It has been a cracking July for Weavr. It kicked the month off by raising a further £7m in seed funding. This represents an extension to the £3m of seed capital raised late last year.
Moreover, as Weavr co-founder and CEO Alex Mifsud tells Douglas Blakey, the firm exceeded its Q1 growth targets by 250%. The funding will accelerate Weavr’s plans to grow internationally and boost product development.
Weavr, a London-based fintech, allows businesses to embed banking and payments into their mobile app or SaaS platforms.
With intuitive APIs and built-in compliance models, Weavr’s customers are able to design, build and run their own in-app financial services in a matter of days. Says Mifsud, this is in stark contrast to the time and resource-intensive solutions currently on the market.
The extraordinary potential of embedded banking
He adds: “The need for simple and accessible tools to integrate banking in everyday products and services is urgent. As the world begins to look beyond the Covid-19 crisis and the possibilities stemming from lasting changes in consumer and business behaviour, embedded banking offers extraordinary potential for the future of work, the move away from cash, and the integration of financial services into all manners of digital businesses.”
He argues that embedded finance is leading the way in providing future-ready resolutions to help businesses gain more control of revenue while giving customers convenient and efficient purchase solutions.
Weavr founder and CEO Alex Mifsud speaks with editor Douglas Blakey
“Before Covid, the biggest disruption to work centred around new technology, but for the first time, the importance of physical aspects of work was highlighted. The pandemic pushed thousands of businesses and customers to rapidly adapt to working remotely, which in turn increased changes in behaviours and trends.
“Covid has transformed how we handle money. The use of cash was already decreasing, but lockdown has accelerated its downfall dramatically. With many retail stores now only accepting card payments to help reduce contact and shoppers making purchases in online stores instead, embedded finance has never been more important for businesses.”
The low touch economy
Mifsud explains that the low touch economy is the process that all businesses, regardless of sector, will need to follow to keep people safe as we continue on the roadmap after lockdown. In particular, he says that the low touch economy is the ‘new’ normal, and those that can’t adapt will face the threat of being left behind. In order to keep up with changing needs, businesses have to be quicker to adapt to new technologies that aid efforts in minimising human contact.
“The introduction of contactless debit and credit cards by Barclays in 2007 revolutionised payments in a safe secure way but it isn’t just about contactless cards anymore. Apple Pay and Google Pay have made payment even simpler with no need to even carry your wallet providing a bridge between online and physical points of sale.
“Wearable technology is taking this even further, with some costing as little as £5 and being suitable for various aspects of life including leisure, sports training and of course a payment method for on the go. Everything that you need is on your wrist.”
It is essential that businesses prepare now for the low touch economy-but how?
“Several businesses are already adapting to the Low Touch Economy. Yo! Sushi is a business moving with the times, implementing measures to ensure customers feel safe but with a futuristic feel. Previously, the restaurant was a very hands-on experience, with a carousel of food that travelled around the restaurant. Customers could choose their dishes at will and waiting staff moved frequently between tables.
“Due to Covid, Yo! Sushi was quick to turn this around; everything from ordering to paying the bill is now done through a QR code displayed on the table, and a traffic light system has been implemented to allow safer delivery of food to the diner.
“Uber has been leading the way with reducing contact since it first hit the roads. The days of looking for cash are almost forgotten with the ride-sharing app eliminating the need to hand the driver the fare, having to find a cashpoint on the way home, even dismissing the need for any contactless ‘tap in’ of bank details for each ride.”
“The need to reduce physical contact and become a low-touch society is more apparent than ever before, and for businesses trying to implement embedded banking methods as a part of this themselves, the dependency on external financial processes can be hard to break.
“This is because building and maintaining integrated financial services in-house requires a level of expertise, time, and resource that most businesses simply don’t have. In short, it’s just too difficult and restricts opportunities for growth and expansion.
But if the customer now demands and expects simple-to-use, embedded transaction options, businesses are going to need to respond accordingly.
Weavr: making it simple to implement embedded solutions
“Weavr is paving the way for the future and making it simple and efficient to implement embedded solutions for any business. Worries about complexity or high costs or the need to understand financial services regulation are eradicated to allow for rapid expansion as transactions and payments processed increase.”
Since its inception in 2019, Weavr has focused on enabling non-financial applications to deliver financial products alongside their core offering. Current clients span a variety of industries such as health and wellness, education, real estate, and future of work and include service providers like Finway, Thanks Ben, MySkillCamp.