Karthik Bhat’s Post

We’re thrilled to report that Mumbai-based fintech startup TransBnk - Transaction Banking Platform has secured $4 million in a Series A funding round led by 8i Ventures! The round also saw participation from notable investors including Accion Venture Lab, GMO VenturePartners, GMO PaymentGateway,Inc. , Ratio Ventures Limited, and Force Ventures LLP, along with a group of family offices, institutions, and angel investors. TransBnk, which previously raised $1 million in seed funding from 8i Ventures in June 2023, will use this new capital to: Expand its network of banking partners Venture into new markets in the Middle East and Southeast Asia  Enhance its tech infrastructure and product stack Co-founded in 2022 by Vaibhav Tambe, Lavin Kotian, Sachin Gupta, and Pulak Jain, TransBnk is revolutionizing transaction banking with its platform that supports secure, agile, and robust transactions for corporate, commercial, and institutional clients. With a focus on embedded finance and SaaS solutions, the company is making waves in domestic cash management, payments, trade finance, and more. Key highlights: 10X revenue growth Partnerships with over 25 banks 200+ APIs extended 50 million+ transactions processed As TransBnk continues to grow and innovate, it’s set to make a significant impact in the transaction banking space, which holds a market potential of $1 trillion and is projected to reach $2 trillion by 2030. Stay tuned for more updates on this dynamic fintech journey! Read More: https://lnkd.in/gibjyX2X #Fintech #StartupFunding #SeriesA #Investment #TransactionBanking #GlobalExpansion #EmbeddedFinance #SaaS #TransBnk #8iVentures #TechInfrastructure #FinancialServices #BFSI

#StartupToScaleup | Have you ever noticed a loan offer on one of the apps you use? Chances are, it was created by Niro. How does this young fintech startup accomplish this? Co-founder & CEO, Aditya Kumar explains in a conversation with Avni Raja.

#StartupToScaleup | Have you ever noticed a loan offer on one of the apps you use? Chances are, it was created by Niro. How does this young fintech startup accomplish this? Co-founder & CEO, Aditya Kumar explains in a conversation with Avni Raja.

𝗥𝗲𝗰𝗮𝘀𝘁𝗶𝗻𝗴 𝗶𝗻𝗰𝘂𝗺𝗯𝗲𝗻𝘁𝘀 𝗶𝗻 𝗳𝗶𝗻𝘁𝗲𝗰𝗵 Andy Rachleff (Co-founder, Benchmark Capital) says - Take your competitor’s biggest advantage and turn it into a weakness. Sarah Tavel (Partner, Benchmark Capital) wrote a post on building multibillion-dollar startups. The core idea is to build a 10x product at a lower cost while “recasting incumbent cost structures.” These are really powerful concepts. Read them again. Then once more. Every fintech founder should apply these 2 lenses when competing with incumbents. Fintech incumbents have deep moats in a few areas - trust, regulations, and cheap capital. They built these moats over decades and won’t be dismantled anytime soon. It is difficult to win against these moats, especially with a commodity product. But startups can turn an incumbent’s strength into weakness using innovation. The 4 areas that startups can compete on: 1. Product 2. Acquisition Channel 3. Target Market 4. Business Model 𝗣𝗿𝗼𝗱𝘂𝗰𝘁 Banks are bad at innovating on products. They are also slow followers. I have never seen a bank develop competing products in less than 5-7 years. Startups that build products that are differentiated, and have that differentiation rooted in technology, do well. But it is important to have technology as the core differentiating factor. e.g. Robinhood built a product that was 10x better than anything else on the market. The incumbents can't catch up because of 2 main reasons: - Organization Structure - Technology Stack Use this weakness to your advantage. 𝗔𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻 𝗖𝗵𝗮𝗻𝗻𝗲𝗹𝘀 Acquisition is the toughest problem to solve for fintech companies. Acquire in a way that incumbents can’t. In the early stages, startups need their own way to acquire customers. Startups can use new channels that incumbents don’t understand. 𝗧𝗮𝗿𝗴𝗲𝘁 𝗠𝗮𝗿𝗸𝗲𝘁 One of the moats for banks is regulation. But it is also their weakness. They can’t innovate on new products at a fast pace. This leaves room for startups. e.g. Brex - built the best credit card for startups. Cash App - targeting people with inconsistent income and low balances. Venmo - P2P transfers for millennials. The younger population wanted an easier way to transfer money to friends. 𝗕𝘂𝘀𝗶𝗻𝗲𝘀𝘀 𝗠𝗼𝗱𝗲𝗹𝘀 Innovating on business models is the holy grail. The best way to compete with incumbents is to invert their business models. Many startups have successfully recast cost structures of incumbents using technology. e.g. Neobanks - traditional banks make money through lending deposits but most neobanks don’t. Inverting risk-taking: Brex inverted the risk model. Make the product free: Robinhood started commission-free trading which attracted millions of new investors. Remove the incumbent: Lending Club built a $10B company by creating a platform to match borrowers and lenders. Credit Karma started doing free tax filings threatening Intuit’s market dominance and got acquired swiftly after that.

