The Fintech sector in the UK is booming as venture capitalists and big banks are continually pitching tent with new startups offering lots of promise. Between July 2015 and January 2016 alone, more than £3.8bn worth of investments have been invested into the Fintech sector according to this research.
Defining FinTech Startups
What is Fintech startup? This name is referring to a company that uses technology to help the way people and businesses manage their finances. While the US is the home of Silicon Valley, the UK has sealed its status as one of the world’s leading financial centre due to being the location where popular financial start-up hubs have sprung. Among these are UK based Funding Circle and Transferwise – both of which are valued at more than $1B. Thus, it is expected to see more and more emerging innovators possibly becoming Fintech stars in the future.
Here is a list of Fintech startups committed to changing how you manage your finances.
GoCardless is a startup floated by two Oxford graduate Matt Robinson and Hiroki Takeuchi. The company uses technology to process business to business payments and direct debits faster than what is provided by traditional channels, with this new technology, small businesses will be able to process direct debits through the aggregation of payments. Fees are kept low at 1 per cent per transaction.
Launched in February 2016, Curve allows you to combine all your bank cards under one single app and card. This makes your pocket lighter of course but it means you can now keep track of all your transactions, credit card loans etc. in one window.
The freelance landscape is an online account platform that simplifies sending and tracking of invoices and expenses and also calculates tax bills and analyses bank statements. It is a service expected to be used as much as loan calculators that are always in close proximity as a result of the fact that more UK workers are embracing the freelance lifestyle.
This is a peer to peer platform where savers can invest in small UK businesses and earn an estimated return of 7.1%. Businesses using the service can get access to loans from £5,000 to £1 million without having to face the red tape in most banks today.
This is one of Fintech startup whose goal is to eliminate fees whenever you want to use your money abroad. This is like a mobile wallet but come in a physical MasterCard. All you have to do is top the card up from your debit account and when you make purchases abroad, you use the card to exchange the money into whatever local currency so that you don’t get hit with any fees.
Launched in April, this Cardiff-based startup is known for its hybrid investment platform. According to the company’s CEO Richard Theo, their goal is to show people that investing in business is possible at a much lower starting point. With its simplicity of design, Wealthify aims to target the mass market.
Which of these Fintech Startups is your choice?