The Challenge
We know the payment pressures you’re under.
High-volume settlement delays killing your cash flow
You’re managing thousands of ticket transactions, but bank cut-offs, weekend holds, and cross-border friction mean you’re waiting days for settlement. BSP payment cycles don’t align with banking schedules, and every delay ties up working capital you need for the next week’s ticket stock.
Thin margins eroded by FX costs and card fees
Consolidator margins are already razor-thin—often 2-4% on tickets. FX conversion costs, card acceptance fees, and payment gateway charges eat directly into that margin. On international routes with multiple currency conversions, you can lose half your margin to payment costs alone.
High fraud exposure with smaller agents
You’re extending credit to travel agents globally, and fraud risk is concentrated among smaller, less-established agents. Traditional fraud detection treats you like retail e-commerce, which doesn’t account for the B2B relationship dynamics and ticket-specific fraud patterns in air consolidation.
Liquidity constraints from lengthy remittance cycles
You pay airlines through BSP weekly, but collect from agents on 30-60 day terms. This creates constant liquidity pressure—you need credit facilities to bridge the gap, but banks see air consolidation as high-risk and charge accordingly. Every delayed agent payment compounds the problem.
Complex multi-currency accounting
You’re buying tickets in BSP settlement currencies (USD, EUR, local currency), collecting from agents in their market currency, and managing exposure across it all. Reconciliation is a nightmare—payment platforms claim multi-currency support, but they don’t understand ticket stock liability timing or BSP reporting requirements.
Why It’s Getting Harder
Industry shifts are compounding the pressure.
Banking de-risking in travel: Major banks are exiting or restricting travel merchant services. Those that remain are increasing reserves, shortening settlement terms, and applying interchange-plus pricing that assumes you have e-commerce margins. The banks that understand airline ticket economics are a shrinking group.
Regulatory complexity across markets: You’re operating across different regulatory regimes for payment licensing, AML, consumer protection, and data privacy. What works for your US agency network doesn’t work in the EU. Your payment setup in Asia has different rules entirely. Compliance costs keep rising.
Airline distribution evolution: NDC isn’t just about content—it’s changing payment and settlement flows. Airlines are exploring direct settlement models that bypass traditional BSP infrastructure. Some are requiring bank guarantees for credit facilities. Your payment architecture needs to work for both legacy and modern distribution.
Margin pressure meeting payment costs: Consolidator margins are under pressure from multiple directions: airline compensation changes, GDS fee increases, agency commission expectations, and now payment acceptance costs. A 2% payment fee on a ticket with 3% margin isn’t sustainable. You need a payment model that reflects your actual economics.
How We Help
Independent advisory focused on your business model.
Payment Architecture Review
We analyze your current payment setup against your business model: ticket volume, average fares, currency mix, agency payment terms, and working capital constraints. Then we map out what a sustainable payment architecture looks like for your specific situation—not a generic travel merchant solution.
Banking Relationship Strategy
We help you navigate banking relationships with institutions that understand air consolidation. This includes: structuring your banking setup to optimize reserves and settlement terms, preparing documentation that addresses underwriting concerns, and developing a backup banking strategy before you need it.
Multi-Currency & Settlement Optimization
We design currency and settlement flows that align with your ticket stock liability timing, BSP settlement cycles, and agency payment terms. This includes FX strategy, local currency collection optimization, and payment routing that minimizes cross-border fees while maintaining the working capital flexibility you need.
The Insider Advantage
We’ve been on your side of the table.
Most payment consultants have worked for processors or banks. We’ve worked in travel distribution. We understand BSP settlement cycles, IATA accreditation requirements, GDS connectivity economics, and airline net fare agreements because we’ve operated within these systems.
When you tell us your bank is requiring a 20% reserve on your merchant account, we know exactly how that impacts your ability to carry ticket stock. When you’re evaluating an NDC direct connect that changes the payment flow, we understand the working capital implications, not just the technical integration.
We’re not tied to any payment provider, processor, or bank. Our advice is based on what works for your business model, your volume profile, and your growth strategy. We know the vendors who understand consolidator economics and the ones who don’t.
Get Started
Let’s talk about your payment challenges.
Book a 30-minute call to discuss your specific situation. No sales pitch—just a conversation about whether we can help.
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