FinTech has not remained a buzzword anymore. Companies invest in Financial Software Development to earn revenues and simplify their operations.   

Not only startups but enterprises also leverage smart AI-based custom finance solutions for managing online investments, company expenses, budgets, and performing Financial analysis. But how can you leverage the trend of FinTech to generate revenues?  

In other words, how to begin Financial Software development tailored to your needs? Well, you are not alone in asking this!  

Whether budding startups or large enterprises, every company seeks answers to questions like:  

• What trends to follow?
• What compliances to follow?
• What should the features be?

Moreover, companies having an existing custom finance solution look for better platforms, next-gen technologies, and migrations to meet modern-day requirements.  

Do you also seek answers to the same questions? Don’t worry; you have landed in the right place! This guide will explore everything you need to know about financial software development.  

We’ll cover how you can create custom finance solutions using next-gen technologies. You will get an idea of the challenges of financial software development.  

So, buckle up and join us for an in-depth exploration!

Why Is Investing in Financial Software Development a Profitable Move?

Finance has always been a crucial part of the global market. But with the digitization in the financial sector, the industry has expanded exponentially. According to a trusted source, the global financial software market will surpass $282.71 billion by 2031.  

The market will grow at a Compound Annual Growth Rate (CAGR) of 9.2% from 2022-2031. And why not?  

Today, individuals and enterprises seek custom finance solutions to simplify and innovate their complex operations. Banking, online payment, and investment apps have become the new normal.  

In fact, North America holds the largest market size, followed by Europe and Asia Pacific. Millennials and Gen Z are open to new financial trends to enjoy automated services.  

Enterprises also seek AI-driven finance solutions to automate tasks and get smart insights. That helps them generate new revenue models, enhance CX, and win the competition curve.  

Hence, investing in financial software development is indeed a profitable move! 

Benefits of Financial Software Development

Do you still need some solid reasons to make up your mind? Here’s how custom finance solutions equipped with AI and ML can be a game-changer for your business: 

Automate Time-Consuming Tasks

Managing finances can be daunting whether you’re an individual or a business owner. But AI-driven financial software development can automate many of these tasks. You can automate transaction recording, accounts reconciling, and report generation. This automation saves you valuable time and reduces the risk of errors.  

Access to Real-Time Data

An advantage of next-gen financial software development is real-time access to financial data. You can use AI modules to detect trends, anomalies, and KPIs and make a data-backed decision.  

You can track your expenses and investments and adjust with a custom finance solution. Moreover, real-time data also enables you to identify any financial discrepancies.  

Improved Accuracy and Compliance

Compliance and accuracy are the two biggest terms in the finance industry. But managing them manually is a tedious task even for large enterprises. But not anymore when you have AI financial software!  

Financial software development equipped with AI greatly improves the accuracy of financial reporting. It does so by eliminating human errors and ensuring regulatory compliance. It’s particularly important for businesses seeking to avoid financial penalties.  

Additionally, custom financial software also helps you stay on top of tax deadlines.  

Enhanced Security

Today, cybersecurity threats have become a significant concern. There is a lot of data exposed to online thefts and frauds. However, fraud detection and data analytics services can help mitigate those concerns.  

AI-based financial software provides multi-factor authentication, encryption, and regular backups.  

Moreover, AI modules quickly detect unusual financial activities and suspicious transactions. That protects your financial data from cyber threats resulting in better privacy.  

Scalability

Finally, scalability is one of the excellent benefits of financial software development. You can easily scale custom financial software as your financial needs grow.  

That means your financial management tool can adapt to your changing needs easily. This scalability is highly beneficial for finance as it handles a high volume of transactions, customers, and data.  

Which Companies Have Benefitted from Financial Software Development Services?

FinTech has become a global trend for companies of all sizes. Accounting firms, banks, insurance agencies, investment firms, and payment processors use financial software development services to optimize their operations.  

Many startups have also leveraged these services to launch innovative financial solutions. Here are some businesses that have benefitted from financial software development.  

ZoomChecks

ZoomChecks is a cutting-edge internet-based finance application. It is geared towards individuals and organizations desiring personalized checks for payment distribution.  

The platform leveraged advanced web development technologies to offer its customers customization possibilities. You can select the check’s design, add a logo, and specify the recipient, amount, etc.  

The primary target audience of ZoomChecks is SMEs and self-employed/accounting professionals searching for a user-friendly interface to generate checks.  

Finaciti

Finaciti is an innovative financial planning app that simplifies money management. It is part of the My Life Legacy initiative, aimed at helping people achieve their economic aspirations.  

