# PAGA Case: Tpaga

Empowering SME's to receive cross border payments via WhatsApp


### PAGA Case: Tpaga

Empowering SME's to receive cross border payments via WhatsApp


## Description

Tpaga created a WhatsApp bot to enable SMEs to send and receive cross-border payments using their existing smartphones, without needing additional tools or hardware. This solution helps millions of businesses empower themselves and digitize cross-border payments, initially focusing on the USA-Colombia money transfer market.


### Territory

Plan to reach 4.5 million SMEs in Colombia by Q4 2025 and expand to over 60 million SMEs in Latin America thereafter.


### Year of introduction

Tpaga is already using WhatsApp to open bank accounts, provide access to credit and pay bills. As per cross border, they have initiated in August 2024.


### Participants

Tpaga is a Colombian fintech, founded by Endeavor Entrepreneurs and accelerated by Y Combinator.  Tpaga is participating with two Mexican fintechs, Balam and Bitso, and indirectly with the USA pharmacy, Walgreens, to build this solution.


### Potential impact

The Total Addressable Market (TAM) includes over 300 million WhatsApp users.On average, 50% of these users have their own side business, and 50% expect to have international customers. In Colombia, there are 4.5 million SMEs, and across Latin America, there are over 60 million SMEs.


## Lessons learned

Sometimes, the most advanced technology isn't the best fit for certain demographics. For non-tech-savvy SMEs, WhatsApp proved to be more effective than neobank apps.Establishing direct API connections with local financial players proves more effective for real-time payments than relying on intermediary solutions.Dual-layer compliance checking (at both ends of the solution) for KYC and AML provides stronger risk management and regulatory adherence.


## Public materials

Paga tu factura Movistar con Tpaga WhatsApp - YouTubeCross Border Payments - Desde USA a Colombia - YouTube¡Llegó 𝗪𝗵𝗮𝘁𝘀𝗔𝗽𝗽 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 a Tpaga! - YouTube


## Submitter

Andrés Gutierrez Founder and CEOTpaga

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