August 29, 2023: Financing options your customers will love
Empowering consumer finance using tech, an AMA session you'll want to attend, why its not too late to enter the Generative AI space, and more reads for your week
Profile: Building Financeit
What is Financeit?
Founded in 2011 by Michael Garrity and Casper Wong, Financeit sought to bridge the gap between financial institutions and everyday consumers seeking accessible and convenient financing options.
The company recognized that the traditional lending process often presented challenges to consumers, including complex paperwork, stringent credit requirements, and lengthy approval times. In response, Financeit introduced a novel approach that harnessed the power of technology to streamline and democratize the financing process.
How is it different?
In an era marked by rapid technological advancement, traditional financing methods are being reshaped by the emergence of fintech companies. Among these pioneering entities, Financeit stands out as a prominent player in the consumer financing landscape. Financeit has revolutionized the way people access financing, empowering both consumers and businesses through its innovative technology-driven approach.
How does Financeit support customers?
One of Financeit's core principles is to empower consumers by providing them with a seamless and user-friendly financing experience.
Through its platform, consumers can explore financing options for a wide range of purchases, from home improvements to retail purchases. The user interface is designed to be intuitive, allowing applicants to easily complete the application process online or through a mobile app. Additionally, Financeit's technology-driven approach minimizes the paperwork traditionally associated with financing applications, making the process faster and more efficient.
Is there anyone else seeing the benefits?
Financeit not only benefits consumers but also offers significant advantages to businesses.
The platform provides businesses, especially small and medium-sized enterprises (SMEs), with a tool to offer financing options to their customers, thereby expanding their customer base and boosting sales.
By integrating Financeit's solutions into their operations, businesses can create a competitive edge by providing flexible payment plans that cater to the diverse financial circumstances of their clientele.
How is it using tech to adapt to the current market and demands of consumers?
At the heart of Financeit's success is its innovative use of technology.
The platform's user-friendly interface is supported by sophisticated backend systems that facilitate swift credit assessments, ensuring that both consumers and businesses receive timely financing decisions.
Machine learning algorithms and data analytics are utilized to assess credit risk, enabling Financeit to provide financing options to a broader range of consumers, including those with varying credit profiles.
How has Financeit grown since inception?
Over the years, Financeit has expanded its reach and influence by forging strategic partnerships with various industry players.
In 2017, the company entered into a merger with Concentra, a leading provider of wholesale finance solutions, bolstering its capacity to serve an even wider customer base. This strategic move not only enhanced FinanceIt's service offerings but also highlighted its commitment to continual growth and innovation.
More recently, Financeit was making news after acquiring its leading competitor, Simply Group - only further advancing their reach in the market.
What does the future look like?
While Financeit has undoubtedly disrupted the consumer financing landscape, it is not without its challenges.
The ever-evolving regulatory environment, cybersecurity concerns, and market competition all present hurdles that the company must navigate. However, Financeit's commitment to leveraging technology and its ability to adapt to changing conditions positions them well, allowing them to further address these challenges.
What can we learn from Financeit’s journey?
Financeit stands as a testament to how technology can reshape traditional industries for the better.
By reimagining the financing process, the company has empowered consumers with greater financial flexibility and enabled businesses to expand their customer reach.
With technology as its driving force and a commitment to innovation, Financeit continues to redefine consumer financing, paving the way towards a more inclusive and efficient financial landscape.
Partner Content: Fidelity
Are you a new or seasoned investor looking to learn more about the capital markets and Exchange-Traded Funds (ETFs)?
Andrei Bruno, Director of ETFs at Fidelity Investments Canada, will be hosting a Reddit “Ask Me Anything” (AMA) session on Thursday, August 31 @ 12:00 p.m. EST to answer your questions.
Andrei has been at Fidelity for just over three years, starting as an exchange-traded fund (ETF) strategist. Prior to that he spent 10 years in the sector, at another investment firm and a big 5 bank, in sales and trading. He and his team helped launch Fidelity’s Active ETF strategy in May 2023 and now he’s here to answer all your questions about the ETF landscape in Canada, capital markets, and how ETFs could fit within a diversified portfolio.
Click this link to ask your questions ahead of time and tune in.
Join our community today!
We want to give you access to insights from Fidelity’s experts, so be sure to join the r/fidelitycanada subreddit for monthly AMAs and financial literacy content on a wide range of topics that simplify concepts and demonstrate the value of investing.
*this is sponsored content
Quick Take: It’s not too late to enter the Generative AI space
What is the news?
Last Thursday, Toronto based Ideogram announced that it had raised $16.5m USD from A16Z, Index Ventures, AIX Ventures, Golden Ventures and Two Small Fish Ventures.
Any other interesting investors?
Several high profile angels were announced including Raquel Urtasun, founder of Waabi, Tom Preston-Werner, co-founder of GitHub; and Sarah Guo, former GP at Greylock.
This is an interesting mix of experience in AI, scaling a developer platform and experience investor.
What is surprising about this round?
Ideogram is competing in a crowded space.
They are building their own AI model that generates images based on text prompts. The leaders in this space include Open AI, with their Dall-E 2 model, Stability AI, and Midjourney. In addition, many large stock photography or image companies like Adobe and Shutterstock.
In the last year a few potential legal headwinds have emerged including the inability to copyright images generated by AI and lawsuits on the data that was used to train images.
Why do you think Ideogram was able to raise funding?
A brilliant team of engineers with experience in leading AI imaging projects, like working on Google's efforts, plus a potentially massive market.
The investors are willing to bet on talented teams in an emerging market where the current leaders may not be the winners.
What we don't know is what really makes Ideogram unique and the team may have plans they are not sharing currently.
What are the takeaways for the community?
In new markets, the first mover advantage can turn into a disadvantage and second movers have many times emerged as the long term leaders. They get to learn from the missteps and challenges that the leaders encounter and take different paths to build more enduring companies.
Will this be the case in imaging and generative AI?
Only time will tell.
Reads & Opportunities
The re-opening of the IPO Window
More on the recent raise making news for the Generative AI space
Challenging the Norm - the journey to disruption with Vena Solutions COO
ChatGPT’s astonishing potential
Taking the risk out of early stage investing
Today’s profile company is hiring a Data Engineer in Toronto
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