Top 9 Promising FinTech Startups to Watch in 2019
From the application of GDPR directives to the implementation of open banking, 2018 was quite a disruptive year for the FinTech industry…. And many startups are here to lead us to the new frontiers. A recent MoneyLive Banking Report concluded that a majority of executives in traditional UK financial institutions now see FinTech startups as a “significant threat” to their business model. And yet, these continual innovations are what make the FinTech industry so interesting to watch. Here are some of the most promising startups we’ll have our eye on in 2019; which would you add to the list?
Est. 2012, London
This pioneering company began creating its SaaS platform for smart document management well before the advent of GDPR and ESMA regulations. ClauseMatch now helps top UK banks and financial institutions centralize their compliance intelligence and keep all internal policies, procedures, and documents organized. In simpler terms, ClauseMatch offers file sharing capabilities with unparalleled security that meets all stringent financial regulatory requirements.
Est. 2014, Tel Aviv
SecuredTouch is a mobile fraud detection startup that analyzes over 100 behavioral parameters to keep your information secure by using behavioral technology that enables seamless authentication on any device. Their HUMANOBOT solution uses advanced machine learning to identify user activities such as swipe speed, finger pressure, and device movement, and to separate these activities from non-human behaviors. It then blocks suspicious activity or sends alerts about fraud and suspicious activity.
SecuredTouch has raised $11.5 million to date, with an initial seed round in February 2017 and the completion of its Series A funding in April 2018.
Est. 2014, Dublin
There are plenty of FinTech companies that do good work, but AID:Tech is one of the few that actually does good. AID:Tech uses Blockchain technology to bring transparency to the distribution of aid and donations to the world’s underserved populations. Most recently, the company partnered with the Irish Red Cross to launch an app called TraceDonate that allows donors to donate securely and to get notifications about how the donated funds are being used. Founder Niall Dennehy explains: “We found out that 30% of international aid goes missing each year and we developed a solution which could verify to donors that their money has gone where it was intended.” No small feat when upwards of $410 billion was donated to charity by Americans alone in 2017.
Est. 2016, London
TrueLayer has pioneered a developer platform to help FinTech and other adjacent companies to enhance their Know Your Customer (KYC) compliance processes, open banking, and PSD2 requirements. The London-based startup has raised $4.3 million and secured partnerships with companies in a range of financial verticals, including open banking, personal finance, and accounting. TrueLayer is regulated by the UK’s Financial Conduct Authority (FCA), one of the strictest financial regulators in the world, and is currently working on expansion into Germany.
Est. 2016, London
Look at this company’s clever Twitter handle, and you’ll get a glimpse into its mission. Previse estimates that slow payments cost global businesses approximately $650 billion annually, and the company intends to change that with its algo-driven invoice payment decisions. Previse enables businesses to pay their suppliers instantly by using machine learning to exclude invoices that aren’t likely to be paid, and having their strategic financial partners pay the rest. Simply put, Previse pays invoices up front, allowing customers the flexibility of later payments and vendors the ability to get paid instantly. With Previse, companies don’t have to take out loans to cover funds that are tied up in late payments, so they save money and have more available working capital. Previse is, quite literally, changing the way B2B commerce operates.
Est. 2012, London
Divido is a multi-award winning consumer finance platform for retailers that is changing the way customers finance their purchases. With Divido, companies can spread out the cost of purchases over time, while the merchant gets paid in full right away. Over 1,000 merchants are already using the platform, including Mastercard and BNP Paribas. Divido has raised $19 million so far, proving first-hand that when cash flows smoothly, businesses can achieve so much more.
Est. 2011, London
iwoca provides loans to SMB companies located in the UK, Poland, Spain and Germany. The company has raised $158.9 million and has provided loans to over 5,000 small businesses. Though there are many such alternative lenders in the United States, few offer these services in Europe, and even fewer offer loans in multiple countries. iwoca also sets itself apart by offering open banking in conjunction with Lloyds Bank, Barclays and HSBC, so that borrowers can submit verified information in seconds. These accomplishments alone are enough to land iwoca on our watchlist for 2019.
Est. 1996, Zurich
As a publicly-traded company, CREALOGIX isn’t really a startup. But their recent innovations in the digital banking sector are still worthy of mention and monitoring. The Zurich-based FinTech Top 100 company is one of the market leaders in innovative digital financial solutions. Their Digital Banking Hub literally creates a bank within a mobile device, eliminating the need to go to a brick and mortar building. Users can open bank accounts, pull credit reports and transaction summaries, and even process KYC documents remotely, all with top-level cybersecurity. What sets CREALOGIX apart is that it uses an open platform that can be integrated seamlessly with all other systems, while maintaining compliance with PSD2 and other financial regulations.
Est. 2014, London
AimBrain is Star Trek for the modern age. Its award-winning BIDaaS (Biometric Identity as-a-Service) platform offers facial and voice recognition services, behavioral identity recognition, lipsync, anomaly detection modules, and more. The application is designed to protect companies, from small businesses to global corporations, from fraud by implementing the highest possible biometric protocols so that they can confirm all transactions securely. We respect this company for its genius technology, but we love it because it made biometrics free for everyone. Clients include cloud service providers, FinTech organizations and P2P banks, for now. We can’t wait to see how this company (and its client base) will develop in 2019.