How to build a financial application: Full guide 

Many businesses across the globe are experiencing significant cash flow management issues regularly. CEOs and CFOs don’t pay enough attention to financial mobile app development and financial aspects. Thus, they face disruptive problems. This is true for startups, but large companies also can be destroyed. Just remember the Great Recession, during which leading banks couldn’t predict and overcome the market’s reaction. 

The first thing to enable proper financial management is an elaborate strategy. Still, the second one is hardware and software that bring this strategy to life. Fintech solutions are indispensable for nearly all businesses. SMEs can get a simple application to track money flow and avoid human errors related to payments. At the same time, multinational corporations benefit from all-in-one platforms with powerful analytical modules. This market grows constantly, being currently valued at around US$5,84 billion. 

The guide unveils key reasons to choose fintech applications, provides information about these technologies, and provides guidelines on how to build a financial app.

5 reasons for fintech app development

Let’s be honest – not all entrepreneurs need a dedicated financial app. If you’re a sole proprietor, purchasing costly software products is not required.  

However, when you have a few employees and have to cooperate with several suppliers, subcontractors, and customers, financial application development is for you. Convenient, centralized access to finance may be a tough task for numerous industries, including manufacturing, healthcare, social activities, retail, etc. With proper planning available through the software, it will be easier to avoid such problems. 

Hence, let’s check the top reasons to get your financial app: 

1. Existing apps can’t handle new tasks. If you have a system with limits on users or storage space, consider getting a new app for better scalability. 
2. Human errors are rising. The more complicated and global your company is, the higher the chance of human errors. Get rid of them by automating finances. 
3. It takes longer to track finances. Update software when you realize that it’s inefficient when it comes to record-keeping and money tracking. 
4. You can’t find the required info. Often, businesses have a tangled structure of data, so employees can’t access transactions, invoices, and user catalogs. 
5. You want to improve some areas. Good financial products provide real-time tracking, forecasting, and security boosts. 

Basic info about financial applications

In a nutshell, financial management covers all tasks and questions related to money flow in your company. It focuses on organizing and maintaining financial operations, including funds supply management, efficient usage of these funds, enabling investment opportunities, and so on. This sphere’s three key areas are planning, control, and decision-making. 

Respectively, fintech app development focuses on designing and distributing software solutions for financial managers and their departments. To understand the concept, let’s look at the types of applications, their functions, and development steps. 

Software types and fintech app developers

Fintech and accounting software isn’t the largest category overall. The catch is that it can be used in any industry and money-related tasks so that you can classify applications by several features. We want to discover three categories. 

Note that fintech app developers may deliver various types of products. Consider working with custom teams to find the best firm and get exactly what you need. We will tell you more about them later. 

Now, let’s talk about financial programs divided by different features. 

Based on industry 

As mentioned, fintech is suitable for all market sectors. From the smallest groceries in Texas to IT enterprises with offices all around the globe, every company requires proper cash flow planning. Below are the industries that use financial apps more often: 

• Banking 
• Insurance 
• Investment 
• Lending 
• Payments 
• Personal finance 
• RegTech 

Based on functionality 

The following classification focuses on exact functions. There are three types of applications suitable for different organizations. For example, you may be interested in small programs or more complex alternatives. Here they are: 

• Spreadsheets. The simplest and the cheapest solutions with must-have features. 
• Commercial software. Focuses on midsized businesses and, partially, automation. 
• Enterprise software. Delivers all-in-one services for the largest companies. 

Based on deployment 

Moving to tech stuff, we can’t skip the difference between distribution types. There are also three categories so various businesses can find the most appropriate products. Look at the types and remember them if you’re going to contact a financial app development company: 

• On-premise. According to this approach, firms that purchase apps must deploy them independently using in-house servers and specialists. 
• SaaS. In this case, the developer deploys and maintains the software on behalf of customers. SaaS products may be located in the cloud or on dev servers. 
• Hybrid. These applications combine two options. For example, you can deploy the app on your server but cooperate with developers to maintain and upgrade systems. 

Based on development 

Finally, we should mention two defining options for customers. Check them out and choose wisely: 

1. Out-of-the-box. These programs are created once and then delivered to all clients. They feature the most efficient modules and structures but lack uniqueness. With premade software, you can’t get the best market advantage. These applications come with lower initial costs but higher expenses on additional services. 
2. Custom. Here, financial mobile application development is exclusive to each partner. You get a product made from scratch and unavailable for other customers. With bespoke software, users don’t have to overpay for unnecessary features, so they receive only the required stuff. Custom programs can include all the extra services in the initial contract. 

Functional modules 

Applications that are more complex than simple spreadsheets often consist of different modules. Each part is responsible for a specific feature. Vendors of premade software sell fixed sets of these features, while custom developers can add or remove any module at your request. All functions can be divided into four groups: pipeline tracking, asset management, fund management, and data processing. 

Exact types are diverse, so let’s check the most valuable modules: 

• Balance sheet. Lists the company’s assets, financing sources, money usage, and general cash flow state. It is used for reports and analysis. 
• Chart of accounts. Includes an account of the firm. Identifies and tracks assets and helps collect information about financial processes. 
• General ledger. The core of each system is keeping records and other data. It receives information and links to other modules, helps in audits and creates documents. 
• Payable. Gives insights into funds owed by a business to partners. Tracks funds with terms and conditions for each deal generate invoices and keeps clients’ info. 
• Receivable. It works like the previous module but relates to money owed by partners to the firm. Creates bills, controls data, and handles payments. 
• Sales. Monitors points of sales, automates regular transactions, and helps to track down entries with info about customers and products/services purchased. 
• Trial balance. Focuses on the real-time balance of each account. Allows checking changes and generating new financial statements. 

Moreover, you can combine these finance-related functions with other components, such as CRM or ERP platforms, reporting and visualization modules, third-party integrations, etc.

Custom vs out-of-the-box financial app development

When creating your financial app, it’s essential to pick the development method that fits you best. 

Out-of-the-box solution 

Out-of-the-box solutions provide a cost-effective, quick-start option with pre-built functionalities that cover general financial needs. It is ideal for businesses with limited customization requirements or those seeking a robust starting point.

Pros: 

• Faster implementation 
• Lower initial costs 
• Proven stability and reliability 
• Regular updates and support 

Cons: 

• Limited customization 
• Potential scalability challenges 
• Less competitive differentiation 
• Dependency on vendor 

Takeaway: When the client needs a quick-to-market solution or has standardized needs that can be met with existing features. 

Custom solution 

Custom app development can be tuned to create a hyper-personalized solution that perfectly fits the client’s objectives, branding, and operational needs. It’s ideal for companies seeking market differentiation or complex features not readily available in existing software.

Pros: 

• Tailored to business needs 
• Complete control over features and design 
• Enhanced scalability 
• Better security compliance 

Cons: 

• Higher cost (at a higher ROI) 
• Longer development time 
• