Finance Monthly - December 2022

he pandemic sparked a craze in the development of fintech and neobanks that jumped to fill the gap between traditional banking and the needs of SMEs operating in the modern economy. Despite SMEs making up more than 99.99% of businesses in the US, and accounting for nearly two-thirds of net new private jobs in recent decades - banks predominantly tailor their services and products towards retail corporate companies and consumers. Banking has surpassed its traditional understanding in light of the digital economy. The need for more advanced financial services would mean that banks can offer their SME customers a seamless and tailored service that allows them to grow their business and penetrate the marketplace to establish themself among their competitors. Yet, the functionalities of SMEs require a dynamic set of tools, especially during times of economic and financial uncertainty. Stepping out of the pandemic, macroeconomic Finance Monthly. Bus i ne s s & Economy 19

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