IT Outsourcing

Fintech on Cloud: How to Build SaaS Financial Solutions

11 Jul 202320 min read

Eryk Libelt

Eryk Libelt

Fintech on Cloud: How to Build SaaS Financial Solutions

The Fintech cloud market, valued at $44.4 billion in 2021, is on an extraordinary growth trajectory to reach $196.2 billion by 2031. This rapid expansion underscores the increasing importance of understanding and leveraging cloud-based financial technologies. By utilizing these solutions, businesses worldwide can gain a competitive advantage, drive innovation, and enhance customer satisfaction. To fully benefit, an in-depth understanding of design, deployment, utilization, regulatory implications, and future trends is essential. Join us as we explore how to build SaaS financial solutions in the ever-evolving Fintech cloud landscape.

What is a SaaS Fintech solution?

Software as a Service, commonly known as SaaS, is a software distribution model in which software as a service provider hosts applications for customers and makes them available for online payments or over the internet. Instead of purchasing and installing software on individual computers or servers, users subscribe to software as a service and access the software remotely, typically through a web browser. This model eliminates the need for extensive hardware, reduces maintenance and support burden, and provides scalability and flexibility to businesses.

On the other hand, Fintech, a blend of the words "financial technology," represents the intersection of financial services and technology. It describes innovative solutions transforming traditional financial practices by making them more efficient, accessible, and user-friendly. This includes everything from online banking and investment platforms to digital payments and blockchain technologies.

When we talk about SaaS Fintech solutions, we're referring to delivering financial services through SaaS applications. These solutions have disrupted the financial industry by enabling financial institutions and other businesses to leverage sophisticated technologies without the need for significant upfront investment or ongoing maintenance. They provide scalable, flexible, and cost-effective financial services accessible anywhere, anytime, from any device with an internet connection, transforming other sectors of financial institutions, how businesses operate and how consumers interact with financial services.

Advantages of SaaS Fintech Solutions

The integration of SaaS into Fintech brings with it a multitude of advantages that have the potential to radically improve both the operation of businesses and the delivery of the vast majority of services to consumers. Here are some key benefits:

  • Fintech Flourishes during Times of Crisis: SaaS Fintech solutions allow businesses to remain operational even in disruptive situations, such as the COVID-19 pandemic, by enabling remote access and ensuring the continuity of financial services.
  • Increased Predictability: SaaS offers predictable costs, with subscription-based pricing models that simplify budgeting and eliminate surprise costs associated with hardware maintenance and software upgrades.
  • Ease of Access to Applications: With SaaS, users can access applications anytime, anywhere, from any device with an internet connection, increasing convenience and boosting productivity.
  • Cost Incentives: SaaS eliminates the need for significant upfront investments in hardware and software, reducing capital expenditure and leading to substantial cost savings.
  • Cyber and Digital Security: SaaS providers often have robust security measures to protect data, reducing the burden on businesses to manage and update their security infrastructure.
  • Market Agility: SaaS solutions can be quickly and easily scaled up or down in response to changing market demands, enhancing business agility and competitive edge.
  • Consumer Adoption: The convenience, ease of use, and personalized experiences offered by SaaS Fintech solutions drive high consumer adoption rates.
  • Regulatory Compliance: SaaS providers often build compliance with industry regulations into their solutions, simplifying the complex task of maintaining regulatory compliance for businesses.
  • Minimizes On-Site Labor: SaaS reduces the need for on-site IT staff, as the service provider typically handles maintenance, updates, and troubleshooting.

In conclusion, SaaS in the Fintech space is more than just a trend – it's a powerful tool for transforming financial services and creating a significant competitive advantage for financial institutions.

Top SaaS Fintech Companies in 2023

In 2023, several top-notch SaaS companies are driving innovation in the Fintech industry, providing solutions ranging from transaction monitoring, risk management and insurance to cryptocurrency security and retail and data analytics. Here's a look at a few prominent players:

  • Guidewire is a leading provider of software products to the global insurance industry. With its cloud-based platform, Guidewire enables insurers to engage more holistically with their customers and provides a seamless pathway to digitization, facilitating process efficiencies, data management, and analytics.
  • BitGo is a pioneer in digital asset security and cryptocurrency solutions. Leveraging a SaaS model, BitGo offers robust security for digital currencies, enabling businesses to manage, store, and secure their digital assets with ease while also providing liquidity and transaction speed capabilities.
  • Riskified offers a cutting-edge e-commerce fraud prevention solution. As a SaaS platform, it uses machine learning to distinguish between legitimate and fraudulent transactions, helping businesses minimize risk and optimize conversion rates, ensuring safer, more profitable e-commerce operations.
  • TraxRetail is revolutionizing the retail space by providing image recognition and computer vision analytics. Their SaaS solution transforms in-store retail execution by providing real-time, actionable insights, enhancing shelf visibility, operational efficiency, and boosting sales performance.
  • SecurityScorecard is a leader in cybersecurity ratings. Its SaaS platform offers a comprehensive security risk assessment, providing organizations with an easy-to-understand scorecard that measures the cybersecurity posture of their own and third-party businesses, promoting an ecosystem of trust and improved cybersecurity practices.

