The popularity of Fintech cannot be denied. Ever since its inception in the early ’90s, Financial technology has continued to grow and it seems to be picking up speed. As of February 2021, the number of fintech companies exceeds 25 000 with more than 10,000 based in the Americas. So if looking to start your own fintech company, here are some key tips to consider.

 

Contents:

7 Tips to Get You Started

#1. Get Acquainted with the Nature & Rules of Fintech

#2. Choose What Purpose Your Business Will Serve

#3. Identify Your Strengths

#4. Get a Team

#5. Identify the Technology You Require to Get Started

#6. Pitch Your Idea to Investors

#7. Create & Make Adjustments

Conclusion

 

7 Tips to Get You Started

The Fintech industry is a lucrative one and attracts many startups. We will look at how you can increase your chances at making it big in the industry. The following tips are a fintech startup guide and will help you create a successful business.

 

#1. Get Acquainted with the Nature & Rules of Fintech

The Fintech industry is by no means a simple one. To get started, you need to understand the regulations that come with it. Collect as much information about it as possible. This includes all the legal guidelines which form the base of how the industry runs.

 

Legal guidelines aid business owners in knowing how they can use their clients' data. The GDPR (General Data Protection Regulation) was introduced to enforce such regulations.  

 

#2. Choose What Purpose Your Business Will Serve

Finetech provides startups with several options of niches to fit in. The most popular ones are listed below:

• Mobile banking 
• Facilitation of online money transfers across borders
• Stock Market solutions
• Creating solution fr blockchain platforms
• Enabling Crowdfunding
• Lending services

 

By isolating a particular niche, you isolate a field of business to focus on. You can then dedicate all your resources to making sure you develop your business to the highest quality.  

 

#3. Identify Your Strengths

The next step involves a deep analysis of companies that are in the same niche as you. The importance here is to discover what unique features you can bring to the table. During this process try to ask yourself what innovation solution you can offer to your clients. In short, what will be your money-maker?

 

There are two ways of going around this: create a brand new solution or improve on an already existing one. The former usually makes a bigger impact in distinguishing you from the competition. However, it usually requires more resources to achieve.

 

#4. Get a Team

You will not be able to get your startup off the ground without a team. Therefore, you need to take your time and find the best developers you can afford. The truth is that hiring a team can be quite expensive. This is quite evident if you live in the United States.

 

Luckily there is a way around paying too much for a team by compromising the quality of the product. Outsourcing is very popular nowadays and Eastern Europe seems to be where most of the action is.

 

#5. Identify the Technology You Require to Get Started

Developers require a particular set of tools to take on any project. During this stage, identify which tools you’ll need for the programming, creating your software framework, and all your databases. Most developers work with:

• Python
• Javascript
• Spring
• MySQL
• React & more

 

Focus on creating a secure product. This stage requires you to identify any bugs that could compromise your product’s security. Remember that this is a Fintech requirement and should be taken seriously.

 

#6. Pitch Your Idea to Investors

Once you have figured out the majority of your startup, the next step would be getting capital. The best way to get funded is to create a strong pitch. Outline what your product represents and how it will benefit your investors.

 

#7. Create & Make Adjustments

Once you get the funding focus on making the best possible product for your future clients. During the development process, go through previous concepts and make any changes that could make the product better. By doing this you ensure that your Fintech company will rise to the heights you have set for it.

 

Conclusion

It's time you get your Fintech startup there. The process can be initially intimidating, however, the steps highlighted above will guide you through the process. You will be able to launch a successful business in no time.

 

According to the statistics, the fintech industry is rising and we can find more than 20 startup companies that are worth more than a billion. There are also around 50 more fintech organizations that are on the verge of reaching a billion dollar status. We can see the fintech sector developing a lot lately. It’s amazing to see that not only the USA or China are all about fintech, but Europe is not lacking behind. There are many startups coming up in many European countries.

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