SAN FRANCISCO, Calif., August 9, 2016
Fintech Hiring to Remain Strong for Remainder of 2016
Executive Search Firm Arete Partners Predicts a Bright Future for Qualified Candidates Looking to Secure a Career in Fintech
San Francisco, Calif., Arete Partners, a leading provider of executive search services focusing on the technology market, believes that the financial technologies (fintech) market will continue to thrive, with ongoing global investment and increased hiring. Despite global economic uncertainty, the breadth and depth of the ecosystem for financial technologies continues to mature and evolve into new spaces such as insurance technology and alternative lending. Furthermore as companies continue to drive innovative products and new business models, growth opportunities will stretch beyond the fintech ecosystem to enable growth among small and medium-sized businesses with better access to funding and financial management solutions.
“In 2015, there was quite a bit of rumbling that the fintech bubble was getting ready to burst,” said Eoin O’Toole, Co-Founder and Managing Partner of Arete Partners. “However, investment rebounded strong in early 2016, and continues to attract investors both in the U.S. and abroad. Given how pervasive financial services are across the globe, the disruption opportunities are enormous.”
Investment in the fintech sector rallied over the past several months – with mega-rounds lifting quarterly injections into VC-backed firms over 150 percent. According to the Pulse of Fintech report by KPMG Enterprise and KPMG Fintech along with CB Insights, global investment in private fintech companies totaled $5.7 billion in Q1 2016, with $4.9 billion specifically invested in VC-backed fintech companies across 218 deals, a 96 percent jump compared with the same quarter a year ago. A recent report from Accenture also confirmed fintech investment in Asia-Pacific more than quadrupled in 2015 to $4.3 billion, making it the second biggest region after North America.
Catalyst of Growth for Small Business
According to the U.S. Department of the Treasury, access to credit is the lifeblood of business and economic growth, and American small businesses have been responsible for creating two out of every three net new jobs over the last two decades. Yet small- to medium-sized businesses are often challenged in dealing with their finances and securing funding, particularly because of the high complexity and low scale. Even with government guarantees, direct government lending and grants, there remains a substantial funding gap.
According to the Future of FinTech report by the World Economic Forum, “because fintech solutions are efficient and effective at lower scale, small businesses will be one of the main beneficiaries of fintech’s disruptive power.”
O’Toole adds, “The fintech revolution holds the potential to be a game-changer for small business finance by offering new business models, along with better and quicker access to funding. As a result, more small businesses can have the capital to grow and invest to create economic growth and employment.”
Furthermore, traditional banks will need to continue to adapt to the competition by introducing their own products to make it easier for SMBs to access and manage money.
FinTech Hiring Trends
“As early stage fintech companies secure venture investments, they will need to turn their attention to getting the right human capital assets,” said O’Toole. “While there isn’t a perfect profile for the ideal candidate, we are seeing an increased demand for candidates with a solid knowledge of finance along with experience in the tech landscape. Financial experience is essential because of the complexity of economic markets and financial regulations. However if someone has been working for a large financial institution for a long time, they may have a difficult time adjusting to the fast-paced environment of a tech start up. So, there is an increasing demand for ‘hybrid’ candidates that have been on both sides of the desk.”
Arete Partners expects to see more demand for critical individual contributor roles such as product management, business development, engineering and marketing across a wide range of fintech sectors.
The company has successfully completed several high profile placements for BlueVine, including the recent addition of Ana Sirbu as BlueVine’s Vice President of Strategy and Finance. Sirbu oversees all financial management and growth strategy, including debt financing as the company continues to scale. A growth tech investor, Sirbu joined BlueVine from Google Capital, Google’s growth equity investment fund, where she served as a manager and led the team’s efforts in the fintech sector. Prior to Google Capital, Sirbu held high profile positions at Skrill, Silver Lake Partners and UBS.
About Arete Partners
Based in San Francisco, Arete Partners specializes in executive search services for senior director, director, manager and other high impact individual contributor positions in the technology industry. The company provides responsive, personalized service across the entire placement lifecycle – from creating job descriptions to identifying, attracting and placing the most qualified candidates. Working with a broad range of innovators in various funding stages, Arete Partners is particularly experienced with companies reaching an inflection point in growth that need to fill critical leadership roles, whether that leadership is technical or line of business. Since its inception in late 2014, Arete Partners has completed over 70 successful placements nationwide that enable its clients to succeed now and into tomorrow. For more information, call (888) 342-3058 or visit www.aretepartners.com.
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Eóin O’ Toole
Donna St. Jean Conti, APR
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