2023: Top five fintech start-ups of the year
From niche and targeted fintech start-ups addressing the needs of particular groups of consumers to new challenger banks and digital neobanks, 2023 has seen the launch of a number of new companies across the world.
As we wrap up 2023, FinTech Futures takes a look back at five new fintechs that have launched this year.
Former JP Morgan exec Jeremy Balkin’s new venture TodayPay launches from stealth
New fintech start-up TodayPay, founded by former JP Morgan executive Jeremy Balkin, launched from stealth during October’s Money20/20 USA event held in Las Vegas.
TodayPay launched from stealth this year
TodayPay says it has built “the world’s first” faster payments technology that helps merchants provide instant refunds to their customers via multiple payment options.
Founder and CEO Balkin describes traditional refunds as “monolithic, inflexible, and uncertain”.
“Consumers often don’t realise their refund doesn’t actually go back in their bank account, and this broken process is no longer fit for purpose in the dynamic digital economy,” he says.
TodayPay’s solution, tailored for e-commerce merchants, marketplaces, logistics providers, and insurance companies, aims to boost checkout conversion rates and customer loyalty while helping firms to avoid fraud and disputes. The start-up says its technology “decouples the refund, which is a payment solution, from the return, which is a logistics problem”.
AI fintech start-up Black Ore launches from stealth with $60m funding
Black Ore, a new US-based artificial intelligence (AI) start-up for financial services, launched from stealth in November with $60 million in funding led by a16z and Oak HC/FT.
The funding round also saw participation from General Catalyst, Founders Fund, Khosla Ventures, Trust Ventures, Lionbird, SciFiVC, and SV Angel, among other institutions and angel investors.
Based in Austin, Texas, Black Ore offers an AI automation platform for financial services businesses designed to help streamline workflows to increase productivity, revenue, and profitability.
The start-up has launched its flagship product, Tax Autopilot, which uses AI to simplify federal and state tax compliance processes for Certified Public Accountants (CPAs) and accounting firms. Initially launching to a limited number of companies, the product will be rolled out fully in early 2024.
Sibstar launches to help people with dementia manage their spending
New fintech start-up Sibstar, which offers a debit card and app designed for people with dementia, launched in the UK back in March in partnership with Alzheimer’s Society and Mastercard.
Sibstar launches app and card for people with dementia
According to research conducted by Sibstar and Alzheimer’s Society, nine out of ten people affected by dementia experience difficulties handling their finances daily, with many prone to getting scammed and losing their money.
To combat this, Sibstar’s debit card comes pre-loaded with funds with the ability to manage money and spending through the app, available on both iOS and Android.
The firm says the card can be instantly switched on or off via the mobile app, online, or at ATMs, “delivering a flexible solution which can be scaled as the needs of individual customers change”.
The app also features spend limits, auto top-up, and real-time notifications.
US fintech start-up CapitalOS emerges from stealth with $39m in equity and debt financing
San Francisco-based fintech CapitalOS, which provides spend management infrastructure for B2B platforms, launched from stealth in November backed by $9 million in equity funding and $30 million in debt financing.
The equity round was led by Group 11 with participation from Upper90, Vera Equity, Slow Ventures, and angel investors from other fintech companies.
Founded by former employees of Microsoft, Stripe, Lyft, and Tipalti, CapitalOS says its software enables B2B platforms serving small businesses to avoid the expensive and time-consuming in-house development of spend management solutions.
Once integrated, CapitalOS claims its tech handles the entire user journey, from onboarding to ongoing card management. It adds that companies can benefit from increased user retention and open up access to business spend data to manage their expenses more effectively.
Online banking start-up Slash launches with $19m in funding
Slash co-founders Victor Cardenas and Kevin Bai
US-based online banking platform Slash emerged from stealth in May with $19 million in seed and Series A funding led by NEA.
The round also saw participation from Menlo Ventures, Connect Ventures, Y Combinator, Soma Capital, and Global Founders Capital, along with angel investors from Plaid and Tinder.
The start-up targets young entrepreneurs with side hustles. It offers personal and business banking solutions, allowing entrepreneurs to manage both a personal account and a business account on the same dashboard, with seamless transfer of money between the two.
