Noda has announced its partnership with Pats.lv in order to help the self-employed and SMB tackle the challenge of cash-flow delays.
Following this announcement, the collaboration will introduce instant invoice payments to more than 20.000 Pats.lv users, allowing their customers and clients to make direct bank transfers through the use of a single link or QR code, with immediate and secure settlement.
Strengthening expansion strategy by giving access to a unified European payments network
According to the official press release, late payments remain a major challenge and difficulty for Europe’s freelancers and SMBs, with 43% of invoices paid late and one in five self-employed professionals facing cash-flow issues. At the same time, traditional payment methods add to the problem, with multiple card fees reaching 3.5% and bank transfers requiring manual input and reconciliation. Through the process of embedding Noda’s pay-by-bank technology into invoices, the partnership enables Pats.lv users to send invoices that their customers pay through one click, aiming to improve payment speed and remove the need for card terminals or merchant accounts.
In addition, for Noda, the collaboration demonstrates how Open Banking can improve the manner in which Europe’s fast-growing self-employment and micro-business sector develops. At the same time, Noda’s pay-by-bank payments have lower fees than card networks, no chargeback risk, as well as higher acceptance rates, and instant settlement. With Noda’s network of banks across 30 European countries, Pats.lv will gain the infrastructure to expand beyond Latvia and integrate automated accounting workflows with a secure, low-cost payment initiation system.
Micro and small businesses represent 99% of all EU companies and employ nearly half of Europe’s workforce, while also highlighting the importance of efficient financial operations. Furthermore, as more professionals move into self-employment and flexible work models, and as the overall digital tools lower the barrier to launching a business, the demand for fast, secure, and automated financial processes is rising sharply. However, late payments, high transaction fees, and slow settlement are set to continue to strain cash flow. With this in mind, Noda aims to address this gap through the process of cutting payment costs, speeding up settlement, and providing SMBs and self-employed professionals with the liquidity they increasingly depend on.
In addition, the partnership will enable premium subscribers to get access to pay-by-bank completely free of charge, making fast, low-cost payments available to multiple other small businesses. This integration also aims to demonstrate how Open Banking can remove friction from everyday workflows, as well as support the growing self-employed and SMB sector across the region of 30 European countries.
