This year’s Fintech Nexus did not disappoint! The gathering and active discussion and debate among participants showed the resilience and enthusiasm of the industry. There was plenty of 1:1 networking and the opportunity to reconnect with friends and relationships while also meeting new connections. And of course, there were many, many parties where conversations continued through the night. There was a recognition that things are tough and we need to get through this cycle. The optimism for the future was contagious with an understanding that great solutions and companies are being created right now – the future is looking bright beyond today’s challenges.
Here are some takeaways from this year’s conference:
1. The current environment is tough and one that we have not seen since the dot.com bust. Investor appetite has dramatically slowed since exits are unclear. This is a cycle, and growing companies need to manage their runway to survive and come out the other end. Focus should be on profitability and unit economics while adhering to...
April 28, 2023
The Importance of Small Business Lending in the United States
Small businesses across our nation play a crucial role in the health of our economy. As of 2019, small businesses employed 46.4% of total employees in the United States and paid 39.4% of the nation’s wages.[1] Women and racial minorities own 43.2% and 19.4% of small businesses, respectively.
Despite their significant contributions to the U.S. economy, many small business owners have difficulty accessing credit to launch and/or grow their businesses. Small businesses may not have sufficient revenue history or other information to qualify for credit, their financing needs may not fit within the credit box of banks, or other factors. Access to credit is particularly difficult for women and minority small business owners if their business and/or personal credit histories are not well-represented in traditional credit reporting datasets.
When it comes to small business lending, community banks have an advantage over large national banks given their deep understanding of the communities...
March 23, 2023
The inaugural in-person Fintech Meetup conference took place this week (March 19 – 22) in Las Vegas and is positioned to be a key event in financial services, banking, and Fintech. The gathering brought thought-provoking discussions and a slew of impactful 1:1 meetings for attendees. Despite market volatility, there was still an air of excitement over opportunities and resilience that can be created in times of industry stress.
Here are some takeaways related to Fintech Meetup from this week:
There is a flight to safety, given market volatility and fragility. Newer Fintech providers need to look inward, focus on themselves, and continue to innovate. Larger Fintechs need to figure out how to leverage their scale to position to grow. All need to refocus and figure out who they are and what they are good at so they can focus on these core strengths.
Open banking is exciting but there is uncertainty as to its governance. There is an increased willingness...