• More than 50% of Social FinTech companies in the world are located in Africa. The second and third most common areas in Social FinTech are North America and South America.

 

  • Microfinance & Loans is considered the most common field in the Social FinTech sector followed by Online Banking and Payment & Transfers.

 

  • 2015 was the most recurrent year in which Social FinTech companies were founded. This year, there was an increase of approximately 150 percent of companies founded than the previous year.  

 

  • One of the oldest Social FinTech companies, BancoSol, was founded in 1992. It originally started as a non-profit institution to support the development of microenterprises of Bolivia in 1984. In 1986, through becoming structured as an NGO (Non-Government Organization), it became possible to start credit intermediation activities. Consequently, in 1992, the NGO had a portfolio of 17,000 clients located in the cities of La Paz, Cochabamba, El Alto and Santa Cruz. Finally, later that year, this NGO transformed into a microfinance bank which became known as Banco Solidario SA, also known as BancoSol, with a loan portfolio of over 4 million dollars. Currently, the company has a loan portfolio of over 982 million dollars.

 

  • A majority of successful Social FinTech companies tend to have a range of 11 to 50 employees. Even though this data may show that this range of employees advocates success, it is possible to have a different sized company and become a prosperous Social FinTech business.

 

  • Currently, two billion people in the world remain unbanked. In other words, ¼ of the world’s population does not have access to the services of a bank. In the Social FinTech sector, more companies are beginning to target this population as they’ve become an important new market for banks. Additionally, through providing banking services to the underbanked, these Social FinTech companies are giving these people a better chance to overcome poverty.

 

  • In 2013, there was an estimate of 2.7 billion dollars involved in crowdfunding, an 81 percent increase from 2011. Thus, crowdfunding is becoming more popular as more social start-up companies have a higher chance of becoming invested by the public.

 

This article is based on information shown from socialfintech.org, Forbes, Entrepreneur, BancoSol and crunchbase.