Fintech Entrepreneurship 101 – All You Need to Know

With the advancement in technology, the fiscal world is also changing. Those technological techniques and services that were considered taboo a few years back are taking over the financial world now.

This is the age of fintech and it’s the perfect time to establish your start-up as the market is welcoming new fintech innovators with open arms. Therefore, whether you’re thinking of getting your company registration in Mauritius or any other country, get it immediately without wasting any time. Establishing your fintech start-up in a fast-growing environment such as Mauritius will prove to be quite fruitful.

What is Fintech?

Fintech is basically the amalgamation of finance and technology. It makes use of the latest technology to help companies and businesses to manage their finances better. It also includes the use of cryptocurrency such as bitcoin for doing business.

In simple words, fintech is the use of modern-day technology for managing the finances of businesses and companies. Using this technology, businesses can conveniently make a variety of financial transactions without even visiting a bank.

Having said that, fintech companies don’t have to work like banks. These start-ups offer a financial solution to their users that doesn’t necessarily involve banks.

Uber is a perfect example of fintech innovation that is helping thousands of its drivers in doing business without owning a bank account.

Types of Fintech Companies

The technology developed by fintech companies can be broadly divided into the following categories based on the services they offer:

Lending

After the development of fintech loan apps, the process of borrowing money became quite easy and hassle-free. Because of these apps, you no longer need to visit offices, banks and credit unions for loans. You can simply apply for a loan online and after KYC check, verifications and credit assessment rating is done you’ll get your loan.  

Personal Finance & Budgeting Management Services  

The management software for managing personal finances and budget is revolutionized by fintech companies and it’s no longer manual. With the introduction of open APIs, PSD2 regulations and Open banking initiative, fintechs can now directly assess your transaction information from your concerned banks and financial institutions.

As a result, now digital finance management systems allow users to collect, store, and analyze all their financial data in one place.    

Establishment of Financial Solutions & Digital Banks

Because of innovation in fintech technology, today you no longer need to visit your bank every time you need something. Visiting a bank means wasting your precious time and because of this many high street banks are moving aside and adapting to the latest fintech technologies. With the latest fintech technologies, users can readily access their KYC/KYB processes anywhere and anytime by just using their mobile phones.

Equity Financing

Through equity financing, you can easily gain Kickstarter success by using crowdfunding organizations. Anyone can make use of a fintech crowdfunding platform and invest in a promising start-up.

Robo-advising

Using virtual assistants, the process of investment is made easier for users to understand. Fintech companies are using bots to help individuals for managing their assets efficiently and getting a better insight into the market. Unlike, human assistants’ bots are available 24/7 making it easier for companies to engage more customers.   

Blockchain And Cryptocurrency

The latest innovation in the field of finance is the cryptocurrency. Blockchain is becoming popular day by day and as a result, many banks are even considering incorporating blockchain within their infrastructure.

Insurance

Regardless of the speed with which the insurance sector adopted fintech, the growth of this sector was massive after doing so. Unlike, old days when people were required to spend hours or even days to wait for a quote. Now, with fintech insurance companies they can instantly get their required quotes and get themselves insured.

Ways to Make Your Fintech Start-up Thrive

The key to a successful business lies in the combination and usage of design, technology and business ideas collectively. If you want to fortuitously run your business, you must incorporate the usage of modern tech along with conventional techniques. 

These are some of the major reasons why the number of starts up businesses related to fintech in Mauritius are increasing. It clearly shows that combining technology with your business is the key to success.