Leumi to invest in financial technology start ups

Bank Leumi and Elevator are launching a joint FinTech Innovation Hub to provide startups with all the tools they need to thrive in the world of financial technology.

Bank Leumi (TASE: LUMI) and Elevator are launching a joint FinTech Innovation Hub to provide startups with the tools they need to thrive in the world of financial technology. The value of the program could reach more than $200,000, in addition to the $ 20,000 that the companies will receive as a direct investment.

The first round of the FinTech program will be launched in late September. The companies selected will be housed for 6 months in the offices of Elevator in Tel Aviv and will be entitled to a broad-based package of business and technological support.

The program is intended for companies that are engaged in banking technology and that focus on improving the customer experience in the areas of payments, investment management, personal financial management, trade, risk management, security, and innovative services and products.

The package the start-ups will receive includes hands-on support by the best technological and business development experts within the Leumi Group and leading experts from Israeli FinTech companies, who will serve as mentors of the companies during the program. Leumi and Elevator will provide the companies with consultation and business development services, including budget planning, preparing a business plan, a link to the best service providers in the industry, Amazon's cloud services and a package of related services such as accounting, public relations, legal support and human resources management.

The program also provides entrepreneurs with design services and workshops dealing with user experience and a month-long Road-Show trip to New York in order to recruit investors, customers and strategic partners.

Leumi will provide companies in the FinTech program with exposure to Leumi's Eco-System and direct access to Leumi’s Beta Site, along with support by technological development experts, while one of the main goals of the program is to enable entrepreneurs and the companies they head to make a significant leap forward - in a short period of time - using a direct link to the Bank’s systems.

At the end of the program, the Bank and Elevator will assist the companies in creating business relations to promote their activities with leading financial institutions in Israel and abroad.

Elevator was established in 2011 by entrepreneurs Tom Bronfeld and Uri Glazer, in collaboration with various bodies including Israeli and US venture capital funds. 85% of the star-tup companies that participated in previous rounds of the program have gained additional funding after the program ended. Leumi deputy CEO Prof. Danny Tsidon said: "Bank Leumi believes in the innovation of Israeli entrepreneurs and aspires to support Israeli technology companies from their creation, during their stages of growth, and until they reach maturity. We are delighted with the collaboration with Elevator and with the possibility of offering the participating companies access to Leumi’s Beta Site and advanced technological infrastructure. I hope that our support to these companies will evolve to the point of further investment and even acquisition by Leumi."

Published by Globes [online], Israel business news - www.globes-online.com - on August 6, 2013

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013

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