Finxact, the emerging leader in the SaaS core banking, today revealed that it has secured $30 Million in the equity financing from both the new and existing investors. The new investors include the American Banker Association, SunTrust Bank, Accenture Ventures, and some other strategic industry leaders. And also in investing this round is all of the Finxact existing investors which includes the First Data, TN Corporation, Live Oak Ventures, Woodforest National Bank.
The new funding will be going to support the Finxact growth as it even completed with the development and build scale to match the market demand for a new category of the core baking platform. Finxact Core as a Service represents a first-of-kind options for the banks to efficiently differentiate between the customer experiences by seamlessly integrating new services and migrating to a real-time digital banking enabled system of record.
“We started Finxact at the beginning of 2017, and we have focused on building a banking system of record that can effectively replace legacy core systems and also serve as a platform for rapidly evolving digital banking requirements,” said Frank Sanchez, Finxact CEO and founder. “We've developed a platform that is functionally robust, reliable, scalable and highly efficient. We have multiple customer implementations currently underway and have raised capital to expand our capacity to go to market on a broader scale. We also plan to expand our integration activities with the financial services ecosystem and to mitigate the risk and complexity historically associated with core system migrations.”
Till today's, date innovations around the core banking have been lacking, especially as it even relates to building the new core technology from the ground up. As a result of which, many of the financial institutions are also burdened with the antiquated high-cost systems and the inability to react to rapidly evolving the customer demands. Finxact approach to the core banking goes beyond the simply providing industry with the latest modern technology, to fundamentally changing the way financial institutions and vendors will even operate and engage with one another.
“Bankers know that innovation is essential to remaining competitive, yet I've heard time and again that their relationship with their core provider can make it difficult to be agile in selecting products and partners,” said ABA President and CEO Rob Nichols. “We are confident that the impressive team at Finxact will challenge the entire industry, including banks and their providers, to think differently about the way a core platform enables a bank to innovate.”