The term FinTech arises from the terms “Finance” and “Technology” and encompasses a a great diversity of financial intermediation companies that according to TM Sourcing we could group them into four segments:
- Operation tools and means of payment.
- Client knowledge and Big Data.
- Security and identification of people.
- Electronic Money.
All of them use the latest technology to offer:
- Faster, more efficient and easier service.
- More competitive costs.
- More democratic and close management.
- Greater decision-making power and control of the client over their money and investments.
Its boom in recent years has been spectacular with exponential growth forecasts, shaping a new ecosystem within financial services. Everything points to a future where traditional organizations will be forced to collaborate with new players in order to offer services with greater added value to their clients.
Some of the most prominent areas are:
- Crowdfunding: It allows financing a project through a community that acts altruistically or in exchange for a non-monetary reward.
- Crowdlending: Financing through a community of investors looking for an economic return. If financing is restricted only to advance payments of invoices or discount of promissory notes, we would be talking about crowdfactoring.
- P2P lending: Direct loans between individuals through an online platform.
- Mobile banking: Financial transactions made through a mobile device.
- Insurtech: The term FinTech arises from the terms “Insurance” and “Technology”. It involves the creation within the insurance sector of new ways of offering products and services to the final customer.
In Spain, it is estimated that in 2018 crowdlending, crowdfunding and crowdfactoring companies channeled operations for a global value of about 880 million through their platforms, which is four times the figure obtained in 2016 (Source: DBK reports).
Parallel to this growth, associations such as “Fintech Plaza” have emerged, of which Inversa is a part and which aspires to be the largest community of fintech companies. Or the “Spanish Association of Fintech and Insurtech” (AEFI) which, as they themselves indicate, intends to create a favorable environment for the development of this type of companies in our country.
AEFI is integrated into “Fintech Iberoamérica” which also includes Colombia Fintech, Fintech Mexico, the Uruguayan Chamber of FinTech, FinTech CA and Caribbean, Fintech Peru, Panama Association (PanamáFintech), Portuguese Association (AFIP), Fintech Association of Argentina, Fintech Association of Chile and AB Startup Brazil.
We conclude by highlighting the great variety of fintech companies that are part of the economic ecosystem. Using a gastronomic simile, we will say that there are many and varied fintech recipes that we can find depending on the ingredients we use. At Inversa, we have strived to develop a product within crowdfactoring as perfect as possible using the best ingredients: invoices and promissory notes analyzed by experts, investments from 20 euros, interest charged in advance, maximum contractual security, segregated account guaranteed by the Bank of Spain that guarantees the external custody of the money, fair interests for the parties, liquidity for the companies, without endorsements or guarantees, without computing in CIRBE … and all with the speed that the latest technology allows us.
INVERSA, a perfect financial recipe