A proactive fintech compliance strategy can help clear out obstacles to achieving further growth.
Growth is great, but not when it outpaces compliance.
Whether a fintech is new to the scene or has several years under its belt, business ambition can overshadow protections. Compliance is one such frequently overlooked area.
Fintech compliance might not be seen as a top investment need, especially in the early stages of growth and development. But having weak compliance capabilities can lead to consequences over time, including:
- Delay of new services and ventures
- Penalties and fines
- Increased regulatory scrutiny
- Reputational risks
- Greater difficulty acquiring investments
For the best results, a fintech’s strategy should include anti-money laundering (AML) compliance from square one. Having a plan that can easily anticipate and accommodate future expansion will help prevent setbacks as the organization’s team innovates.
A fintech should consider the following questions when it comes to AML compliance and testing.