The finance app prioritizes goal setting, which is essential to achieve financial success. The company used a wide array of technologies, including Swift, Java, Laravel, etc., to offer such unique services.  

Moreover, the quizzes on the app aid users in mapping out strategies aligned with their financial goals.  

Swyft Books

Bookkeeping is an indispensable practice for any business. But it can be daunting and time-consuming if done manually. Fortunately, Swyft Books provides a comprehensive solution to streamline the process.  

The platform helps small businesses to manage their books effectively. Additionally, the simple web app facilitates effective collaboration between companies and accountants.  

The brand hired dedicated developers for financial software development to offer such services.  

With Swyft Books, users can outsource their accounts and data without worrying about accuracy or reliability. The professional team manages accounts for every business through their intuitive web app.  

Accu-Image

Accu-Image offers businesses a financial tool to create, send, and accept/reject invoices. It focuses on giving enterprises visibility for payables and better cash flow management. 

Furthermore, its seamless integration with various services makes the experience even more streamlined. The custom financial application leveraged software development services to offer such robust services.  

The users can manage and approve invoices even while away from their systems. Pending invoices are grouped under a section. Emailing copies is possible once invoices are approved.  

Optol

Optol is a leading financial literacy app that provides comprehensive education on finances.  

The custom finance app lets users earn redeemable points for achieving financial literacy. Optol is accessible on both popular mobile operating systems and is subscription-based.  

It used various advanced app development services and FinTech trends to launch the app.  

Focusing on personal finance concepts. The app also boasts an integrated payment gateway. Admins can track subscription payments and approve profiles based on payment status.

What are the Top Trends to Follow for Financial Software Development?

We live in a competitive market where things change rapidly. What once was a concept has become a reality, all thanks to innovative digital transformation.  

So, if you want custom finance software resonating with modern-day business requirements, keeping up with the ongoing trends is crucial!  

But what are those trends? Let’s explore them here in our blog post!  

Cloud-based Finance Software

Cloud integration services, or SaaS, are quickly gaining momentum in the finance industry. Since finance deals with a vast volume of data, transactions, and people, managing such a huge system is impossible with the traditional approach.  

Moreover, using AI modules requires faster computing capabilities, which are also impossible with local servers. That’s where cloud integration services come into play!  

You can easily shift your data to a remote server with cloud integration and migration services. That helps you reap the benefits of faster computing and next-gen tech and saves your data from natural disasters and thefts.  

Embedded Finance

Embedded finance refers to integrating financial services into websites or mobile apps. That allows you to access financial services without leaving the platform.  

For instance, you can easily access your banking app or make payments while accessing an eCommerce app. That’s the perfect example of embedded finance. 

Artificial Intelligence (AI) in Finance

AI in finance has today become an essential trend for running successful businesses. Companies, irrespective of their sizes, are investing in AI financial software development to gain multiple benefits.  

Some benefits of AI in finance include fraud detection, risk management, compliance management, data analysis, automated bookkeeping, and personal finance management. Besides that, you can also enjoy perks like personalized investment advice, human-independent customer support operations, and automated claims management with AI financial software development.  

Hence, all in all, AI in finance is the future of FinTech. Sooner or later, companies will have to adopt this FinTech trend to resonate with customer demands.  

So, why not do that today and leverage the first-mover advantage? Talk to our experts and discover how AI in finance can resolve your specific business concerns innovatively! 

Read More: Top Benefits of AI in Finance 

IoT in Finance

Internet of Things (IoT) technology is another major trend in FinTech. It allows the connection and exchange of data between smart devices. With IoT, you can gather and analyze data in real-time and make better-informed financial decisions. 

IoT-based finance solutions also monitor devices and infrastructure, detect anomalies, and alert you about potential problems. This is particularly useful in banking to help prevent fraud, as well as in insurance to help assess and price risk.  

You can even monitor ATMs, kiosks, and POS devices by using this robust trend. All that makes managing and repairing these machines easier and ensures a longer lifetime.  

Moreover, IoT also allows for more personalized customer experiences, such as offering customized investment advice based on real-time financial data. All in all, IoT is proving to be a game-changer for the financial industry. Hence, you must leverage this trend for financial software development.  

Big Data and Analytics

Big data and analytics have revolutionized the finance industry in recent years. With the increasing amount of data available, businesses can now harness advanced analytics to make better-informed financial decisions. You can also leverage this trend for financial software development!  

With big data and analytics, you can analyze consumer behavior, market trends, and historical financial data of your organization. All that helps you identify unique opportunities and potential risks.  

In addition, you can also use big data and analytics to streamline internal financial operations, reducing costs and improving efficiency. It is becoming imperative for businesses to leverage big data and analytics, as those that fail to do so risk falling behind the competition. 

