How to Use M-PESA Till Numbers to Boost Your Kenyan Business

M-Pesa till numbers make payments simple. Find out how to apply, use, and maximize this powerful payment solution for your business.
How to Use M-PESA Till Numbers to Boost Your Kenyan Business

If you’re running a business in Kenya, you’ve probably heard about M-PESA Business Till Numbers. 

These tills, part of Safaricom’s Lipa Na M-PESA service, are designed to make receiving payments fast, secure, and hassle-free. 

This suits you whether you’re a retail shop owner, run a salon, or sell products and services online.

M-PESA dominates Kenya’s mobile money scene with over 30 million active users, and over 50 million across the continent. Leveraging this service ensures you’re tapping into a trusted and widely used payment system. 

What is an M-PESA Business Till Number?

M-PESA Business Till is a sophisticated payment and financial management system tailored for businesses of all sizes. 

It’s particularly well-suited for retail operations such as supermarkets, restaurants, hardware stores, pharmacies, boutiques, salons, delivery services, and online businesses that frequently process customer payments.

There are two types of tills you can choose from:

  • Buy Goods and Services: Ideal for most retail businesses, restaurants, and shops.
  • Paybill: Commonly used for recurring payments like utilities, schools, or subscriptions.

With these tills, you can collect payments, track transactions, and even access credit to grow your business.

Why Should You Use an M-PESA Business Till?

Here’s why this service is a game-changer for Kenyan businesses:

1) Versatile Payment Options

  • Customer Payments: Easily receive payments from individual customers.
  • Business-to-Business Transactions: Accept payments from other businesses, facilitating smoother B2B operations.

2) Seamless Outgoing Transactions

  • Pay Other Businesses: Transfer funds directly to other business tills or pay bills.
  • Customer Refunds: Efficiently process refunds or payments to customers.
  • Supplier Payments: Pay suppliers directly from the till, streamlining your supply chain finances.

3) Flexible Fund Management

  • M-PESA Withdrawals: Transfer funds to the owner’s nominated M-PESA account.
  • Bank Transfers: Move money directly to linked bank accounts.
  • Agent Withdrawals: Access cash at any M-PESA agent outlet when needed.

4) Additional Revenue Streams

  • Airtime Sales: Sell airtime to customers using funds in your till.
  • Commission Earnings: Earn a 5% commission on all airtime sales, creating a new income source. This means, for every KES worth of airtime sold, you bag KES 50 as commission.

5) Enhanced Security Measures

  • Operator ID and PIN: Secure access to your business funds and account information.
  • Transaction Limits: Set custom limits on transactions to prevent unauthorized large transfers.
  • Activity Logs: Keep track of all account activities for enhanced security and auditing.

6) Real-time Reporting and Analytics

  • Instant Transaction Notifications: Receive SMS alerts for all till activities.
  • Detailed Statements: Access comprehensive transaction histories and financial reports.
  • Business Insights: Gain valuable insights into your cash flow and customer payment patterns.

7) Convenient Account Management

  • 24/7 Access: Manage your business account anytime, anywhere.
  • Multi-platform Support: Use the service via the M-PESA Business App or USSD *234#.
  • User-friendly Interface: Intuitive design makes navigation and transactions simple, even for non-tech-savvy users.

8) Financial Services

  • Business Loans: Access credit facilities like Boost ya Biashara and M-PESA Business Loan.
  • Overdraft Facilities: Benefit from short-term credit options to manage cash flow.
  • Easy payment collection: Customers can send payments directly to your till, saving time and reducing errors.

9) Easy Integration 

  • You can integrate your M-Pesa to third party services that support M-PESA API. Think WordPress, QuickBooks, Sage Accounting, etc. 

For finance-based businesses looking to integrate M-PESA transactions with their accounting systems effortlessly, Jisort offers an excellent solution. 

As a cloud-based financial management platform, Jisort allows you to track payments, generate reports, and reconcile accounts in real-time. 

