OuiTrust or Qonto? Choose the Best for Your Business

Finding a good online financial institution is the key to handling money in the digital age. For businesses, choosing an institution that can safely manage your money and keep your finances organised is the number one factor. 

This article will help you make the best decision for your business by comparing two major Fintech companies: OuiTrust and Qonto.

Both OuiTrust and Qonto are online financial institutions regulated by the French Central Bank. And both are available to freelancers and companies. Their goal: to do it better and cheaper than the banks.

Firstly, in terms of regulation and licensing, OuiTrust holds an EMI (Electronic Money Institution) licence (only 17 licences have been issued by the Central Bank of France) and Qonto holds a PI (Payment Institution) licence (66 licences have been issued by the Central Bank of France). The EMI licence is a higher level than the PI licence and allows a wider range of financial services.

In terms of security of client funds, both are held in the safeguarding account of European banks, strictly separate from their own operating funds, and protected by central bank deposits and the Financial Services Compensation Scheme (FSCS). The maximum amount covered for a single client is €100,000.

OuiTrust is a one-stop financial service provider for companies trading between China and Europe and a specialist in RMB settlement. It has offices in Paris, London, Hong Kong and Shenzhen. It is also the first Asian financial technology company with Electronic Money Institution (EMI) licenses issued by both the Bank of England's Financial Conduct Authority and the French Central Bank Prudential Regulation Authority (ACPR). Providing companies with online banking, card issuance, foreign exchange, cross-border payments and acquiring (WeChat, Paypal, UnionPay, VISA, MC) services.

Qonto is a French online payment company for freelancers and SMEs. It was founded in 2016 and its first products were launched in France in July 2017. Since 2019, the service has been extended to Spain, Germany and Italy. It is ranked 9th out of 25 top startups in France by Linkedin Top Startups 2020.

In terms of products and services, the following table will show you the strengths and weaknesses of OuiTrust and Qonto：

By comparison, we can see the advantages of OuiTrust over Qonto in the following areas:

1. Advantages for China business
   
   If you are doing business with China or has plans to expand into the Chinese market, OuiTrust, as a specialist in RMB settlement, can meet all your needs.
   With OuiTrust, you can easily apply for an RMB account with your company's IBAN, which allows your company to pay and receive money in RMB. With this, you can obtain more transparent quotations and a wider choice of suppliers. Qonto cannot currently offer this.
   
   For European merchants, OuiTrust can also offer you payment services for the Chinese market (Alipay/WeChat) by helping you accept Chinese mobile payments in your shops. OuTrust can also help you participate in promotions and expand your business in the Chinese market. 
   
   For individual users, OuiTrust also supports payments to individual users in China, with real-time payments to WeChat accounts.
   
   Additionally, OuiTrust provides 24/7 online customer service in Chinese to help you deal with any problems during the process.
   
   
2. Different packages
   
   Currently, the OuiTrust Basic package is free and the Professional package is only 19€ per month (the same rate for freelancers and businesses) while Qonto prices for freelancers and businesses are different, ranging from 9€ to 349€.
   
   So there is no doubt that OuiTrust has a huge advantage in the price sector. If you open a professional package, using OuiTrust means that you can save almost 4000€ per year for the same service.
   
   
3. Advantages of speed of account opening
   
   For many start-ups and new companies, it is very difficult to open an account with a European bank. This is one of the reasons why many entrepreneurs find it hard to start a business.
   
   OuiTrust and Qonto both offer the service of opening an account online without the need to go to a physical bank. OuiTrust also supports customers whose legal entity or shareholders are Chinese, which greatly facilitates Chinese companies going abroad at a time when the epidemic restricts movement.
   
   
4. International transfer rate advantages
   
   One thing that has to be taken into account when choosing a financial institution is the commission. If you choose to use Qonto for international SWIFT transfers, you will be charged a 1% commission on a single transfer, compared to OuiTrust's Pro account which costs €20 plus 0.1% for a single transfer.
   
   For example, if you want to transfer €100,000 from France to China via the SWIFT international payment network, using Qonto you will be charged a fee of €1,000. With OuiTrust, your fee would be €120, which is a saving of €880 compared to Qonto.
   
   This is an attractive offer for both freelancers and businesses.
   
   
5. Foreign exchange benefits
   
   OuiTrust has recently launched a new exchange function that allows you to exchange money directly from the OuiTrust app or website at excellent rates. There are no fees and you can also lock in the exchange rate in real-time. This helps business users to lock in their profits and reduce the risk of exchange losses.
   
   Qonto does not currently have this feature. So if your business involves converting multiple currencies, OuiTrust will be more suitable for you.

The main advantage of Qonto over OuiTrust is its localization services:

If your company's business only serves the local area, Qonto is good for you. Qonto can support the local FR IBAN, which makes it easier for companies to do better deductions for utility bills etc. 

Qonto also offers a service to help people open companies and pay their registered capital (for those with European residence), which really saves entrepreneurs a lot of trouble.

In conclusion, if you do only local business and need a local IBAN and a service such as debit payments, you should choose Qonto. If you are trading internationally, especially with China, and need a multi-currency account such as RMB and special services for the Chinese market, OuiTrust is the right choice for you.