Each of these solutions underlines the vast potential of SaaS in the Fintech industry, demonstrating its capabilities to transform, streamline, and secure financial operations in various market sectors in many industries.

10 SaaS Fintech startups ideas for 2023

After examining successful examples of SaaS companies in the Fintech sector, it is worth considering launching a project in this lucrative field. There are multiple ways to achieve success with your company. To help you navigate the most important business trends of financial inclusion this year, we have prepared a list of the best startup ideas for 2023.

1. Digital Banking

In the current digital age, banking has seen significant disruption with the introduction of digital solutions. Offering flexible access to banking services, digital banking platforms, often mobile applications, have found favor among younger professionals due to their convenience. As a budding Fintech entrepreneur, collaborating with a well-established bank to create a robust digital banking app could be a promising venture.

2. Peer-to-Peer (P2P) Lending

Emerging as a viable alternative in the Fintech startup world, P2P lending platforms, expected to reach a market cap of $558 billion by 2027, provide a marketplace that connects borrowers and lenders directly. By processing payments by issuing banks and eliminating intermediaries in the payment process, these platforms simplify traditional banking services and create profitable opportunities with limited risks.

3. Investment Advisor Apps

Fintech advances have revolutionized the investment sector and new markets, pushing investors to take more calculated risks supported by insightful guidance. Robo-advisor apps, offering algorithm-based financial planning and investment recommendations, can achieve global reach and provide personalized advice by incorporating interactive tools tailored to user and customer account needs.

4. InsurTech Platforms

A key disruptor in the insurance industry, InsurTech presents a promising idea for your Fintech startup. Utilizing data and analytics, these platforms offer comparative and purchasing solutions for insurance policies while preventing fraud and ensuring a personalized customer experience. To find out more about this topic read our latest article on Insurance Software Development.

5. Investment Apps

With a surge in micro-investors, investment apps have grown increasingly popular, making them a good choice for many Fintech firms and startups. Capitalizing on the gradually expanding global online trading market, these apps offer valuable solutions for users.

6. RegTech Apps

As regulatory compliance presents a significant challenge for financial corporations, RegTech apps ensure compliance. They can prove profitable, with successful examples such as Chainalysis illustrating steady business growth and regulatory compliance requirements.

7. Decentralized Apps

Based on blockchain technology, decentralized apps or dApps offer alternative financial services and payment processing solutions, providing a promising venture for those interested in building Fintech startups.

8. Cryptocurrency Exchange

A typical application of blockchain technology, cryptocurrency exchanges offer long-term career benefits. With a user-friendly interface and transaction fees, these platforms have become popular trading destinations for crypto users, necessitating innovative features to stand out.

9. Digital Wallets

With the rise of cryptocurrency and blockchain technology, digital wallets offer customers access to secure storage for crypto keys. Designing them for compatibility with specific or multiple cryptocurrencies offers promising opportunities, with their implementation being safe and straightforward.

10. Payment Processors

Providing the necessary infrastructure for cash flow and electronic payments, payment processors offer exclusive solutions in the Fintech startup space. With the right domain expertise, financial resources, and a clear business plan, one can introduce innovative payment processing services and solutions to companies that offer new value advantages.

How to build a Fintech SaaS solution

Here's a straightforward approach to building a Fintech SaaS solution, incorporating your bank account's unique services and features:

Step 1: Do your homework

Software projects, especially in complex fields like Fintech, require thorough research. Before diving into product development, consider the following:

  • Understand your region: Financial services are heavily regulated. Research the laws and legislative measures concerning areas like cryptocurrency.
  • Know your customers: Identify who will use your app, their needs, and what sets your solution apart. Ensure your Know Your Customer (KYC) processes comply with regulations.
  • Outline your project: To avoid launch delays or funding issues, begin with a clear budget and timeline.

Step 2: Choose your tech stack

The right tech stack can determine your product's success. If you need more time, bring on a tech consultant or a team well-versed in top financial app development software tools. As an experienced development company, we recommend tried-and-tested technologies like React Native, React.js, or Ruby on Rails.

Step 3: Assemble a team

Find experts skilled in building successful Financial products that offer services with technical expertise, proficiency in the right tech stack, and practical communication tools.