Mobile Finance Software

With the advancement in digital transformation services, the trend of mobile finance solutions is rising. It allows users to access financial information and complete transactions from their smartphones. The trend provides convenience and speed, as users can manage their finances on the go.  

Expansion of Open Banking

Open banking is yet another powerful trend for your financial software development. It involves sharing financial data between different third-party service providers. Your customers can easily access and control their financial data using this trend. That helps them to make better financial decisions.  

Rise of RegTech to Combat Financial Fraud

Regulatory technology, or “RegTech,” fights money laundering and terrorist financing. RegTech tools help financial institutions identify risks and suspicious activities. That enables them to follow regulations more easily and efficiently.

So, all in all, we can say that FinTech is rapidly evolving. Hence, staying abreast of the latest trends is crucial for financial software development.  

That’s why you must partner with an experienced company that can help you explore and choose the best FinTech trend for your financial software development.  

These trends can potentially revolutionize your business and drive next-generation financial innovation.

What are the Best Features that You Must Incorporate in Your Finance Solution?

Features play a crucial role in defining the scope of your custom financial solution. If you incorporate business-focused features, then its probability of success increases exponentially.  

However, identifying advanced features that make you a distinguished brand is tedious. But not for experts!  

Here are the must-have features we suggest for financial software development!  

Chatbot

In today’s digitally advanced era, there hardly be any industry that does not use chatbots, and finance is no exception. Chatbot development can be highly beneficial in transforming your customer services, automating your tedious processes, and assisting you through your business operations.  

Additionally, custom chatbots can provide financial advice, answer queries, and guides users through complex transactions. NLP and conversational AI services further enhance your chatbot’s performance. 

NLP-driven chatbots can simulate human-like conversations in multiple languages. They can interact with users in a chat-style interface, making them a valuable financial asset.  

Online Payment Gateway Integration

The most common yet essential feature of a finance app is online payments. This feature has become a convenient and secure way to carry out transactions from multiple sources. 

You can easily track payment history, reconcile payments, and conduct transactions. Online payment functionality also streamlines payment processing, reduces errors, and ensures quicker payments from anyone at any time.  

Automated Accounting

Automated accounting simplifies invoice generation, expense tracking, and financial reporting using advanced machine learning algorithms and deep learning networks.  

With this feature, you can enjoy increased accuracy and efficiency, even without dedicated staff. That means no more hiring and less operational cost.  

Automated accounting also frees up your valuable time previously spent on manual data entry. You can identify trends and point out areas for improvement.  

It’s no wonder that automated accounting is gaining traction as a must-have tool for modern finance solutions. 

Predictive Analytics

The predictive analytics feature is a modern functionality used in financial software development. It analyzes financial data through statistical models and identifies patterns and trends.  

This feature lets you make proactive financial forecasting, manage risks, and make data-backed decisions. You can also gain insights into potential growth opportunities and optimize financial performance. 

Additionally, identifying potential risks that could hamper your business operations early on is also possible with predictive analytics. 

Investment Advice

With AI-driven financial solutions, you can get smart investment advices for your business. The smart algorithms of AI solutions can learn about your data and past trends and offer you personalized investment advice on debt reduction, expense management, and tax planning. This feature is quite useful when you plan to launch enterprise-grade custom finance solutions or personal finance apps.  

Data Tracking and Analysis

Data plays an important role in defining the scope of financial software development. Your software has no value if it does not analyze data and offers unique financial insights.  

Hence, the data tracking and analysis feature lets you monitor your financial performance in real time. You can optimize the decision-making and resource allocation and track the cash flow. 

Using this feature, you can also identify areas for improvement and minimize risks.  

Cloud-based Storage and Accessibility

Cloud-based storage enables you to store and access data from anywhere with an internet connection. It provides flexibility and convenience, making collaborating with others and working remotely easy. 

You can mitigate thefts and damage arising from natural disasters. This feature also improves security and data backup, as data is stored off-site and can be easily restored.  

Budgeting and Forecasting

The budgeting and forecasting feature is useful for individuals and businesses. It allows you to plan, manage, and monitor your finances.  

AI modules can create budgets, forecast cash flow, and track the results against goals. That helps you stay on top of your finances and avoid future cash flow issues.  

You can even set up alerts and notifications for your end-users to help them stay on track.  

Biometric Authentication

Biometric trend enhances security and prevents fraudulent transactions. Users can only manage their accounts once the system verifies them using their eye retina, fingerprints, or other bio-authentication methods.  

The biometric authentication feature is especially useful in contactless payments, mobile banking, and online transactions. You can leverage various biometric authentication methods, including facial recognition, fingerprint scanning, and iris recognition. 

