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7 Months ago | 3.8 mins read

GET YOUR ONLINE CUSTOMERS A LIPA NA MPESA OPTION

by Karen Webs

Wednesday, 14th Nov 2018 | 11:11:40 AM

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The registration requirements will vary depending on the nature of your business as you can register as an individual or an NGO et cetera.


Mobile financial services provide the most convenient solutions for instantly sending or receiving money securely, and MPESA is evidently the most popular such service in Kenya. This article is ideal for online businesses in Kenya with customers who have access to MPESA services and it will briefly discuss how to register for a LIPA NA MPESA account, the difference between PAYBILL and BUY GOODS & SERVICES options, the LIPA NA MPESA charges, as well as how to add the LIPA NA MPESA service to your website.

[b]How to register for a LIPA NA MPESA account[/b]

Before you get a LIPA NA MPESA till-number or pay-bill number that your customers will use to pay for your goods or services, you need to apply directly at any Safaricom branch near where you will fill out the appropriate formal request for the LIPA NA MPESA service for your business category. You can download the application forms directly from the Safaricom website as well as get any further assistance you might require from their customer care staff (I will provide direct links to the application resources at the foot of this article). The registration requirements will vary depending on the nature of your business as you can register as an individual or an NGO et cetera.

[b]The difference between PAYBILL and BUY GOODS & SERVICES options[/b]

The PAYBILL option is suitable for businesses where customers subscribe to billing services such as electric bills, water bills, internet bills, maintenance bills, et cetera. The BUY GOODS & SERVICES option is suitable for businesses where customers pay for products and services at checkout such as supermarkets, salons, restaurants, et cetera. There is also a difference in the maximum amount of money that can be deposited in either option and the minimum amount that can be withdrawn as well – the BUY GOODS & SERVICES option is favored for its withdrawal limits while the PAYBILL option is favored for its deposit limits.

[b]LIPA NA MPESA CHARGES[/b]

In both the PAYBILL and BUY GOODS & SERVICES options, the charges are categorized into the same 3 tariffs – [i]business mgao tariff[/i], [i]business bouquet tariff[/i], and [i]customer bouquet tariff[/i]. In the [i]business mgao tariff[/i], the LIPA NA MPESA charges are split between the customer and the business with the business paying the larger share of the charges. In the [i]business bouquet tariff[/i], the customer takes full responsibility of the LIPA NA MPESA charges and the business pays nothing while in the [i]customer bouquet tariff[/i], the business takes full responsibility of the LIPA NA MPESA charges and the customer only pays for the product or service but zero LIPA NA MPESA charges (see detailed charges in the link I have provided at the foot of this article).

[b]Adding LIPA NA MPESA to your website[/b]

There are two ways to add LIPA NA MPESA to your website – basic method or API method. The basic method is simply to display the information that your customers should enter in their mobile phones and where so as to make a LIPA NA MPESA payment for your products or services. The API method is advanced in that you need to integrate a LIPA NA MPESA application into your website that your customers can use to make payments instead of making the transaction on their phones. To get the API method, you need to visit any Safaricom branch near you to apply and get the appropriate assistance from the Safaricom support staff.

[b]There you have it[/b]

If you have a plan to give your business an online presence for the obvious marketing and sales opportunities, please consult Karen Webs via the contact information supplied in this website and we will commit our expertise to adding value to your business.

[b]Resource links[/b]

[url=https://www.safaricom.co.ke/images/Downloads/Resources_Downloads/Paybill_Application_Form_and_Terms&Conditions.pdf]Click here to download LIPA NA MPESA application form[/url]

[url=https://www.africastalking.com/downloads/mpesa_transaction_charges.pdf]Click here to compare LIPA NA MPESA tariffs[/url]

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