Mexican Fintech Minu Makes History; India’s Namaste Credit Becomes a Neobank

Join us in October as our annual Asia-Pacific fintech conference returns to Singapore! FinovateAsia is one of the best ways for fintech startups and innovative industry veterans from the region and around the world to showcase their latest technologies before an audience of C-level decision-makers, venture capitalists, all-star analysts, and more.

For information on how to participate in FinovateAsia as a demoing company, partner, or sponsor, send us an e-mail and we’ll tell you everything you need to know.

Central and Southern Asia

  • Indian online lending marketplace Namaste Credit becomes neobank for micro, small, and medium sized businesses (MSMEs).
  • Forbes profiles social entrepreneur and co-founder of Pakistan’s Tez Financial Services, Nauren Hyat.
  • India-based digital-only neobank YeLo picks up seed funding from Matrix Partners India, Omidyar Network India, Flourish, and Better Capital.

Latin America and the Caribbean

  • In one of the largest seed rounds in Mexico to date, a company called minu that provides Mexican workers with instant, 24/7 access to earned wages Mexican workers, has raised $6.5 million.
  • Wayra Peru, the open innovation hub of Telefonica, and Peruvian investment group, The Board, to invest in Colombian fintech, IMIX.
  • Ecuadorian-Colombian digital payments platform Kushki Pagos acquires Chilean fintech QVO.

Asia-Pacific

  • Financial Services Authority for Indonesia (OJK) introduces online registry to spur fintech development.
  • Hong Kong Monetary Authority (HKMA) adjusts credit risk management guidelines to accommodate use of big data analysis.
  • Indonesian digital credit platform, Kredivo, secures $20 million line of credit.

Sub-Saharan Africa

  • Chipper Cash, a San Francisco, California-based cross-border payment startup with offices in Ghana and Kenya, begins operations in Nigeria.
  • South Africa’s AlphaCode invests $1.5 million in a trio of local fintechs: Bright On Capital, Zande Africa, and Livestock Wealth.
  • Nigerian fintech Carbon to expand to Kenya.

Central and Eastern Europe

  • Ukraine-based Chatbots.Studio teams up with Yozobi. See Chatbots.Studio live on stage at FinovateFall this month!
  • Russia’s Tinkoff goes live with its social network for investors, Pulse.
  • Eligma, a blockchain and AI technology company based in Slovenia, announces €4 million investment from Pangea Blockchain Fund and Bitcoin.com.

Middle East and Northern Africa

  • Abu Dhabi Global Market (ADGM) partners with KPMG to launch the Abu Dhabi Fintech Awards.
  • Egyptian peer lending and savings platform MoneyFellows raises $1 million in new funding.
  • Dubai earns #7 spot in round up of the world’s “top fintech locations of the future” according to Gulf News.

Top image designed by Freepik

Finovate Alumni News

On Finovate

  • Twisto Raises $15 Million in Series B Funding
  • Finovate Global: Mexican Fintech Minu Makes History; India’s Namaste Credit Becomes a Neobank.

Around the web

  • Five Degrees adds OneSpan as a new partner in its Open Banking Marketplace.
  • Axiata Group Berhad and Telenor Group end merger discussions.
  • Klarna expands existing partnership with online fashion retailer boohoo group and its four brands.
  • Xero adds BP as latest partner for its Xero Connect e-invoicing solution.
  • Authority Magazine interviews Talbott Roche, CEO and president of Blackhawk Network.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Namaste Credit Becomes Challenger Bank

Indian online lending marketplace Namaste Credit announced it is becoming a “fully-fledged digital-only bank” for micro small and medium businesses (MSMEs), reports Ruby Hinchliffe of Fintech Futures, Finovate’s sister publication.

The neobank will have a “foundational software-as-a-service (SaaS) play” and aims to offer the first one-stop-shop for MSMEs. It will include automated credit, banking, and accounting solutions.