Fraud Detection

Fraud detection, offered by AI-based financial software, safeguards you from fraud and theft.  

Leveraging advanced ML algorithms, the feature analyzes transactional behavior and identifies suspicious transactions. All that minimizes the risk of financial loss or identity theft.  

AI-based finance software also includes activity logging and monitoring capabilities. It protects your data and finances against unauthorized access and suspicious activity. With these powerful tools, you can secure your finances and sensitive information.

How to Get Started with Financial Software Development – A Step-by-step Guide  

So, we are at the most awaited section of our blog post – the process for financial software development. By now, you might have ideas about your custom finance solution’s features, technologies, and trends.  

You may also clearly understand how AI financial software development can be super beneficial for you.  

But how can you turn those ideas and concepts into a reality? Well, the process is quite complicated! 

Well, financial software development can be an intimidating task. It requires you to have an in-depth knowledge of various software development methodologies and tools. You also need to know the latest trends happening in the finance market. 

But you can easily simplify all those tasks via outsourcing. You can hire experienced professionals having expertise in next-gen technology to create your custom finance solution. Now, whether you go with freelancers or hire an experienced development company, here are a few critical steps that you must follow for streamlined product development! 

Don’t want to explore the whole content? Don’t worry; we have got you covered! Click here to begin financial software development with our free 30-minute expert consultation! 

Understand and Analyze Your Business Requirements

The very first step in financial software development is requirement analysis. Before proceeding with custom software development, you must analyze your main business concerns.  

For instance, in the case of financial software development, you can focus on questions like:  

• What areas of finance do you need to optimize?  
• What are the major business concerns in the finance department?  
• How can AI financial software development resolve those issues?  
• Do you need to migrate to the cloud for better security and transparency?  
• What resources do you need for financial software development?
• When you answer questions like these, you get a clear idea of what to do and how to proceed. But that’s not all!  

Besides requirement analysis, you must also explore various trends happening in the financial software development market. Additionally, you must also analyze your competitor’s strategies they use for innovating their financial operations!  

Of course, that is a tedious process. But not if you opt for expert consulting, which is our second step!  

Always opt for Expert Consulting

Once you have analyzed your business concerns, expert consulting is the next step for financial software development. Now, many of you might think, what is the need for that? Well, here’s your answer!  

Expert consulting helps you connect with talented professionals in the financial software development market for a long time. Even if you know about the basic trends and terminologies, those experts will know much better than you. And why is that so? 

That’s because they work with multiple businesses worldwide and understand their business processes. All that helps them better understand various trends, strategies, and compliances that make a top-notch financial product!  

Hence, always opt for expert consulting when planning for financial software development. You can easily book a free 30-minute consultation with our experts by filling out our form.  

Choose the Best Features, Technologies, and Designs

Features, technologies, and design are crucial in the custom enterprise software development market, and financial software development is no exception. You must have innovative and advanced features that resolve your concerns and even resonate with modern business requirements.  

So, as a leading financial software development company, we have already listed the top features in the section above that you must incorporate in your custom solution!  

Now similar to features, technologies also play a crucial role in defining the success of your custom finance solution. You need to implement the latest yet reliable technologies that will help you in the long term.  

However, the tech-stack will differ based on your choice of features. So, to offer you a wider picture, here we have listed the top technologies and APIs used for financial software development: 

• Programming Languages – Java, C++, Python, Node.js 
• Databases – Oracle, MySQL, and SQL Server 
• Application Server – JBoss and WebSphere 
• Frameworks – Spring, Hibernate, and Struts 
• APIs – Payment Gateway API, Trading APIs, Financial Data APIs, and Blockchain APIs 
• Data Visualization Tools and Libraries – Tableau, D3.js, and Plotly 
• Cloud – AWS, Microsoft Azure, Google Cloud Platform

Apart from that, many AI technologies are also used in creating smart finance solutions. To name a few, we have TensorFlow, Keras, PyTorch, IBM Watson, Natural Language Understanding (NLU), Google Cloud AutoML, and Amazon SageMaker. 

Engaging design is also paramount for your project’s success. What is the use of features when your users cannot access them? That’s where a good UI/UX expert comes into play!  

A professional UI/UX expert carefully learns about your project and business values and offers you an intuitive design for your project. You get easily navigable software with engaging UI components. All that increases the user experience.  

Hence, whether you are an individual or an enterprise, you must hire the best UI/UX experts for financial software development.  

You will not have to search for a professional UI/UX expert if you partner with a reputable software development company! Well, at least with Matellio.  

Read More: Top 7 Tips to Hire the Best UI/UX Designer