These “neo banks” are helping small and medium-sized businesses automate their finances and access many additional features in different parts of the world including the US.

A new fintech startup has emerged in the U.S. which is step by step moving closer to the unicorn status. MoneyLion is headquartered at the New-York City provides its customers with financial advice and access to loans and other services. Its branches are spread at San Fransisco, Salt Lake City, and Kuala Lumpur MoneyLion describes itself as a mobile bank. It operates as part lending, part savings, and part wealth management app. The all-in-one platform of MoneyLion enables users to join all their bank accounts and credit cards. They also allow the users to receive personalized advice on how to better spend their money and secure loans from within the app.

According to a report in TechCrunch, the startup generates most of its revenue from subscription services. These subscription services cost $19.99 per month for the customers as told by Dee Choubey, CEO and founder of MoneyLion. The subscription offers bundles banking, core investment management and access to financing for the customers who buy it.
 

Here is a graph from Similarweb showing the app ranking of MoneyLion in the Google Play store:

Another graph from App Annie to show MoneyLion’s app ranking in the last week. The app ranked 94th in the Finance category.

MoneyLion is basically making money more approachable for its users to help them in having better control over their finances. According to the information available on their website, since the launch in 2013, they have more than $5+ million savings, 200,000 loans originated, and more than 1 million bank accounts linked.

There are more than 5 million customers using the MoneyLion app that includes free users, who are able to access some core banking features at no cost.

The company has recently raised $100 million in a new round to accelerate its growth in the U.S. market. The company has also raised $60 million in venture capital and debt in Q2 2018. The MoneyLion has raised more than $200 million till today. The current round has made the value of the startup up to $1 billion.

MoneyLion will use the newly raised money to refine its subscription offerings, finance model and add new features to keep its existing users attracted to the platform. Last year, the MoneyLion app bandied out over $12 million in cashback rewards to its members. 70% of users of the MoneyLion app also saw their credit score climb up by 30 points.

The company aims to invest heavily in broker-dealer capabilities, training capabilities and stock investing capabilities. They are planning to approach the financial services like Netflix approaching content in order to keep the users hooked to the platform.

Another reason for you to go for fintech app development: Zeta’s success

The startups which are looking to expand the reach of financial services continue to receive a nod from investors. Another example of such fintech firm is Zeta that runs a full-stack neo-banking platform. The company also offers enterprise payment solutions. The company was recently funded by Sodexo BRS. According to a TechCrunch report, the raised amount was less than $60 million. It is the first time for the company to raise money from an outside source.

Zeta currently operates in Asia and Latin America. The company has its potential clients companies and banks looking to bring retail and corporate fintech products. The Zeta cloud-native neo-banking platform supports the issuance of credit, debit and prepaid products.

The company’s enterprise solutions feature work with TnE cards, P-cards, expense management, salary disbursement, and corporate gifting.

The company has now accumulated over 2 million users, and three different banks and financial institutions. This also includes Sodexo, which use Zeta’s platform, and more than 14,000 corporate clients along with Amazon.

Various banks in India are using Zeta’s corporate gifting service. The newly raised capital will be used to expand the financial business for the company in regions like the United States, United Kingdom, Europe, and Southeast Asia, Turakhia and Ramki Gaddipati. The company has signed contracts with many partners to aid the expansion in the next six months. Zeta employs about 450 people currently. It also plans to grow its team and set up offices in many more places across the globe.

Zeta is planning to disrupt the traditional banking structure. They are building a new and innovative technology stack that enables interesting use cases for banks and other bank-line financial institutions that want to issue credit, debit, or prepaid products. Through these products, they want to provide their customers with better functionalities.

Sodexo has been an important partner of Zeta since the year 2017 and they have a vision about how it could bring more value to Zeta. This investment will enable the Sodexo group to profit from Zeta’s complete suite of solutions and offer a seamless payment experience to the users. Zeta and Sodexo are working together on expanding Zeta’s platform across several Sodexo subsidiaries in various regions around the world.