Learn more about Jisort services

M-Pesa Business Till Charges and Rates

Here is a simple breakdown of the charges

  • Incoming Transactions:
    • 0.55% charge, capped at KSh. 200 per transaction
    • Free for collections of KSh. 200 and below
  • Outgoing Transactions:
    • Pay to another Business Till: 0.27%, capped at KSh 200
    • Pay to a mobile number: Standard M-PESA send money charges apply
    • Pay to a utility bill: Standard Paybill charges apply
  • Withdrawals:
    • To M-PESA: Standard transfer rates apply
    • To Bank: Varies based on the receiving bank
    • At Agent outlets: Standard M-PESA withdrawal charges apply
  • Airtime Sales:
    • 5% commission earned on all airtime sold

For even easier understanding, let’s look at very specific illustrations:

TransactionFeeExample Charge for a Specific Transaction
Collecting payments0.55%, max KSh. 200Collecting KSh. 10,000: 0.55% = KSh. 55
Payments under KSh. 200FreeCollecting KSh. 150: Free
Paying another business till0.27%, max KSh. 200Paying KSh. 100,000: 0.27% = KSh. 270. Amount charged: KES 200
Withdrawing to a mobile numberStandard M-PESA charges applyKSh. 1,000 withdrawal: KSh. 28
Merchant withdrawalsStandard agent withdrawal feesWithdrawing KSh. 20,000: KSh. 185
Selling airtimeEarn a 5% commissionSelling KSh. 10,000 airtime: Earn KSh. 500

Advanced Security Measures

✔ PIN Management: Regularly update your PIN and never share it

✔ Transaction Monitoring: Consistently review your transaction history

✔ Multi-factor Authentication: Enable additional security layers where available

✔ Employee Access Control: Set up individual operator IDs for staff members

✔ Fraud Awareness: Stay informed about common scams and fraud tactics

Customer Support and Troubleshooting

  • Dedicated support email: m-pesabusiness@safaricom.co.ke
  • Phone support: Available via 100/200 for general inquiries
  • In-person assistance: Visit any Safaricom shop for hands-on support
  • Online resources: Access FAQs and user guides on the Safaricom website

How to Apply for an M-PESA Business Till

Getting an M-PESA Till is straightforward. Here’s how:

Step I) Apply online

Go to the Lipa Na M-PESA application portal and click “Apply Now.”

  • Choose the category that fits your business:
    • Individual
    • Sole Proprietor
    • Limited Liability Company
  • Fill in your details.
How to Use M-PESA Till Numbers to Boost Your Kenyan Business

Step II): Submit required documents

You’ll need:

  • A copy of your National ID
  • Your KRA PIN Certificate
  • Proof of business, like a Certificate of Registration
  • Bank account details, e.g., a canceled cheque or statement.

Step III): Approval and activation

  • For individuals, processing takes about 10 minutes.
  • Other business types take up to 24 hours.
  • Once approved, you’ll receive your Till Number via SMS.

You can activate your till by dialing *234#, selecting “M-PESA Business Till,” and setting your PIN.

Step IV) Branding:

  • Download customized Business Till sticker from the ‘My Applications‘ section
  • Print and display the sticker at your business location

Step V) Notification Setup:

  • Perform a SIM replacement to get a physical notification SIM card
  • Insert the SIM into a dedicated device to receive real-time transaction alerts

Using your M-PESA Business Till effectively

Once you’ve set up your till, make sure you’re using it to its full potential.

Receiving payments

Your customers can pay directly into your till number with no charges on their end (except at fuel stations). 

For you, the cost is capped at 0.55% per transaction or a maximum of KSh. 200 per transaction.

Making payments

Use the funds in your till to:

  • Pay suppliers or other businesses (0.27% fee, capped at KSh. 200).
  • Send money to a mobile number (standard M-PESA rates apply).
  • Pay bills via utility tills (e.g., electricity or water bills).

Selling airtime

Want an extra income stream? Use your till to sell airtime and earn a 5% commission.

Managing your account

Download the M-PESA Business App or dial *234*2# to:

  • Monitor transactions
  • Check balances
  • Access real-time reports

Tips to maximize your M-PESA Business Till

To get the most out of your till:

  • Promote your till number: Use signage, receipts, and social media to let customers know you accept M-PESA payments.
  • Train your team: Ensure your staff knows how to process payments securely and accurately.
  • Monitor transactions: Regularly review reports to spot trends and manage finances effectively.
  • Use credit facilities: Apply for Boost ya Biashara loans to grow your business.

Conclusion

By leveraging the full potential of the M-PESA Business Till, businesses can not only streamline their payment processes but also gain valuable insights, improve cash flow management, and position themselves for growth in an increasingly digital marketplace. 

By adopting this system, you can focus on what truly matters: growing your business.

Mysson Victor
Mysson Victor
Articles: 5
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