Processing Center Launch
A strategic investment opportunity in fintech innovation, scalability, and market disruption.
This presentation outlines our plan to open and scale a modern financial processing center — a cutting-edge platform with significant growth potential and strong market positioning.
Executive Summary
Project Overview
Launch of a modern financial processing center to address market inefficiencies, expand transaction capacity, and capture significant market share from incumbents like AzeriCard.
Problem
The market is dominated by AzeriCard — inefficient and costly for clients. Existing alternatives lack capacity and innovation, leaving banks without a real choice.
Solution
Opening a new processing center that provides innovative, cost-effective processing solutions.
Market Opportunity
Significant growth potential with a plan to expand internationally.
Financial Summary: Expected revenue growth from $2.65 million in Year 1 to over $10 million by Year 3.
Problem Statement and Opportunity
Problem
- Insufficient Capacity: existing alternative processing centers cannot serve more banks due to limited capacity
- Stagnation: alternative providers have not evolved for years and are losing market relevance.
- High-Cost Monopoly: Therefore, current market is dominated by AzeriCard, which is inefficient and costly for clients.
- Forced Usage: at least 11 banks we know are locked into AzeriCard for lack of a viable alternative.
Our Approach
- A newly launched processing center with the necessary licenses, modern infrastructure, and capacity headroom from day one.
Significance
- Cost Efficiency: our operating model targets transaction costs far below the global market average, making the center highly competitive and profitable.
- Strategic Advantage: operating our own licensed processing center removes dependency on third parties and accelerates go-to-market.
- Service Enhancement: Enhancing current services and developing additional offerings will increase market share.
- Immediate Opportunity: capture the 11 banks currently locked into AzeriCard by launching with a capacity of 1,000 transactions per second.
Solution: A Modern Processing Center
Modern Infrastructure
Build a state-of-the-art technical base on proven processing software (Compass Plus).
Innovative Solutions
Implement mobile antifraud, Face ID payments, and more
Increased Capacity
Scale to 2,000 transactions per second for future expansion.
Services Provided
Utilizing Full Potential:
We will leverage this processing center to its full potential by implementing valuable products, generating additional revenue, and exploring various growth strategies.
Processing Solutions
Comprehensive transaction processing services ensuring secure and efficient handling of financial transactions.
Card Personalization
Customization services for payment cards, including design and data encoding.
Cybersecurity
Advanced security measures to protect data and transactions from cyber threats.
Leasing Solutions
POS terminal, Vending, ATM, and Deposit Machine Rental
Electronic Wallets
Digital wallet services for secure and convenient online and mobile payments.
Cloud Services
Cloud-based solutions for scalable and flexible financial processing.
And others
Implementation Plan
Step 1: Setup
Incorporate the company, obtain licenses and card-scheme certifications
Step 2: Architecture
Design the platform and select technology vendors
Step 3: Build
Deploy the processing infrastructure and go live
Step 4: Onboarding
Onboard banks currently locked into AzeriCard
Step 5: Expansion
Expand to international markets leveraging increased capacity
Project Timeline
Phase 1
6 months
Company setup, licensing, and infrastructure build-out.
Phase 2
12 months
Client onboarding and capacity ramp-up.
Phase 3
24 months
International expansion.
Months:
Setup
Company registration, licensing, and platform deployment
Upgrade
Infrastructure build-out.
1000 transactions / second
Client engagement
Onboarding banks from AzeriCard
Expansion
Increase capacity and begin international expansion.
2000 transactions / second - global market potential
Funding Requirements
Funding Timeline
- Initial investment required upfront for setup and licensing
- Subsequent funds allocated for phased development and expansion
Financial Projections
Revenue Projections
- Year 1: $2,655,000
- Year 2: $6,813,000
- Year 3: $10+ million (due to international market expansion)
Operational Costs
Approximately $1 million annually with proportional growth.
Profitability
- Significant growth in revenue post-first year
- Breakeven expected within the first year of full operation
Revenue Projection
Marketing and Sales Strategy
Local Focus
Win existing AzeriCard clients over to our platform
Enhanced Capacity
Leverage increased transaction capabilities
Global Expansion
Attract new international clients
Go-to-Market Strategy
- Phased Approach: Start with the local market, onboarding existing clients away from AzeriCard.
- International Expansion: Leverage increased transaction capacity for global outreach.
Customer Acquisition and Retention
- Existing Relationships: Utilize established connections with the 11 banks ready to switch.