You have a few options for team assembly:

  • You could form an in-house team, though this would require you to handle recruitment, interviews, and vetting.
  • Alternatively, hiring a remote team could save on operational costs and offer a broader talent pool. However, managing remote teams can pose communication challenges if it's your first time.

Choose the right software vendor.

After defining your product, you'll need to select a developer. Given the intense competition in software services, this could be tricky.

Striking the ideal balance between cost and quality is critical. Therefore, consider companies from regions known for skilled programmers who charge less than those in the U.S. or Western Europe. Notably, countries like Slovakia, Poland, or Hungary could be great options.

Step 4: Develop a Minimum Viable Product (MVP)

Before diving into full-scale development, ensure your target users are interested in your Fintech application. An MVP is a bare-bones version of your product, allowing early testing and helping gather data. This can help you drop unnecessary features and focus on what your users truly want.

Step 5: Consider APIs and Integrations

Users expect all Fintech companies' apps to offer various functionalities, from transactions and budgeting to chat support embedded payments and connectors. Even if you build functionalities from scratch, compatibility with third-party APIs is crucial. Your app should seamlessly integrate with your customers' preferred SaaS solutions, ensuring a smooth and secure user experience. Read more bout the importance of APIs and third-party integrations in our previous article.

Step 6: Prioritize Security

Since your app handles sensitive user and financial data, breaches could impact your reputation and Finances. Ensure your team understands data breach and data protection, laws and secure development practices. Implement strategies such as data encryption, dynamic password changes, multi-factor authentication, and role-based access control. Consider using the DevSecOps approach or partnering with a vendor specialized in Fintech app security.

Step 7: Design Thoughtfully

User experience and design are crucial in all Fintech products and apps. Every UI element should have a purpose. Target both service providers and end-users to optimize their revenue streams. For example, a lending app caters to both lenders and borrowers. Consider designing interfaces for different user segments and keeping B2B interface possibilities open for future expansions.

Step 8: Launch a Beta Version

Despite rigorous development testing, launching a product offering a beta version with select testers can provide valuable data points and user feedback for product refinement. Ensure your legal team prepares the necessary documentation to protect confidential data.

Step 9: Ongoing Support

Product launch is just the beginning. Given the ever-evolving Fintech industry, be prepared to maintain and update your app throughout its lifecycle. Navigating Fintech development may be challenging for small businesses, but exemplary leadership can simplify the process and increase revenue.

Validate your idea with Fintech MVP.

Validating your Fintech idea with a Minimum Viable Product (MVP) is an essential first step before full-scale development. An MVP, as the name suggests, is a basic version of your product encompassing only the important features. It serves as a real-world test to gauge user interest and market feasibility of your Fintech solution. To find more crucial informations see the comparison of MVP and MMP in our previous article.

Building an MVP first is a smart move for a few key reasons. Firstly, it allows you to test your concept in the market with minimal investment. You get to understand what works and what doesn't and accordingly tweak your product. Secondly, it provides an opportunity to gain early feedback from actual users, which can significantly shape your product's future development. Moreover, MVP can help attract potential investors by demonstrating the practicality and viability of your solution. Ultimately, an MVP is your safest bet to validate your Fintech idea and maximize the chances of its success.

How much SaaS Fintech development services costs?

The cost of SaaS Fintech development services can vary significantly depending on various factors, and it is challenging to provide fixed prices. When considering the development of a Minimum Viable Product (MVP) for a financial solution, the costs depend on the scope and functionality required. Similarly, team augmentation, which involves hiring additional skilled professionals for specific tasks or periods, can impact the overall cost. Project outsourcing, where the development is entrusted to a third-party vendor, introduces its own cost considerations.

Another significant factor is the migration of the financial solution to the cloud, which involves assessing the complexity of the existing system and the extent of data and services to be transferred. Complexity, including the intricacy of the required features and integrations, is a key factor affecting costs. Additionally, stringent security measures and regulatory compliance requirements can significantly impact the development costs. Lastly, the choice between an in-house team and outsourcing can also affect costs, as each option carries different overheads and resource allocations. Therefore, the costs of SaaS Fintech development services always depend on these multifaceted considerations, making fixed prices elusive.


In the dynamic landscape of Fintech SaaS, understanding the steps to successful startup development is critical. Elements such as thorough market research, appropriate technology selection, assembling a skilled team, creating an MVP for validation, prioritizing security, designing user-friendly interfaces, launching a beta version, and continuous support post-launch all play pivotal roles.

However, don't let this multifaceted process intimidate you. With SolveQ's rich expertise in Fintech SaaS solutions, we're here to guide you every step of the way. Get in touch with us today. Our end-to-end approach ensures your Fintech journey is strategically aligned with market trends, making your venture lucrative and attuned to users' evolving needs.

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Eryk Libelt

Eryk Libelt