The rate of insolvency appointments for local fintechs is expected to be up by around a quarter for the whole of 2023 based on the rate of failures to May this year, according to a recent BDO report.
There has been an increase in the number of fintech failures in 2022, with the 2023 run rate of failure suggesting that this trend is set to continue, the Fintech in Australia: Weathering market uncertainty report stated.
Many fintechs in Australia have struggled to demonstrate sustainable business models and generate consistent revenues.
Fintech lenders higher up the risk curve such as credit card lenders, unsecured personal loans, short term business overdrafts and lines of credit and startup business funding are some of the most at risk…
Read the full article at: https://www.accountantsdaily.com.au/business/19016-fintech-lenders-on-collision-course-with-insolvency-bdo