You know how the saying goes – “better safe than sorry.” This statement can apply to many things in life, including your online banking habits. Whenever you access any financial services via the internet, you need to be cautious to keep your money and data safe. Genome provided some of the tips on online banking security below. Financial security tips for using online banking Before we begin, we want to remind you that the term online banking refers to any financial service, operation, or activity you access with the help of the internet – via a mobile app or web
In 2021, the number of non-cash payments amounted to 114.2 billion in the euro area alone. Needless to say, our daily lives are full of transactions.
So, an important question arises: are you sure you understand the difference between a personal and a business transaction? Today, Genome’s team is here to sway away all the doubts you may have about what business transactions are.
Definition of a business transaction
Generally, a business transaction is a broad term representing a process during which two or more parties exchange money, products, or services. The common denominator with all these transactions is that one of the parties is a company. Thus, such transactions are made for business purposes, not individual ones.
These transactions, no matter their form, must be measured monetarily so that they can later be used for the accounting purposes of a company. Also, you need something to confirm that the transaction was made – like a receipt, sales order, etc.
Let us give you a business transaction example: for instance, you need a website for your e-commerce company. So, you pay the contractors that will develop and design it for you. Your payments for their services will be considered transactions of a business.
What are the different types of business transactions?
First of all, there are various ways such transactions can be made. Thus, these are:
- Cash transactions – payments that are made using cash;
- Card transactions – payments made using a debit\credit card;
- Credit transactions – when payment for a particular product or service is made after a certain period. For instance, if you sell something, you can give a customer six months to pay it off.
We can also differentiate between business transactions by the situations they are carried out in.
- B2B transactions. A business makes payments to another company for its products or services. For instance, your enterprise can rent an office space, pay contractors, or buy office supplies – all considered business transactions.
- Bank payments. Some services your company requires from the bank also fall under the business transactions umbrella. For instance, when you take a loan.
- Payments from customers. These are simple: any time a client buys something from you – whether at a physical location or on a website – it is considered a business transaction.
All in all, you can make daily business transactions and even small business transactions if you are just starting a company. All you need is to open a business account, and Genome has you covered!
Business transactions with Genome
Genome provides services for multiple types of companies – from e-commerce to travel agencies. All with the help of our business wallets! All you need to apply is:
- Fill in information about yourself and pass the identity verification;
- Provide some details about your company;
- Add information on the ownership structure;
Once you have your business account, you can apply for a merchant account to accept payments for goods and/or services.
*Please note that SWIFT transfers are temporarily unavailable.
Our business account has a shared access feature, meaning you can allow other employees to manage it and share responsibilities.
And, with the merchant account, you can accept business transactions in 20 currencies and from cards and 40+ alternative payment methods.
What is a business transaction?
It is a payment made for business purposes between two or more parties. One of the participants must be a company, and the payment needs to be documented (via receipt, etc.)
Types of business transactions
Business transactions differ by how they are carried out – using cash or e-payments. And by the circumstances, they are made in – B2B payments, clients’ transactions, and some other transactions. We described these in more detail above.
What is a commercial transaction?
It is a transaction for a product or service that occurs when a client buys something from a company. B2B payments and payments can also be classified as such.
What is an example of a business transaction?
There are many business transaction examples. For one, if you sell shoes online, and a client buys a pair from you, it is considered a business transaction. Another example is you hire a company specializing in event organizing and pay them to set up a conference for your company.