If you’re familiar with the phrase “better together,” it’s likely because of the iconic partnership between John Lennon and Paul McCartney.
While they might have dominated the music scene, their collaboration also transformed how we view partnerships – and, much like the Beatles’ legendary duo, Railsr and Equals Money are hoping to leave a similar mark on the world of embedded finance.
On April 29, Railsr merged with Equals Money to form a new financial services platform. Just as Lennon and McCartney combined their talents to create a revolution in music, the two fintech firms are merging their expertise to rewrite the rulebook for financial services.
At the heart of the merger is the companies’ desire to ‘unlock more value for its customers’, according to a statement..
With Railsr’s embedded finance platform and Equals Money’s knowledge of international payments, currency accounts, and corporate expense management, the two companies are poised to create a powerhouse that promises to change how businesses manage money on a global scale.
While more info on the partnership is yet to be announced in the coming months, the companies stated the merger will not immediately affect any existing products. Railsr said: “[Customers] can continue using Railsr as you always have.”
Moving forward, the two firms will begin to integrate products and introduce new features which aim to simplify global financial services. Railsr has highlighted potential capabilities for customers, such as new embedded finance solutions, business spending tools and flexible payment options.
Ian Strafford-Taylor, CEO of Equals Money and co-CEO of the new entity, said: “Today marks an exciting milestone in our journey. By joining forces with Railsr, we are enhancing our ability to deliver flexible, scalable financial services that empower businesses of all sizes. Our customers will benefit from expanded capabilities, a stronger global presence, and a commitment to continuous innovation.”
Shifting the SME business model
This announcement aligns with a change in how small and medium-sized enterprises (SMEs) are working with financial institutions. Embedded finance is becoming essential for businesses, allowing these companies to streamline operations.
Before embedded finance emerged, SMEs had to piece together different parts of their operations, such as banking, international payments and expense management. However, solutions created by the likes of Railsr are making this job easier and cheaper.
The merger positions Railsr and Equals Money as emerging leaders in the fast-growing embedded finance sector, which is expected to generate $51bn in revenue by 2026, according to Bain & Company.
Philippe Morel, CEO of Railsr and co-CEO of the new entity, commented: “This transaction will create an embedded finance leader with a strong balance sheet and real critical mass, positioning us to provide enhanced products and services to our customers while promoting financial stability and compliance in an otherwise fragmented sector.”
