Branch International is bringing digital financial services to mobile users in an intriguing location.
The San Francisco-based company also known as Branch.co, has raised $9.2 million in a Series A round of funding to bring its services to Sub-Saharan Africa, reports TechCrunch.
Branch's free Android app is a "branchless bank for teh next generation," according to founder and CEO Matt Flannery. The app asks users to let it access and analyze data stored on their phones, such as their monthly phone bill price or who they call most frequently.
Using this data, Branch learns and anticipates who would most likely be a solid borrower and can then offer a credit line of anywhere from $2.50 to $500 in approximately 10 seconds. The app does not ask users for a credit history as they would need to get a credit card through a traditional bank.
Flannery told TechCrunch the app is growing in popularity with sole proprietors and entrepreneurs, particularly farmers, merchants, and drivers.
The rising popularity of Branch's app makes it clear that we’ve entered the most profound era of change for financial services companies since the 1970s brought us index mutual funds, discount brokers and ATMs.
No firm is immune from the coming disruption and every company must have a strategy to harness the powerful advantages of the new fintech revolution.
The battle already underway will create surprising winners and stunned losers among some of the most powerful names in the financial world: The most contentious conflicts (and partnerships) will be between startups that are completely reengineering decades-old practices, traditional power players who are furiously trying to adapt with their own innovations, and total disruption of established technology & processes:
As you can see, this very fluid environment is creating winners and losers before your eyes…and it’s also creating the potential for new cost savings or growth opportunities for both you and your company.
After months of researching and reporting this important trend, Evan Bakker, research analyst for BI Intelligence, Business Insider's premium research service, has put together an essential report on the fintech ecosystem that explains the new landscape, identifies the ripest areas for disruption, and highlights the some of the most exciting new companies. These new players have the potential to become the next Visa, Paypal or Charles Schwab because they have the potential to transform important areas of the financial services industry like:
If you work in any of these sectors, it’s important for you to understand how the fintech revolution will change your business and possibly even your career. And if you’re employed in any part of the digital economy, you’ll want to know how you can exploit these new technologies to make your employer more efficient, flexible and profitable.
Among the big picture insights you'll get from The Fintech Ecosystem Report: Measuring the effects of technology on the entire financial services industry:
This exclusive report also:
The Fintech Ecosystem Report: Measuring the effects of technology on the entire financial services industry is how you get the full story on the fintech revolution.
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