Page 17 - bne_Tech_07_2018

Fintech
July 2018 www.intellinews.com I Page 17
BCS to launch a digital lender
The Russian financial group BCS will launch Sfera, a digital bank for entrepreneurs, later this year, aiming for a 10% share of the small business segment, Kommersant reported.
The digital lender model has been popular in Rus- sia lately, attracting interest from several major players in the finance sector and resulting in increased competition.
Although BCS is yet to reveal details about the project, the group is apparently working on offer- ing potential customers features that would cre- ate competitive advantages for the new lender.
"The structure and functionality of the product will be totally new for the Russian market," Dmitry Peshnev-Podolsky, head of BCS Bank, was quoted as saying by Kommersant.
BCS began developing a digital bank back in 2016, after studying entrepreneurs’ needs and available offers from banks and b2b services, according to Peshnev-Podolsky.
"We see growing demand for digital financial services from small business, and we find the current offering from existing players to be insufficient," he added.
Sfera's web site is already live, describing the bank's offering for small and medium enterprises (SMEs).
Sfera's customers will be offered accounting and HR services, as well as templates for the most commonly used contracts. Individuals registered as entrepreneurs will also be able to withdraw funds on their personal bank cards.
The concept of a digital bank has been gaining popularity lately. The best known lenders operat- ing in that segment are Modulbank, which has been around for four years, as well as Tochka,
a digital bank linked to Financial Corporation Otkritie and Qiwi Bank.
Meanwhile, traditional lenders, such as Sberbank and Alfa Bank, have also been stepping up their digital offerings for SMEs, pushing up competition.
Another major player in the segment is Tinkoff, which positions itself as the country's leading digital bank, although its main focus is still on private individuals rather than SMEs.
Currently, Tochka, Tinkoff and Modulbank are responsible for about 15% of services for SMEs, according to Kommersant.