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At the same time, digital financial innovator alternatives are

rapidly emerging as a viable solution for these growing

businesses. Online service providers interested in meeting

the needs of frustrated small business owners are providing

everything from services involving payments, inventory, and

cash-flow management to loans, payroll, and invoicing.

According to Yodlee® research, small businesses are

continuing to look outside their banks for more advanced

financial management tools. However, business owners also

indicated that they would respond positively if their banks

made an effort to provide solutions that were better

aligned with their actual business needs. A strong majority,

four out of five, say they would view their bank more

positively as a result.3

Banks are realizing that the small business sector represents

significant growth opportunity, and that traditional approaches

to small business banking are falling short. If they can renew

their commitment to small business banking and begin

offering products and services that address the real challenges

small business owners face, banks can have the opportunity

to increase customer acquisition, strengthen loyalty, and

boost revenue.

The Opportunity Small business represents a lucrative customer segment—

one that shouldn’t be ignored. On average, small businesses

hold deposits four times greater—and loan balances 15 times

greater—than retail banking customers. The profit margins

on small business customers are also typically greater than

those on larger corporate banking customers. Small business

customers also carry higher personal account balances than

the average retail consumer.4

As such, many banks and financial app providers are now

working hard to prove to small business owners that they

understand their needs and want to serve them. Yet, most

need help delivering a dynamic and personalized online

financial experience that makes sense.

For talented developers, the time is right for new solutions

to meet these needs. Developers can help small business

owners by creating tools that support daily tasks, such as

managing cash flow, generating invoices, payroll services,

or simply managing the day to day finances of the business.

For example, small business owners who are struggling

with accounting programs that are either too simple or too

complex often rely on outdated spreadsheets, word processing

programs, or personal financial software such as Intuit’s

Quicken. Less than one in four small businesses use business-

grade tools, and those that do struggle with complexity—

many simply don’t need a solution with all the bells and

whistles of QuickBooks.

Imagine a one-stop shop for small business that allows them

to meet their financial or book-keeping needs and get back

to work quickly. It should include basic financial management

tools that would aggregate their accounts, categorize

Opportunity Abounds for Small Business FinApp Developers

The SituationAccording to a number of recent surveys, small businesses are sorely underserved by their banks.1 In fact, small business customer satisfaction is one of the lowest-scoring financial services tracked. Only mortgage servicing is lower.2

There appears to be a gap between the financial products and services provided by banks and other third party service providers and the needs of small business owners. In fact, many business owners are just not that impressed by their bank’s offerings, viewing them as basically irrelevant to managing and growing their business.

1 http://www.athpower.com/home/smallbusinessbanking.php2 JD Power and Associates 2012 U.S. Small Business Banking Satisfaction Study 3 http://www.athpower.com/home/smallbusinessbanking.php4 JD Power and Associates 2012 U.S. Small Business Banking Satisfaction Study

About Yodlee InteractiveBuilt on the foundation of Yodlee’s 15 years of aggregated consumer financial data, YI empowers visionary entrepreneurs, partners, and developers to build the next generation of disruptive and innovative FinDat (financial data) solutions using the award-winning Yodlee platform.

Through our APIs, we help you bring innovative FinApps (financial applications) to market more quickly using the richest consumer transactional data in the world. You can distribute via your own destination or through our Active Commerce Exchange (ACE). Simply put, we supply the fuel, you create extremely cool digital experiences. Whether you distribute independently or through ACE, inside or outside the banking channel, Yodlee Interactive enables you to become the digital architects of the world’s most powerful, personal, and predictive financial services.

About YodleeYodlee is a leading technology and applications platform powering dynamic, cloud-based innovation for digital financial services. More than 750 companies, including 9 of the 15 largest U.S. banks and hundreds of Internet services companies, in 16 countries, subscribe to the Yodlee platform to power personalized financial apps and services for millions of consumers. Yodlee solutions help transform the speed and delivery of financial innovation, improve digital customer experiences, and deepen customer engagement.

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transactions, and monitor cash flow; specialized small

business applications such as invoicing, payroll, and expense

management; lending; and customized small business

bundles that could be offered through online banking and

mobile channels.

According to the Ath Power study, small businesses would

be receptive to these kinds of bundled services. In fact,

a majority of small business owners see their bank as the

obvious choice for such services, and more than one in four

would consider switching to a bank that offered them.

The most successful of the rapidly emerging financial

technology (fintech) companies are able to disrupt existing

markets and achieve explosive growth by inventing new and

innovative ways of performing these critical small business

financial tasks. To disrupt a market effectively, solutions need

to quickly reach a critical mass of customers – to demonstrate

viability to your investors, create a network effect to become

the market leader, and build crucial revenue streams.

That’s why companies like yours are partnering with Yodlee

Interactive (YI). YI’s experience and simple-to-deploy set

of comprehensive APIs provide real-time account and

transactional data from over 12,500 data sources. It reduces

both time to market and your customers’ time to transaction,

giving you the best opportunity to build the critical mass

of customers you need to succeed.

How Yodlee Can Help Yodlee, headquartered in Redwood City, CA, provides the

industry’s leading data aggregation technology, including

permission-based access to users’ financial accounts, such

as banks, cards, investments, loans, bills, and rewards.

Yodlee Interactive welcomes strategic developer partners

who wish to build innovative fintech solutions without having

to reinvent a costly infrastructure. By leveraging Yodlee’s

technology and banking relationships, developers can

introduce wealth management services that go beyond

aggregation to analysis, advice, guidance, and planning.

Examples of Yodlee’s customers who utilize the platform

include Credit Karma, LearnVest, and Venmo.

Contact us now to learn how you can gain access to the

valuable resources and documentation you need to start

developing cutting edge fintech solutions today.

Opportunity Abounds for Small Business FinApp Developers