SUCCESS STORY
EasyTransac partnered with Lemonway to migrate its payment operations smoothly, ensuring uninterrupted service, security, and full compliance.
+88%
Lemonway achieved an 88% acceptance rate vs. 82% with previous providers.
+88%
Lemonway achieved an 88% acceptance rate vs. 82% with previous providers.
Created in 2015, EasyTransac makes it possible for users to use their smartphone as a payment terminal, anywhere and at any time, thanks to a free mobile application.
Craftspeople, lawyers and even entrepreneurs can thus receive payments without having to worry about the complexity of credit card POS terminal. However, collecting funds from customers and transferring them to beneficiaries is considered provision of a payment service, which is a highly regulated activity. To relieve itself of this role and focus solely on its core business, EasyTransac elected to use a payment service provider.
"The choice of payment service provider has a direct impact on the profi tability of business. If the PSP fails to comply with the regulatory framework for the provision of payment services, this directly affects the company that uses its services. "
Sylvain-Mathieu Lamarche
President of EasyTransac
1. The challenge
Because the provision of payment services is so highly regulated, a PSP must be diligent in verifying the types of merchants its customers serve. Sylvain-Mathieu Lamarche realised quickly how crucial to managing client relations was the choice of PSP, and the latter’s ability to quickly handle regulatory issues.
"We are very demanding on compliance. It makes sense to be, because the regulations are strict (KYC, LCB-FT ...) and can have a significant impact on our performance. If we waste time defending customers to the authorities on a case-by-case basis, our business cannot be profi table.
With our previous PSP, we had some customer problems due to misinterpretation of regulations. For example, one of our tour operator customers was offering trips to a country under embargo. Following reassurances by our PSP, we onboarded the travel company.
However, as it turned out, the activity was not permitted by the regulations in force. These various hazards due to compliance problems cost us a lot of time and money!"
Sylvain-Mathieu Lamarche
President of EasyTransac
In order to focus on EasyTransac’s core business—namely allowing professionals to receive payments without the help of a POS terminal for credit cards—Sylvain started looking for a new PSP that was:
- Expert and up to date on regulatory issues.
- Offering an easy to integrate solution for migrating the entire business without service interruption and without direct impact on EasyTransac’s 6,000 payment accounts
Ultimately, Sylvain opted for the Lemonway turnkey solution. Below, he provides a look back on his reasons for choosing this collaboration.
2. EasyTransac and Lemonway: a Winning Combo
1. Why Lemonway?
Because Lemonway offers a solution that is easy to integrate and in order to ensure full compliance with the regulatory framework governing the provision of payment services.
Indeed, violation of these restrictions carries penalties that can weight heavily on the activities of a company like EasyTransac. Sylvain understood early on that to simplify things and focus on his core business, it was better to integrate a payment service provider. To this end, the Chairman of the start-up first called on the services of Lemonway for the launch of EasyTransac. The collaboration was suspended in 2016, and EasyTransac tested several of the solutions offered by various competitors. Realising that his activities paid a heavy price for their lack of vigilance, Sylvain-Mathieu Lamarche decided to migrate his business to Lemonway.
What were the benefits?
- Painless migration
- Lemonway makes the regulatory aspect its priority.
- New features have made their appearance at Lemonway (Ibanisation, Instant KYC...)
- New directions for growth in partnership with Lemonway
- Day-to-day support provided by expert teams
"Lemonway has put a great deal of effort into the compliance side of things and you can see that right away. They listened carefully to our requests and made the necessary changes. I really feel like I’m being listened to, something I’ve never found to be the case with other PSPs.
The migration of our business to Lemonway was completed in several stages and according to a schedule established in advance and without any problems. The account management teams listened closely throughout. We knew where we were going."
Sylvain-Mathieu Lamarche
President of EasyTransac
2. Box - Process
- First week- Technical support: regular physical meetings with the Lemonway teams. The device was installed in 4 days and without service interruption.
- Month 1 - Complete and effective business migration: Lemonway carried out an entirely transparent verification of all EasyTransac merchants that entailed no technical intervention on their part and had no impact the company’s business. Despite the arrival of PSD2, no technical or functional problems have appeared. Real efforts have been made to ensure that the implementation of PSD2 is smooth for the partners.
3. What’s the outcome?
- No interruption of EasyTransac services
- Increased acceptance rate: +88% for Lemonway compared to 82% for previous providers
- EasyTransac’s rates have been reduced: commission per transaction has dropped from 1.9% to 1.2%.
"I need Lemonway, the lines of communication are smooth, and I’m delighted to see the product evolve, especially with V2 of the Back Office. The ongoing implementation of new payment methods also bodes well for new innovations that are perfectly in line with our development strategy."
Sylvain-Mathieu Lamarche
President of EasyTransac
About Lemonway
Lemonway is a pan-European Payment Institution offering a solution dedicated to marketplaces, and alternative finance platforms looking for a payment processing and collection system on behalf of third parties in a secure and regulated framework. Regulated by the ACPR and benefiting from the European passport in 29 countries, Lemonway is based in Paris, Hamburg and Milan.