Internationalising fintech companies
FinTech companies that are seeing success in their local market are often tempted to expand internationally, partly to access attractive emerging markets, partly to access overseas talent and increasingly, in the UK at least, because of diminishing attractiveness of their domestic market. In fact, 42% of UK businesses are more inclined to expand overseas in the wake of the Brexit vote. Internationalising for scale is particularly attractive for those ‘volume-led’ areas of FinTech such as payments, robo-advisory and remittances.
On the face of it, as an agile startup unburdened by huge headcounts and legacy infrastructure, it may seem that FinTech companies should have an easier time expanding overseas than their larger incumbent counterparts. However, FinTech can be a very domestically-orientated industry, and operating cross-border is not without its challenges…
Read my full article on Innovate Finance.