in terms of global growth and is number one in the region. China alone is its biggest market globally. As a hub, the Philippines provides information and onboarding support to either users, business partners and community partners. The team in Manila is still small with a staff of 9 and 25 overall across the region, but they intend to hire more this year. “A big part of our job is making sure is we support the local community whether freelance or sellers or providers. So, we are very active working with the different stakeholders,” he adds. In 2017, Payoneer held activities in 30 cities, including 5 Payoneer forum, an information sharing session where they invite speakers to talk to entrepreneurs, professionals and businesses. It is all about how to bring their business to the global arena. They are looking at more cities this year. Typically, its forum attracts between 300 to 400 people. “Payoneer empowers business to go global by offering them a complete solution,” he adds. He cited an enterprising call center employee in Iligan who now owns a BPO center and is now an advocate of helping others in the area to work online by helping them go online. “I think the Philippines is quite advanced in adopting new technologies,” says Warren. Although a large percentage of the country still remains unbanked, there is definitely a big opportunity to help them participate in the digital world. He said the internet provides business more growth and more employment opportunities which are driving the needs of companies like Payoneer. “Several hundred need solutions to get funds in and the experience is what we focused on to provide digital seamless experience and making sure that we always reduce the friction,” he adds. “I am seeing a lot of positive signs and at the end of the day I think if I want to connect to markets I have to participate in the global economy. You have to be connected to move quickly,” he adds. “We are uniquely positioned to help small and emerging businesses. We are very focused as we put all our efforts in helping clients grow and making sure we can offer them additional tools and ways for their business to prosper,” he adds. They are also now tapping larger companies where they believe there is good potential for their solution for back payments and their integration to other online platform so they can easily process payments. “There are opportunities to share values and improvements,” he adds noting that a lot of large companies are still doing the traditional banking system, but a lot of them are already adopting because it would be hard to send payments the traditional way. Security issues Warren said that one of the key things Payoneer is paying close attention to is complying with regulations in every country where they operate. That includes compliance risk management, data protection and safety. “We address these things very seriously so we work with clients to make sure they understand that their money is safe because at the end of the day we are in the trust business and we work with banking partners,” he adds. Payoneer worked very hard on ensuring they have a safe and secure platform. Payoneer also invests huge amount of money for their technology and processes to ensure payments are secure and funds that flow into the system are legitimate. Payoneer is a privately-held company funded by venture capitalists. Depending on the country where they operate, Payoneer complies with all the local regulations. There are alerts every time a money is withdrawn and, in every transaction made. The platform also offers a way to scale up so there is no need to worry as the business grows. Fintech Warren came from the traditional side of fintech, providing solutions to banks and card companies, offering them digital solutions but the adoption rate was slow. All those years, he was also closely following fintech companies like Payoneer. Finally, he joined Payoneer and found out what amazing company he’s got into. “One thing I love is the culture of Payoneer. It is all about connectedness as one company and having a common mission of helping businesses to go global. The company is very much focus that everybody has a voice to do the right thing and everybody feels being part of the organization,” he adds. “Every day there are more and more people discovering how to sell online, how to freelance and all they need is make sure they feel we are as local as they are and we understand their challenges because at the end of the day that will differentiate us from the rest,” he says. So, they put in a lot of meaningful investments in human resources and values. “I think that working in a company like Payoneer we articulate our values, including humility. It is setting a good example and working with my teams to show that we are all in this together. I am happy to roll up my sleeves,” he adds. He said he was fortunate to have a team of young, passionate and hungry people because that makes his job easier. His team is willing to go the extra mile to address customer issues quickly. Now, Warren is focusing a lot on business development but that includes the overall management of the region’s market. Warren’s work also ends late at night with calls and meetings from other parts of the world, but he really does not mind because everybody is engaged and passionate about the product. “When we hear the amazing stories of users that give us the motivation to do more to help them because if we can find and help more entrepreneurs go global that is better for us,” says Warren, who likes unwinding with his wife and daughter by cooking together. “We see big adoption so we focus here because if we work with them we continue to grow,” adds Warren, who finished management engineering from Ateneo de Manila University. Warren has been involved in financial services software but he just loves fintech more. He finds fulfillment with Payoneer because it is different when you are able to solve problems and help ease the pain points of start-ups. There is no holding back, fintech is here and Payoneer is leading the way.