The soon-to-be-launched app, dubbed Namaste Biz, will centralize MSME’s cash flow, banking applications, and credit management tools.

“Our transition to a neobank will not only help the start-up get a firmer grip into the banking and non-banking financial company (NBFC) ecosystem but also balance revenues with customer acquisition costs to maintain a profitable growth path,” said Namaste Credit’s co-founder and director, Lucas Bianchi.

He added, “We believe a technology-based integrated platform that can bring together banks, NBFCs and other stakeholders can completely transform the financial services industry, specially from a B2B perspective.”

The company is confident the conversion will give them a “substantial competitive advantage.” Fellow co-founder and director Gaurav Anand said the newly-turned neobank will “accelerate customer and channel acquisition,” “reduce operational costs significantly,” and allow them “to expand quickly to global markets.”

At its core, Namaste Credit serves as an online marketplace for small business loans. The service connects borrowers with relevant lenders to help them find the loan that best suits their circumstance. The company also offers robotic process automation to help underwriters accurately assess risk. Namaste Credit demoed at FinovateFall 2018.

Finovate Alumni News

On Finovate.com

  • Namaste Credit Becomes Challenger Bank.
  • Chatbots.Studio Partners with Yozobi. Check them out at FinovateFall later this month!
  • Credit Sesame Raises $43 Million in Advance of IPO.

Around the web

  • Salt Edge marks 400+ integrations with open banking APIs.
  • Payfone teams up with Digital Matrix Systems to help companies fight fraud.
  • Fenergo appoints Louise O’Connell to the newly created role of Chief Customer Officer.
  • StrategyCorps brings on former Geezeo executive, Bryan Clagett.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

On Earth Day (and Every Day) Paperless is the Way to Be

Today is Earth Day, and what better way to celebrate than to take a look at fintechs helping out the environment by promoting eco-friendly habits. Here we feature companies with technology that saves trees by reducing the amount of paper used in the industry.

We’ve rounded up a handful of environmentally friendly fintechs in three categories: digital invoicing, paper-free mortgages, digital receipt printing, and paperless onboarding.

Digital invoicing

By taking the invoicing process digital, small businesses not only save paper, they can also save time and potentially receive payment faster, freeing up working capital they can put back into their operations.

  • Paper.id provides SMEs with invoicing tools and payment integration. The company offers tools to help businesses issue their invoices digitally and receive payment via electronic payment methods. Paper.id demoed at FinovateFall 2018
  • Charlie-India’s Invoicing Hub is a white label e-invoicing platform for banks and service providers. The tools allow SME bank clients to send, view, process, and pay their invoices within the bank’s online interface. Charlie-India demoed at FinovateEurope 2018.
  • Tradeshift offers an e-invoicing service that connects companies with suppliers, customers and partners. Among the applications available on the platform are e-invoicing, electronic purchase orders, and automated document validation. Tradeshift demoed at FinovateEurope 2012.

Paper-free mortgages

Mortgage technology is one of the last frontiers in fintech. Regulation and oversight have made the home-buying process somewhat resistant to disruption. In the past few years, however, we’ve seen a handful of startups working to digitize the mortgage process, removing the need for hundreds of sheets of paper required to close a home loan.

  • Namaste Credit is an India-based startup that serves as an online marketplace for mortgage loans. The service connects borrowers with relevant lenders to help them find the loan that best suits their circumstance. Namaste Credit demoed at FinovateFall 2018.
  • Tavant Technologies offers VELOX, a suite of digital products ranging from searching for a home to closing on the loan. VELOX completely automates the process, making compliance more efficient and reducing the need for paper. Tavant Technologies demoed at FinovateSpring 2017.
  • Roostify seeks to give consumers a better way to find and purchase a home. The company’s digital platform offers everything from digital customer onboarding to transparent, digital fulfillment to help lenders offer their clients a more efficient mortgage borrowing experience. Roostify demoed at FinovateSpring 2018.h

Digital receipt printing

Many retailers ask customers if they want to keep their receipt, but even if the answer is “no” the cashier still prints the receipt and throws it in the trash behind the counter. Digital receipt printing eliminates both the paper– and the awkward line of questioning– all together by sending the customer an email receipt.

