Everything You Need to Know About M-Pesa’s Pochi la Biashara

Safaricom celebrated its 20th anniversary and introduced its Twende Tukiuke campaign that featured a number of announcements including the launch of a new feature known as ‘Pochi la Biashara’ on M-Pesa.

In line with plans to innovate around Small and Medium-sized Enterprises (SMEs), the new feature is targeted at small business owners. It’s a timely addition especially as more Kenyans opt for cashless transactions due to the ongoing Covid pandemic.

‘Pochi la Biashara’ allows business owners to receive money directly on their M-Pesa lines without signing up for ‘Lipa na M-Pesa’. Customer payments instead flow into a separate wallet within M-Pesa. 

This is pretty amazing for a lot of small business owners such as bodaboda riders, mama mbogas, who may not have a Lipa na M-Pesa account as it will help them keep better track of money from their businesses. 

The separation of business funds from personal funds will also be reflected in that money sent to the business wallet will not be deducted by Fuliza, Safaricom’s overdraft service.

Business owners can sign up easily by dialing *334# without needing the paperwork that Lipa na M-Pesa requires. They will also be able to sell airtime and get a 5% commission on the value of the airtime sold thus allowing them to get an additional source of income. 

To make a payment, customers will also dial *334#, select Lipa na M-Pesa, then select Pochi la Biashara before completing the transaction. The service offers a level of professionalism and privacy as unlike paying directly to someone’s personal M-Pesa account, paying to their Pochi account doesn’t reveal a customer’s phone number.

Business owners will be able to opt in or out of the service at will, and have access to statements of their business accounts. They will also enjoy power over reversals as they will need to consent to any requests of a reversal of a transaction.

In terms of charges, customers will be charged the regular M-Pesa sending fees while the business owner will not be charged to receive. To withdraw funds, the business owner will be charged the regular M-Pesa withdrawal rates.

Safaricom CEO, Peter Ndegwa, disclosed that various data products targeting SMEs are in the pipeline, as well as a digital academy to equip small business owners with important skills. Sounds like there’s a lot to look forward to for SMEs from Safaricom in the coming year.