Growing Fintech Businesses Through Payments

November 11, 2019

Matthieu Barral

Consumers globally have become increasingly cashless as fintech businesses continue to penetrate the mainstream market with innovative technologies that allow people to buy, trade, lend, sell, bank, pay, finance, and transfer money from a click or a swipe.

Investment in early-stage fintechs is booming with the total value of fintech investments worldwide skyrocketing from $6.9 billion in 2013 to $33 billion in 2018 – a five-fold growth in just six years – creating increased competition. For many fintechs, customer acquisition is an important growth metric, but maintaining revenue and profitability are crucial when raising capital and demonstrating long-term sustainability – and choosing the right payments partner can be the difference-maker.

From a payments perspective, fintechs are susceptible to the same challenges that e-commerce businesses face like increasing approval rates, grappling with regulation, fraud and risk challenges, dealing with multi-party providers, processing speeds, and stagnant conversion – just to name a few. The good news is that the same solutions that apply to e-commerce businesses can also greatly benefit fintechs; ultimately streamlining and optimizing payment processes to achieve a healthier bottom line.

The Checkout.com difference

As a fintech company, Checkout.com understands the intricacies and challenges that many fintechs face on a daily basis. Checkout.com’s unified payments solution combines gateway, international acquiring, and payment processing services, all through a single API. Using our all-in-one platform, fintechs benefit from faster processing, greater reliability, data transparency, and adaptability to an ever-changing payments ecosystem.

Higher acceptance rates. As the processor and acquirer, Checkout.com has optimized the payments communication process allowing us to send more relevant data to issuers resulting in better acceptance rates and faster settlements for our customers. Also unique to Checkout.com, our own BIN in the UK allows local fintechs to build greater trust with their domestic customers.

Better tools to maximize revenue. Checkout.com’s unique Reconciliation API automates the reconciliation process giving businesses access to a single source for payment and payout data. Using the API, merchants can see every data field and all transaction information in a single place. In a highly regulated industry, the Reconciliation API enables fintechs to streamline the reconciliation process and ensure greater accuracy.

As a tight-margin industry, access to granular transaction data allows fintech businesses to identify cost-saving opportunities and see exactly what the costs are, where they’re making money, and where they may be losing revenue. The depth of data allows businesses to see a detailed view of everything that’s going on which can help inform short and long-term strategic and commercial decision-making.

We use the latest payment technologies. Checkout.com is continuously developing the newest scheme technologies to optimize pay-in and pay-outs of our fintech merchants like our current integration with Visa Direct and Mastercard MoneySend.

With Checkout.com, your fintech business will benefit from:

Speed & Automation

A single, streamlined integration
A single payments endpoint
No intermediaries
Adaptable, faster-to-market technology
Automation with our Reconciliation API

Higher Acceptance

Accept funds in 150+ currencies
Process 16 like-for-like currencies, saving on FX fees
7 local acquiring BINs
100+ response codes to quickly identify and resolve transaction issues and allows you to build BI around declines.
Expansion into more markets including the UAE, APAC, and the U.S.
Granular, transaction-level data
Optimized Interchange and Scheme fees through programs like Visa’s Me2Me

Consultative Customer Service