The growth of these fintech startups depicts the scope the fintech industry has in the time to come. If you are an entrepreneur or a startup looking for a new business venture, finance could be the sector you can go for. You can depend on Coruscate as your technology partner and guide as we can help you out with the detailed market research and latest technology to power up your business. Connect with us for any further details regarding the Fintech app development.

Our latest Projects on Fintech :

The post Scope for Fintech App Development and Fintech startups : Know Fintech startups like MoneyLion and Zeta’s success story appeared first on Coruscate Solutions.

Fintech is slowly becoming one of the most sought-after industries, especially by the investors. The growth of this segment can be attributed to the investors too.

Let’s take a quick look at how far Fintech has come since inception.

Reasons to Launch Your Fintech Startup Now

Here are a few reasons you should enter the segment, and launch your startup finally. It’s the now or never situation for your idea.

• The advancements in the mobile banking and the evolving methods of completing transactions are offering a whole new world of opportunities to the startups. Mobile has changed the way we buy or invest. The processes are transparent and efficient and cost-effective too. If you are looking to build your startup in the mobile banking segment, the time is now.

• Investment technology is also gaining traction, and it is just a matter of time before a lot of players are working their way around this segment. If you have a startup that is focused towards investment technology either as a portfolio manager or investment advisor, then you should start following up on your idea and building it now

• Loans are a huge market, and there is a lot of potential in this segment. If you want to leverage to actual wealth of the Fintech industry, the loan segment ideas need to be converted into a startup solution now. There is a whole range of opportunities and models that you can use leverage upon.

If you are planning a Fintech startup, the choice of technology stack is as important as the idea validation. You will need to zero in upon a technology that suits your needs perfectly.

Most of the finest Fintech startups in the world are moving towards adopting Ruby on Rails. It is not just an efficient platform but also one of the best languages to develop Fintech startups on.

Here are a few reasons that will help you understand why.

Why RoR for Fintech?

Plug-ins (Ready and Available):

When you convert your idea into a viable startup solution, by developing mobile apps and web solutions as necessary, there are many things that you will need add and create. Building each module from the scratch can be quite a tedious task. There is a way to avoid it if you are using Ruby on Rails to function. With the ready-to-use plugins and the modules available, you can start developing the web application without working on the coding. This allows the development of the startup and deploying it faster. You can deploy it 40-50% faster than before.

Cost-effective solutions:

With Ruby on Rails as your programming language, you don’t have to spend money on licensing the software. The open-source software comes with a clean source code and allows you to add the features with easy coding and programming methodology. Overall, you don’t have to spend a lot, considering you are already spending money into coming up with a Fintech startup.

The impressive security:

When you are developing a solution for a Fintech idea, it is important that you include the best security conditions into the platform. It is necessary that you lock in every program to match the high levels of security. When you are working with RoR, you don’t have such concerns haunting you. The inbuilt security of this programming language can help you overcome all security challenges, and is pretty secure in every way.

Quality assurance:

Your fintech solution needs to ensure complete quality, considering it is the money that is at play here. You cannot play around with other people’s money, and every feature needs to be tested twice, and you need to ensure a bug-free platform. With Ruby on Rails development, you can have a clean code and a quality development environment, which will make it possible for you to quickly test the applications and launch them early to the market, without compromising on the quality.

Summing up

The Fintech startups are all gearing to improve the way people work with financial institutions and banking systems with their mobile. Every construct in this system needs to be full-proof in order to keep the transactions private and assure the user of the security. Ruby on Rails framework is the perfect choice as it fulfills all your needs in a single go.

Coruscate is efficient with both RoR language and developing Fintech ideas into solutions. Connect with us to give your idea a validated solution.

Note: We do not make clones of any exact application, clone means to us is how better we can execute your app idea with existing app features and experience.

The post Why Your Next Fintech Startup Should Be Built Using Ruby on Rails? appeared first on Coruscate Solutions.