- Superior Service: Offer competitive pricing and innovative solutions to attract and retain clients.
Marketing Channels and Tactics
- Strategic Partnerships: Collaborate with fintech companies and financial institutions.
- Our network already includes partnerships with institutions that will enhance our global go-to-market strategy.
- Direct Sales: Engage with potential clients through personalized sales efforts.
- Digital Marketing: Use online platforms to reach potential clients.
Competitive Analysis
Key Competitors
- AzeriCard: Dominant player in the market with higher transaction costs.
- Other Local Processing Centers: Compete on pricing and service offerings.
Competitive Advantages
- Technological Superiority: Higher transaction capacity and innovative features. 1.
- Transparent Pricing: Lower costs and clear fee structures. 2.
- Enhanced Security: Advanced cybersecurity measures. 3.
SWOT Analysis
- Strengths: Technological edge, strong customer demand.
- Weaknesses: Changes in financial regulations.
- Opportunities: Market expansion, attracting competitors' clients, low investment amount comparing to USA fintech solutions.
- Threats: Market competition, regulatory changes.
Competitive Comparison Table
Market Players
AzeriCard
- ABB
- PAŞA
- Bank (Частично)
- XalqBank
- Premium Bank
- Bank Respublika
- Ziraat Bankası
- Bank Avrasiya
- Yelo Bank
- Rabitabank
- Turanbank
- ABB Moscow
- Bank BTB
- AFB Bank
- Expressbank
- AccessBank
Banks With Own Processing
- Kapital Bank
- ATB Bank
- Unibank
- PAŞA Bank
- Bank of Baku
Other
- Yapı Kredi Bank
- Bank VTB
Fintech
- A-Solutions EPT
- United Payment
- Token Azerbaijan
- Modenis
- PaySis
- Tiko Azerbaijan
- Paşa Pay
- Mobile Payment Solutions
- PulPal
- Global İnnovations
- Golden Pay
- Mpay
- Baku Pay
- MAX Sistemləri Plus
- other …
Core Team
Emil Kazimov
Co-founder & CEO
- 10+ Years of Experience in Fintech Business
- Supplying Equipment and Software for Financial Institutions
- Fintech consulting
- 8+ Years of experience in the IT business (technical, sales, business)
- 25+ Years of experience in people management
- Served in the police force
- Legal education
- Extensive experience in B2B, B2C, B2G sales
Maksym Pundyk
Co-founder & Strategic Partner
- 8+ Years in IT Business: Sales, Marketing & Technical side
- CEO, Co-founder at IdeaInYou (B2B)
- Enterprise business consulting & transformation
- Business Development and R&D for IT companies
- 4+ Years in Fintech Business (B2B, B2B2C)
- Co-Founder, CTO at Arzus - Neobank for gamers
- Software development & consulting
- 3+ Years in IT Product consulting and funding
- Product, Customer and Business Development
- VC & Accelerators
- Marketing Strategy consulting
Traction and Progress
Groundwork
- Technical Groundwork: platform requirements and architecture assessment completed, defining the build-out scope.
Milestones Achieved
- Potential Clients Identified: Banks currently using AzeriCard but ready to switch due to cost and efficiency benefits.
- Strategic Partnerships: Established preliminary agreements with key financial institutions locally and globally to ensure smooth client transition.
Future Leadership Team:
We have already identified excellent candidates to lead the entire infrastructure.
Leadership
Renowned candidates with experience in major banks and fintech companies. Extensive partnerships locally and internationally, including Azerbaijan.
Sales & Marketing Professionals
Experienced in B2B fintech, with strong networks and a deep understanding of market offerings.
Human Resources
Certified specialists with experience in senior management, mergers, acquisitions, and company sales.
Finance and Accounting
State-certified experts proficient in managing budgets, financial planning, and tax compliance.
Cybersecurity and Programming
Dedicated professionals and skilled developers responsible for protecting the platform and building scalable technological infrastructure.
Other Key Roles
Network of suppliers and partners in hardware, software, and e-commerce, ensuring seamless procurement and integration of essential technologies and services.
Key Metrics
- Projected Customer Base Growth: Immediate onboarding of 10+ banks at launch.
- Revenue Targets: Expected revenue growth from $2.65 million in Year 1 to over $10 million by Year 3.
- Client Retention: High retention rates anticipated due to superior service offerings and lower transaction costs.
Financial Processing Platform