SMEs in South Africa have largely moved beyond the first stage of digital payment adoption, but a productivity gap remains, according to Visa in its latest Pay and Get Paid 2026 report.
The new report says the vast majority of surveyed SMEs in South Africa actively accept and make digital payments, underscoring how deeply digital commerce is now embedded in the country’s small business economy. However, many SMEs still manage the related financial and operational tasks separately – with only four in 10 currently using an integrated solution that connects payments with broader business management.
The report shows that financial administration and disconnected tools create friction for SMEs, with surveyed businesses citing challenges in tracking outstanding invoices (27%), keeping payroll records organised (23%), and keeping financial records organised (27%). These pain points reflect a disconnect between payments and the operational tasks that follow, with some businesses juggling multiple systems to keep their business running.
The appetite for a more connected approach is clear.
According to the report, 81% of SMEs find an all-in-one solution appealing, reflecting strong interest in tools that can bring payments and key business operations into one experience. However, adoption has yet to catch up: only 41% of SMEs currently use an integrated payment and business platform.
The report points to several perception barriers that may be slowing adoption.
Among SMEs not currently using an integrated business tool, cited reasons include that they consider it too expensive (16%), already have manual processes that work (14%), or believe their business is too small to need one (11%). These findings suggest that broader adoption will depend on helping SMEs better understand how integrated tools can be relevant, accessible, and scalable for businesses at different stages of growth.
At the same time, the experience of SMEs already using integrated solutions suggests a strong value case. The report found that South African businesses using an integrated tool or platform report 97% satisfaction, with 91% reporting efficiency gains – including reductions in the time and effort required to manage their business.
Beyond efficiency, integrated platforms may also create new opportunities for financial institutions to deepen SME relationships by using richer payments and business-management data to better understand cash flow patterns, support risk assessment, and potentially enable more relevant lending solutions over time.
Lineshree Moodley, country manager at Visa South Africa, says: “As digital transactions become part of everyday commerce, the value for SMEs increasingly lies in what those payments can enable after the transaction. For issuers, this points to a broader opportunity: integrated platforms can help build a more complete, data-informed view of SME needs, opening the door to more tailored support and, where appropriate, financing solutions that can help businesses manage working capital and grow.”