Finlabs: the fintech programme by Bank of the West and L’Atelier BNP Paribas
Finlabs is a joint programme by Bank of the West and L’Atelier BNP Paribas. It combines...
24/04/2018
FinTech in the USA
- 11.10.2016
Following the boom years of 2014 and 2015, the United States now accounts for 57% of the global market for FinTechs. It’s a position that can be explained by the scale of a market that includes nearly 40% of the world’s millionaires. This environment enables FinTechs to grow in a very dynamic way, launching solutions focused on payments, credit, and more recently, asset management and investment banking.
Distribution of the global market for FinTech
57%
uniTED STates
31%
AsiA
10%
europe
But how do they grow?
After expanding their activities to all of the US states, FinTechs usually export their businesses to Canada and Australia, before targeting Asia or Europe, starting with the UK and followed by Germany and France. But internationalisation is sometimes complicated by the sector that these startups operate in. For example, it’s very difficult for a FinTech working in the consumer lending sector to offer the same product in both the United States and France, as this type of product is subject to very different legislation from one country to the next.
An alternative solution may involve working with large companies through partnerships or accelerators, such as the Fintech Accelerator by L’Atelier BNP Paribas. One thing is certain: FinTechs offer valuable expertise to large companies in terms of their knowledge of customer needs. These are frequently win-win partnerships, as startups are increasingly opting for B2B (Business to Business) or B2B2C (Business to Business to Consumer) activities in order to ensure revenue and identify partners or investors.