Do you know how to prevent critical disruptions from ruining your business? Do you feel like you are overspending on your BaaS and are still unable to adapt to the ongoing changes in fintech fast enough? 
 
A BaaS vendor can easily become your kryptonite.

To be able to head off from operational disruptions and reach ultimate banking resilience you have to understand your single point of failure. Any major unplanned disruptions such as onboarding new customers or payment cards not working take a long time to recover from if you don’t know what to look for.

Don’t worry, we’ve got you.

Decades of experience building innovative products for our clients helped us understand the challenges BaaS brings to your business. Our experts prepared an easy to answer checklist that is going to help you understand: 

How resilient is your business when it comes to your BaaS vendor?
What are the most common disruptions caused by a single vendor?
How to elevate your business to reach the ultimate banking resilience?

On the following pages you will find a Vendor Dependency Checklist to better understand your current situation. This checklist is not going to solve your problems or give you immediate advice – it’s here to understand the importance of a single BaaS vendor in relation to your banking resilience. 

Vendor Lock-in:

• Is your BaaS vendor’s technology deeply integrated in your infrastructure?
• Do you consider it difficult to switch to an alternative solution?
• Do you have contingency plans or exit strategies in place if there’s a problem with your current vendor?

Security and Compliance:

• Is your BaaS vendor handling data privacy and security?
• Does your BaaS vendor meet the industry’s regulatory requirements?
• Is your BaaS vendor transparent about their security practices and policies they carry out?

Cost Management:

• Are you getting the best value for money in the vendor’s products or services?
• Is the pricing comparable to any alternative solutions on the market?
• Are there any hidden costs or fees associated with using this vendor?

Vendor Stability and Reputation:

• Does your vendor clearly communicate its financial health and market presence?
• Are there any risks associated with the BaaS vendor, such as bankruptcy or negative industry reputation?
• Have there been any recent changes in the vendor’s leadership or business model that could affect our relationship?

Scalability and Flexibility:

• Is the BaaS vendor’s technology allowing your business to scale up?
• Does your vendor show clear signs of adaptability to ongoing changes in the fintech landscape?
• Do you see any limitations or constraints when customizing the vendor’s solutions to fit your business requirements?

Innovation and Roadmap:

• Does the vendor invest in research and development to stay ahead of the competition?
• Is your BaaS vendor able to align their product roadmaps to your strategic goals and vision?
• Are you satisfied with the pace and quality of the product updates and enhancements the BaaS vendor is providing?

Support and Customer Service:

• Do you consider the BaaS vendor’s customer support as responsive and effective?
• Are you aware of any communication or cultural barriers that could impact your relationship with the vendor?
• Do you have access to adequate resources and training materials to ensure successful implementation and adoption of the vendor’s solutions?

Vendor Ecosystem:

• Does the vendor have strong partnerships with other companies in the fintech space that could benefit your organization?
• Are there any potential conflicts of interest or competitive risks due to the vendor’s relationships with other clients or partners?
• Is your vendor connected to the broader fintech community through any open-source projects or industry initiatives?

Risk Mitigation:

• Do you see any potential risks associated with your current dependency on a single BaaS vendor?
• Do you think these risks could be mitigated through diversification, backup plans, or additional partnerships?
• Have you already thoroughly assessed alternative vendors or solutions for our organization?

Continuous Evaluation:

• Do you have a performance evaluation system in place with your vendor?
• Are you tracking relevant key performance indicators (KPIs) to measure the success and effectiveness of your BaaS vendor?
• Have you established clear expectations and goals with the vendor to ensure a mutually beneficial and successful collaboration?

Did these questions raise some red flags for the health of your business? Learn about our four step approach to improve your banking resilience immediately.

How can you elevate your business with the right solution?

A decade of implementing and integrating various solutions helped us to understand what even the most powerful fintechs might be not knowing right now – a quality and thorough health check of their infrastructure, architecture and vendors can do miracles. 

Our top priority has always been to help our clients worldwide make good decisions for their business. We’re happy to be supporting our clients like Cledara, who know how important it is to check their BaaS vendors carefully. They recognized that depending on just one vendor can hurt their business long term and we’re proud to stand by them.

Roman Krška

Sales Director CEE

Reach out

Our unique four step approach is developed to help your business to either overcome or prevent any unforeseeable situations connected to your BaaS vendor. So how does it work?