Our founder’s perspective: Why Cross-border payments are a lifeline and the vital role Sendsprint plays

Building products in the world of financial technology, particularly in cross-border payments, requires deep understanding that extends beyond the technical aspects; it goes beyond familiarity with financial jargons.

For people who rely on remittance, especially those using payment platforms to send money across borders, it is far more than just a digital transaction.

In this Q&A, we interviewed Damisi Busari, our CEO at Sendsprint, to gain her unique perspective on the cross-border payments industry, its challenges, and the vital role that Sendsprint is playing in shaping the future of payments.

Question 1: Can you elaborate on the impact of remittance?

Answer: Some people think remittance simply means “sending money from one person to another,” but that’s just one of the many perspectives. Across the world today, especially in developing countries, remittance is important for people’s livelihood. It is what sustains them, gives them the opportunity to be independent, and helps them maintain connection with their loved ones.

Think about a parent in the US sending money to their family members in Nigeria to pay school fees, or an adult sending funds to their aging relatives in Ghana for medical care. These aren’t just money transfers; they’re critical lifelines. Remittance as an industry should be seen as a way people in diaspora fund necessities such as education, healthcare, and new business ventures; it directly fuels local economies and sustains families. The impact is profound, and in some countries, these flows exceed the direct foreign investment. This is part of what fuels my vision for Sendsprint, as we aim to make infrastructure and license access easier for innovative products in the remittance space.

Question 2: Alright. Now, the global remittance market is massive, but challenges surely exist. What are some of the biggest challenges you think new businesses trying to enter this space will face?

Answer: The remittance market is actually massive, with a global size that exceeded $860 billion in 2023, a significant portion of which flows into Sub-Saharan Africa. Despite the prospects in this market, one major challenge still remains the complex process of payments.

The remittance industry is highly regulated, particularly in the US, and it’s for really good reasons. The industry is designed to prevent illicit, fraudulent, and scam activities in order to protect consumers. But this level of regulation is what creates challenges for new entrants, especially innovative startups. They must properly navigate complex licensing requirements, delicate compliance checks, and implement robust anti-fraud measures.

All of this can be incredibly time-consuming and expensive, costing millions of dollars and taking years to set up. These strict demands could stifle innovation, but they are imperative for any new player to take note of and find ways to manage the process efficiently.

Question 3: So, with these recognized challenges, how can new companies in this landscape succeed without getting held back?

Answer: Partnering with the right infrastructure providers can help startups get the right support they need. Companies can avoid the friction in obtaining licenses, setting up compliant systems, or building payments infrastructure in order to thrive in this market.

Our Market Entry Toolkit at Sendsprint is designed for this very purpose.

We partner with new and existing money service businesses registered in the US, giving them access to our operational licenses. This allows them to focus on other important business needs.

We’ve invested the time and resources to obtain our Money Transmitter Licenses in major US states, so our partners don’t have to. We believe that true innovation in remittances shouldn’t be held back by regulatory barriers; rather, it should be fast-tracked by reliable, compliant, and scalable infrastructure.

Question 4: What do you see as the future of remittances and the role remittance providers will play in that future?

Answer: From recent trends in the industry, the future of remittances will focus on making payment flows more accessible, more affordable, and ultimately, more impactful. The next wave of innovation won’t come from companies just moving money faster, but from those who can leverage robust, compliant infrastructure to create better financial flow as a service for people across the world.

Question 5: What would you say to any money service business thinking about partnering with Sendsprint?

Answer: The remittance industry plays a significant role in the world today by connecting people and promoting businesses. In my experience, having a good understanding of the various components of payments is a good start. Intending partners should feel confident when relying on a trustworthy remittance infrastructure, like what we’ve built at Sendsprint.

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Our CEO, Damisi Busari, has provided a clear and realistic perspective on the remittance market’s existence, the need to build better products in the space, viewing remittances not just as a ‘simple’ payments industry, but as a crucial lifeline of support and opportunity for millions worldwide.

If you’re a money service business looking to enter or expand in the US market, this is your opportunity to leverage a robust, compliant platform built for growth at Sendsprint.

Book a demo today, and let’s start a conversation about your needs.