Nigeria’s ARM launches new solution to support fintech startups scale up operations

NIGERIA – Asset and Resource Management (ARM), a Leading Nigerian financial services firm has launched the ARM Sandbox, a new and more efficient way for local fintech startups to scale their integration and customer acquisition plans.

The ARM Sandbox allows fintech startups that resell Application Programme Interfaces (APIs) to provide e-wallet, investments, and payment services to integrate ARM’s API into their solutions.

Through this integration, fintech start-ups will have an opportunity to use the ARM platform to expand their services to new markets, leverage the credibility of the ARM brand name, and earn from the management fees paid quarterly by the company.

Established in 1994, ARM is an asset management firm that offers wealth creation opportunities through a blend of traditional asset management and alternative investment services.

The company is already active in the Nigerian tech space, having run two editions of the LABS by ARM accelerator designed to support early-stage companies fintechs with access to funding and additional growth support, in partnership with Ventures Platform.

Managing Director of ARM Financial Advisers Henrietta Bankole-Olusina said, “The ARM Sandbox platform will empower fintech firms across Africa to achieve their growth goals.”

He further noted that the ARM Sandbox will also give fintech startups an opportunity to provide value added services to their clients and improve their customer acquisition strategies.

Financial technology startups are among the most popular startups in Africa and in Nigeria, and account for a majority of funding that is invested in startups in the continent.

In 2017, startups focused on financial inclusion in Africa raised 45% of the total startup funding with Nigeria’s Flutterwave alone raising $10 million Series A funding, the largest in the sector for last year.

Although being critical in the drive for financial inclusion, fintech startups in Nigeria face a myriad of challenges that hamper their growth.

One of the greatest challenges that fintech startups face aside from access to financing is lack of trust in the general public.

Despite the innovative products offered by FinTech companies, customers prefer to conduct financial transactions with Nigerian banks.

The brick and mortar banks are still considered safer than FinTech platforms, despite being slower when compared to fintech backed banking solutions.

The ARM Sandbox would thus be a much-needed support for startups, helping them overcome the trust barrier and enhance the customer acquisition abilities which is necessary in achieving growth goals.

Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals and insights from Africa’s business, economy and more. SUBSCRIBE HERE

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.