  • Dream Payments’ cloud-based platform offers a mobile POS device that not only accepts debit and credit cards, but also provides analytics, reports, and gives customers digital receipts. Dream Payments demoed at FinovateSpring 2015.
  • CardFlight offers an API that allows merchants to accept online and offline payments within their own app. The company’s encrypted mobile magstripe reader, combined with its API, offer flexibility while keeping payments– and receipts– digital. CardFlight demoed at FinovateSpring 2013.
  • ShopKeep’s POS technology takes a merchant’s cash register to an iPad. The register accepts a range of payments, from magstripe, to EMV, to Apple Pay; plus provides inventory management tools and purchase reporting analytics. The company’s mobile checkout flow also offers a paper-free, email receipt option. ShopKeep demoed at FinovateFall 2012.

Paperless onboarding

Considered a must for millennials, paperless onboarding not only speeds up the application process, it also reduces errors, eases compliance, and eliminates the need for in-person bank visits.

  • Five Degrees specializes in core banking technology. The company’s Matrix offering helps banks provide SMEs a fully automated, paperless loan onboarding experience. The paperless process lowers cost for both parties while expediting funds. Five Degrees demoed at FinovateAsia 2017.
  • Quadient, formerly GMC Software, helps organizations create a better customer experience. The company’s Mobile Advantage solution is an omni-channel tool that offers digital statements and billing, paperless onboarding, and client e-signature. In addition to improving the customer experience, this combination speeds up workflows and reduces error. Quadient demoed at FinovateFall 2017.
  • Mitek combines digital onboarding with identity verification tools. The company helps banks authenticate an applicant’s ID document and combines this with additional identifying paperwork. The supplemental documents not only verify the customer’s identity, but also provide additional information that can be used in loan underwriting to create a more complete picture of the applicant’s financial state. Mitek demoed at FinovateFall 2017.


FinovateFall Sneak Peek: Namaste Credit

A look at the companies demoing live at FinovateFall on September 24 through 26, 2018 in New York. Register today and save your spot.

Namaste Credit is the leading Indian marketplace for SMB and mortgage loans. Globally, the company licenses tools on a SaaS basis, including its AI Video CAM.

Features

  • Video-based tool that ensures high-quality document image capture
  • Built-in, automated banking track record and cash flow analytics
  • Easy to integrate into any mobile app

Why it’s great
Namaste Credit’s solutions, including its AI Video CAM, bridge the offline and digital worlds providing dense high-value data while being super-simple for customers to use.

Presenters

Lucas Bianchi, CFA, CEO & Co-Founder
Bianchi built and sold analytics outsourcing firm CopalAmba to Moody’s for $500 million. Prior to that, he analyzed and financed tech companies on Wall Street for 10 years. He holds a BA in Economics from Dartmouth College.
LinkedIn

Gaurav Anand, CFA, FRM, COO & Co-Founder
Anand analyzed and priced portfolios worth several billion at Credit Suisse, HSBC, and GE Capital. He has advised large institutions on SME portfolio risk at Moody’s, and holds an MBA from NMIMS, Bombay.
LinkedIn

Finovate Alumni News

On Finovate.com

  • Fiserv Helps Bring Voice Banking to the Aloha State.

Around the web

  • PromonTech to unveil its new income engine, Income AI, next week.
  • PayPal introduces cashflow boosting solution for small businesses, Funds Now.
  • The Paypers interviews Ronnie Millar, PaySend’s Europe CEO.
  • Hedge fund manager John Hempton tells The Australian Financial Review that Xero could become a $100 billion business.
  • Insuritas teams up with 42,000+ member Enrichment Federal Credit Union.
  • Global Finance sits down for a conversation with Tinkoff Bank VP Maxim Evdokimov.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.