Running a business is enjoyable — but it’s certainly not easy. It can be stressful trying to keep up with all the financial trends that will impact your company. However, it’s necessary to make sure that you’re keeping up with competitors and can predict any issues.
We’re here to help. We’ve made a list of some of the most important financial trends that business owners should be aware of. Understanding these trends will help you predict your business’s future and make the smartest decisions for its future.
Let’s jump in!
1. The Rise of Cryptocurrency
The rise of cryptocurrency is perhaps the most important financial trend to occur in the past decade. Although Bitcoin was launched in 2009, Cryptoholics notes that recent years have seen a huge increase in its popularity — in part due to billionaires like Elon Musk championing the product.
Cryptocurrency is a form of virtual currency that operates on the blockchain. Many business owners like cryptocurrency as it is much harder to steal and makes for quick, secure transactions.
It’s important to understand the risks and benefits of cryptocurrency. Although Bitcoin is the most well-known form, there are now thousands of different cryptocurrencies. Understanding cryptocurrency trends will help you assess the impact on your business and whether you should start accepting this payment method.
2. Virtual Customer Service
The past two years have seen a significant shift away from traditional face-to-face business relationships. As of March 2021, 30% of employees were working remotely — usually from home. This shift has led to major changes in how businesses and financial services operate.
The impact that this will have on your business predominantly depends on the services you provide. For example, if you are a roofing company, your services will almost certainly still be face-to-face. However, if you are a company providing journalism, you may find that almost all of your employees are now working from home.
Although remote management can be difficult, it is possible to still have effective and useful communication in the work-from-home era. Make sure to set up video chats and encourage employees to communicate with one another as before. Understanding financial laws and regulations and the future of virtual work is crucial for effective business functioning.
3. Rise of FinTech
FinTech stands for financial technology. In its essence, it aims to compete with traditional financial services by using technology to make customers’ lives easier. Prime examples include smartphone banking, applying for loans online, and transferring money without having to physically visit a branch.
66.7% of banking executives think that FinTech will impact wallets and mobile payments globally. As such, you can expect it to have an impact on your business.
By jumping on this trend, you may be able to get business assistance and process payments a lot more easily. However, it can also mean more competition if your business is in the financial sector.
How to Stay Up-to-Date With Financial Trends
Learning financial trends is important, no matter what kind of business you run. Knowing these three trends is a great place to start — but you should regularly read financial magazines and speak to experts about your sector. Staying up to date on more general financial news and the actions of your competitors is also a smart move.
Knowing these three top trends will help you to understand new technology and make the smartest decisions for the growth and success of your business. Your company will continue to grow as you build your knowledge.