How Fintech Apps are Helping Startups to Grow in 2021
The financial sector has quickly adjusted to the changing terrain brought on by fintech app development since its inception. This is obvious in how older, established businesses are being forced to look for fresh methods to do business in order to avoid being left behind. Research has it that fintech generates revenues amounting to billions of dollars per year and these figures are expected to double by 2030.
Finance app ideas have combined the latest technology developments with financial services thus, it has greatly helped businesses, especially startups to disrupt the once dominated industry and therefore provides better financial services to individuals and businesses alike.
As a startup founder, all you need to do is find a trusted and reliable fintech app development company that suits the needs of your unique company. If you have a financial issue you need to solve, it’s very likely that you can find a fintech solution to help.
Technological Capabilities of Fintech
With so much competition and so many firms debuting each year, it is difficult for startups to thrive and establish a reputation in today's market. As a result, it's critical that they use methods that make their jobs easier and allow them to expand successfully and efficiently. FinTech app development plays a major role in this. It has the following capabilities:
- Crowdsourcing and crowdfunding
- Online payments
- Peer-to-peer transfers
- Micro credits and loans
- Investment management
Why Fintech Apps are Important for Startups
FinTech is one of the fastest-paced sectors in the financial industry. While traditional banks are often slow to adopt technology, revolutionary finance app ideas are taking over the market, targeting both regular consumers and businesses.
- The Increasing Demand for Personal Finance Management
Residents' security has improved as a result of social growth, as has their personal spending, such as stock investments or school fees. According to authoritative studies, the BFSI sector has been rapidly developing a variety of financial services to meet human needs. As a result, consumers are more concerned about how to properly control those ongoing expenses.
- The Growing Use of Mobile Devices
The advent of portable devices has made it easier for consumers, businesses, and banks all across the world to conduct online transactions. Even users who are remaining at home during a quarantine period can utilise mobile apps to pay their expenses.
- Requirements for Financial Data Security
Physical attacks are a threat to traditional methods of storing and organising financial data. The greatest method to avoid unanticipated accidents is to digitise. Cybercrime, on the other hand, is a significant threat that financial institutions and the banking sector may face in the future. As a result, designing financial apps is the most effective way to protect sensitive data and information.
If you're thinking about starting a fintech company, now is the moment. Early adopters of finance app ideas will be in a stronger position as the pace of post-crisis digitization intensifies. Fintech app development will be an inevitable choice in 2021 and beyond, whether you are an established financial organisation seeking a digital transformation or a rookie.
FinTech Market in 2020–2025
According to The Business Research Company, the FinTech market is expected to reach $309.98 billion in 2022, growing at a CAGR of 24.8%. As of 2020, it’s worth an estimated $127 billion. The number of FinTech startups is growing as entrepreneurs are inclined towards fintech app development. The value of mobile transactions are expected to grow 212% in 2022 according to Inflexion, leading to mobile transactions accounting for 88% of all banking transactions.
According to Singularity University, 46 percent of consumers use just digital banking services for their day-to-day needs, indicating that demand for mobile applications in the financial industry is fast increasing.
Finance app ideas are still growing, and with new technologies like blockchain, artificial intelligence, cloud computing, and chatbots, it's only going to get bigger. The most crucial step toward digitalization for every business today is to facilitate fintech app development that reflects the firm's services and improves the client experience.
FinTech apps assist companies in giving capital to startups and small businesses by facilitating the management of a business through automation technologies, less documentation, loans, spending tracking and invoicing, the use of numerous tools, and a variety of finance app ideas for products and services. These services aid in the growth of startups.
The way people spend and send money has changed dramatically. Fintech app development is at the vanguard of this transformation. Fintech technologies, by replacing the traditional technique, undoubtedly lower the costs of many financial organisations. The number of fintech apps have risen considerably in recent years, from 1,000 to 8,000.
Fintech's future appears to be brighter than ever, but fintech app development is no easy undertaking. Typically, the development process begins with the ideation stage, during which you and your app development partner collaborate to write thorough specifications for your prospective app.
Holding a Bachelor's degree in technology and two years of work experience, Jason focuses on making technology digestible to all. Being someone who stays updated with the latest tech trends, he's always armed to write and spread the knowledge. When not found writing, you will find him answering on Quora while sipping coffee.