IBSFINTECH IS REMOVING PAIN POINTS IN FINANCIAL MANAGEMENT WITH DIGITAL TREASURY SOLUTIONS

Founded in 2006, IBSFINtech emerges as a pioneering enterprise treasury technology firm dedicated to the digital transformation of cash flow, treasury, risk, and supply chain finance operations.

In the wake of the 2008 Lehman Brothers collapse, a seismic event reverberating throughout global financial systems, TM Manjunath, S Sethuraman, and a team, previously affiliated with Vijaya Bank, seized the opportunity to revolutionize treasury management. Their vision was to construct digital solutions that not only address operational risks but also enhance business efficacy. Thus, IBSFINtech embarked on its journey in 2006, borne from the insights and expertise of former bankers. Today, the company stands as a leader in end-to-end digitization, catering to cash flow, treasury, risk, trade finance, and supply chain finance functions for over 380 entities globally, including esteemed names such as Vedanta Group, GAIL, Wipro Enterprises, Mahindra & Mahindra, and HCL.

"The idea emerged during the subprime period, marked by global collapses in the banking and corporate sectors, as well as volatility in commodity and forex markets. There was a need for automation, especially in the corporate sector. And that’s how we decided to create a product to cater to the corporate sides of the treasury operations," reflects Chandra Mohan Grover, MD and CEO, IBSFINtech.

The potential for treasury solutions is vast, with over 70% of global corporations relying on spreadsheets for treasury and trade finance management, according to the Deloitte Global Treasury Survey 2022.

IBSFINtech offers a digitized solution wherein multiple corporates and banks leverage its core technology platform to bridge the gap between enterprise resource planning (ERP) solutions, core banking, and financial services. This platform empowers CXOs and treasurers to enhance control and visibility, mitigate operational risks, and drive automation while providing decision support systems to manage risks and ensure regulatory compliance.

Grover reminisces about IBSFINtech’s maiden commercial client in 2013, the Bennet and Coleman Group, followed by Maruti Suzuki's adoption in 2017, marking a period of substantial growth with around 30 new customers onboarded.

Like any startup, IBSFINtech encountered challenges, including disparate data sources, communication gaps between treasury and other departments, and a dearth of real-time information due to fragmented systems.

"We made the decision to acquire the right clients to establish our credibility in the market and secure a strong position against global giants like SAP. Convincing CFOs was a challenge, as selling software for managing treasury operations wasn't an easy pitch in the early days. The question often arose: Why software? Why do I need it? We have Excel," explains Grover.

Leveraging advanced technologies like Machine Learning (ML), Robotic Process Automation (RPA), analytics, and Management Information Systems (MIS), IBSFINtech provides both on-premise and web-based SaaS Treasury Management Solutions (TMS). The on-premise solution caters to large corporations globally, offering customized solutions hosted in their infrastructure.

"In 2017, when bank connectivity was not even being talked about, we implemented integration with the bank and enabled a vendor bill discounting process for the then retail giant of India, Future Group," adds Grover.

IBSFINtech operates on two revenue models: a five-year license term and an annual recurring model, encompassing product licensing, implementation fees, and recurring annual maintenance fees.

In 2021, the company secured $1 million in a pre-Series A round from a group of high-net-worth individuals (HNIs) and plans to pursue a Series A round in the early FY 2023-24. Despite competition from industry players like Kyriba, ION, GTreasury, and SAP-TRM, IBSFINtech has achieved remarkable growth, boasting a robust pipeline and exceeding revenue targets year-on-year.

The year 2023 proved pivotal for IBSFINtech as it earned recognition from renowned market research firm IDC as a "Major Player" in the Worldwide SaaS and Cloud-Enabled Enterprise Treasury and Risk Management Applications 2023. Moreover, the company has embarked on global expansion, appointing Atul Punj as the Chief Executive Officer (CEO) for IBSFINtech USA and establishing a presence in the Middle East. Partnering with global entities like LSEG (London Stock Exchange Group), Oracle, and leading banks, IBSFINtech aims to extend its reach and impact in these markets.