Visa Officially Classifies Micro-Businesses as Small Businesses, Offering Access to Financial Tools

In a significant move, Visa has announced that it will begin classifying its community of 200 million+ micro-business creators as small businesses within its network. This designation allows them to pay, get paid, and access working capital with ease through Visa's range of financial tools and resources.

According to Darren Parslow, global head of Visa Commercial Solutions, the classification is a response to the changing business landscape and the growing demographic of online creators who are driving innovation. "When you think of the demographic change and the way the business is changing, this is the group that will become small and mid-sized corporates," he said.

Visa's decision aims to make it easier for micro-businesses to access the digital economy by offering a range of payment services, financial education, and business skills training. By treating creators as individuals or sellers who develop and monetize content for digital platforms, Visa hopes to cater to their specialized financial needs, including cash flow management tools and flexible working capital options.

The move comes as Visa has seen significant growth in demand among creators for quick and flexible access to funds, with partnerships with major platforms driving a 20% month-over-month increase in just six months. To support this trend, Visa is launching several initiatives, including the "Get Paid" social video series, which matches aspiring creators with established mentors.

Visa's Creator Summit in Tokyo later this month will bring together experts and platforms like TikTok and Amplify to discuss ways for creators to scale their businesses, manage cash flow, and streamline payment processes. The company is also expanding its product suite to support micro-businesses, including small business credit, debit, prepaid options, digital reporting, payment controls, financial education, and business skills training globally.

With this move, Visa redefines what it means to be a small business in the connected economy, providing creators with the tools and resources they need to thrive.