The environment in which fintech organisations operate in Australia is one of the key drivers of success. A number of observations can be made around the prevailing dynamics:
Continued evolution... Over the past four years, the environment for fintech start-ups to be incubated, nurtured and flourish has changed markedly. In 2016, only Sydney had dedicated fintech hubs (as opposed to broad technology start-ups). Come forward four years and all east coast capital cities have well established fintech hubs and there are plans for expansion across the continent in the coming 12 months. We continue to hear about the importance of strong support networks beyond the founder, the board (if there is one) and investors. The ability to effectively leverage peer and industry support is imperative.
Importance of co-working... Fintechs continue to highlight the importance of easy access to quality accelerators and incubators. Consistent with last year, two in three (66%) agree that accelerators and incubators play a vital role to the success of the fintech industry. Hubs provide the fintech start-ups with important formal support, but just as invaluable is the ability to connect with others in a less formal environment. Users of hubs describe the workplaces as a source of ideas, experience, insights, expertise, accommodation and support. However, if expectations of the hub participants are not met, they will seek alternatives such as moving to co-working spaces (standalone).
Government support is vital... The impact of State Governments’ supporting continued operation of innovation hubs that are used, not just by fintech but by broader technology start-ups, remains important to foster continued, and also attract international participants, to connect with the upcoming start-ups and as a place for talent incubation.
Working collectively to support cross-industry initiatives... Working together via FinTech Australia, fintechs have had a major impact on Government policy settings over the past four years. Fintech founders value this highly and highlight the importance of this approach to the creation of an 'effective regulatory landscape to support effective fintech services for consumers'.
FinTech Australia membership
Number of employees
Accelerators / Incubators are an important contributor to the success of the fintech industry in Australia
Q27. To what extent do you agree or disagree with the following statement? - Accelerators / Incubators are an important contributor to the success of the Fintech industry in Australia