Building your BaaS checklist: what should I look for in a Banking-as-a-Service (BaaS) provider

Banking-as-a-Service (BaaS) is hitting the mainstream. According to our research of over 250 industry leaders in the banking and financial services sector, 64% have observed more unregulated businesses dipping their toes into the BaaS pool to launch new financial products and services. New insights from Gartner suggest that BaaS is currently sitting at the apex of its hype cycle – meaning there are plenty more innovations to come.

With more organisations looking to branch out into the financial services arena, and banks looking to diversify their offering, hopping on the BaaS bandwagon will be the next logical step for business development. But that doesn’t mean that choosing the best provider is a simple task.

To help with the process, the Yobota team has put together a list of things you should keep in mind when starting your BaaS journey.

‍

1. The key to true BaaS is in the ‘B’

While there are many BaaS providers on the market, it’s important to consider that they don’t all offer the same value proposition. While a vertically integrated, out-of-the-box offering may be right for some companies, other businesses may be better-suited to something modular and highly customisable to deliver value to their customers and support aggregation.

Today, many providers are talking about BaaS and making big claims about their capabilities. At Yobota we say that true BaaS is in the ‘B’ – the strongest BaaS providers grant access to both the banking licence and the balance sheet to ensure a quick and seamless route to market. Our partnership with Chetwood Financial means that our customers can launch their products with the support of a full banking licence – what’s more, they can access Chetwood’s balance sheet to de-risk their offering further and get cash to customers more quickly.

2. Let data do the talking

It’s been said before that data is the most important currency to businesses when it comes to their decision-making and forward planning – so why should BaaS be any different?

Our reporting layer provides you with all you need to build your own data warehouse and get real value from the numbers. With the help of our accounting engine and reporting API, our customers can harness data to their advantage to guide their organisation’s future.

3. Keeping the customer at the core of banking

All businesses have different needs and requirements, and BaaS should never be one-size-fits-all.

‍

Flexible and intelligent financial services are at the heart of our offering, and we believe that the best BaaS providers know that customer is always right. With this in mind, the Yobota core banking platform provides you with a complete toolkit of wide-ranging APIs, enabling all brands to quickly and easily create flexible, personalised financial products that cater to their unique customer base. 

So, whether you’re a new business looking to scale or an expanding company with an innovative idea, our comprehensive BaaS solution allows you to build your solution quickly and cost-effectively on our cloud native core, without the hassle of applying for a banking licence.

‍

‍Get in touch today to learn more.