Speared by the need of a comprehensive financial ledger system among fintech entrepreneurs, French Startup, Formance has launched its services. Its open-source, programmer-oriented ledger tracks all asset movements in your accounts, resolving the headache associated with multiple bank accounts and processors.
Co-founder and CTO Clément Salaün revealed that an elaborate infrastructure would gradually replace the single ledger product. Formance currently markets five suitable products — the ledger, a connectivity platform, payment orchestration, reconciliation, and an up-and-coming mass payout product. Their venture rivals Stripe, Adyen or Mangopay, seeking to create middleware functioning across multiple providers.
Formance recently celebrated a $21 million Series A funding round, with major contributions from PayPal Ventures, Portage, Y Combinator, Hoxton Ventures and Axeleo.
Salaün highlighted plans of advancing exports for financial tools, improving existing connectivity, and banking at a micro level. Their objective behind these added services is scalability and lower integration costs for clients. Although similar to larger fintech companies like Stripe, Formance’s USP lies in its independence. It neither processes payments nor handles client money.
Today, Formance services approximately 20 customers, including two in the U.S., which contribute to about 40% of the startup’s revenue. Other clients include Doctolib, Liberis, Booksy, and Shares.
With an additional $21 million at its disposal, Formance intends to establish a New York office and invest in a marketing team, along with expanding its engineering and product teams. By the end of 2025, Formance aspires to grow its employee base from 20 to 50.
Original source: Read the full article on TechCrunch