The demise of BaaS fintech Synapse could derail the funding prospects for other startups in the space #startup  #fundraising  #angelinvestor  #investments  #VentureCapital  #vc #Entrepreneurship  #venturefunding  #investing #TechNews #Innovation #technology  https://lnkd.in/eMSPDe4Q

10+ Fintech Startups Lessons To Disrupt The Market Unlock the secrets of successful fintech startups and learn how to disrupt the market with your innovative idea! This comprehensive guide dives into: 1. Emerging trends shaping the future of fintech 2. Actionable strategies for building a winning fintech startup 3. Common challenges faced by fintech startups and how to overcome them Ready to revolutionize the financial landscape? Checkout the full guide and discover how to turn your fintech vision into reality! Read the full blog here - https://lnkd.in/gMej8m2W #fintechstartups #fintechappdevelopment #fintechcompanies #fintechstartupideas #fintechstartuplessions #nimbleappgenie #softwaredevelopment #softwarecompanies

My latest: What Monzo’s monster $435 million fundraise says about consumer fintech. The Series I deal values Monzo at $5 billion, validating the digital banking startup's growth over the last three years. Last year, the business reported card transactions of $43.2 billion while total customer deposits topped $7.7 billion, up from $1.8 billion three years earlier. Monzo’s annual revenue has grown 2.3x, rising to $457.4 million in 2023. Much of Monzo's success has been down to its CEO, T.S. Anil, who was described as an "execution machine" by one investor at a $10B fund who spoke with me. Yet, late-stage funding rounds like Monzo's have become rare over the last year. Fundraising over Series C or later declined to $80.4 billion compared to $94 billion in 2022 and a whopping $153.5 billion in 2021, according to PitchBook. The fintech sector, which helped drive up those deal volumes during the boom, has been particularly hard hit: after raising $45.7 billion in 2021, the sector pulled in just $22.9 billion in 2022. It's not clear if Monzo’s mega round will spur other large funding deals in the consumer fintech space in the near term. https://lnkd.in/e6P4XSga

Form3, a UK-based fintech startup, recently raised $60 million in a Series C extension funding round, bringing its total funding to $220 million and its valuation to $570 million12. This funding round was led by British Patient Capital, with participation from existing investors such as Visa, Goldman Sachs, Mastercard, Barclays, Molten Ventures, and 83North12. Key Details and Statistics: Total Funding: $220 million12 Latest Funding Round: $60 million12 Valuation: $570 million12 Founded: 2016 by Michael Mueller and Mike Walters1 Key Investors: British Patient Capital, Visa, Goldman Sachs, Mastercard, Barclays, Molten Ventures, 83North12 Purpose and Utilization of Funds: The newly raised funds will be used to develop new products and services, supporting Form3’s growth in key markets such as the UK, Europe, and the US1. Form3 aims to revolutionize payment processing by providing a cloud-native, Payments-as-a-Service platform that enables financial institutions to connect to multiple payment schemes via a single scalable platform12. Impact and Reach: Form3’s platform is trusted by major banks and financial institutions, including Mastercard, Lloyds Banking Group, Ebury, LHV, PPS, N26, Square, and Aion Bank1. The company handles more than 50% of the UK’s non-cash payment volume and has doubled its processing volume globally in the last six to nine months2. Form3’s innovative approach replaces legacy software with a robust cloud-native infrastructure optimized for real-time payments, helping financial institutions accelerate their digital transformation12. Reference:- 1. UK fintech Form3 secures $60M to revolutionise future of payments TFN by Abhinaya Prabhu September 12, 2024 ( https://lnkd.in/eFR6b7zT ) . 2. Form3, a quiet giant in UK fintech, raises $60M at a $570M valuation, Tech Crunch, Ingrid Lunden 3:39 AM PDT • September 10, 2024, ( https://lnkd.in/eyNyRnnj) . Form3

London-based fintech company Monzo raised a late-stage funding round of $430 million (£340 million), confirming a report from the Financial Times from a few weeks ago. Following this round, the company has reached a post-money valuation of $5 billion (£4 billion). Founded in 2015, Monzo provides U.K. current accounts, debit cards and several financial products with a digital-first approach. Today’s investment is an important tidbit of information as massive funding rounds have become a rarity over the past year or so — unless you’re working on an AI foundation model. As a reminder, according to Atomico’s latest report on the state of European tech, startup funding has fallen to $45 billion in 2023 compared to $82 billion in 2022 and $100 billion in 2021. American VC firms have pulled back on European investments, and crossover investors like Tiger Global or Coatue have drastically slowed down their investment pace in tech startups. That’s why Monzo is sort of defying the odds with this new funding round, with Google playing a big part in this investment. CapitalG, the growth fund of Google’s parent company Alphabet, is leading the round. GV, Google’s venture fund, is also participating, as well as HongShan Capital (the VC firm formerly known as Sequoia Capital China) and existing backers, such as Passion Capital and Tencent. https://lnkd.in/gT39VGcY

Fintech Neobanking Startup Kaleidofin Nets $13.8 Mn To Expand Its Lending Play LINK: https://lnkd.in/ee3KM8w5 Hashtags: #BankingAndFinanceNews #Finance #Technology #FinTech Please LIKE & REPOST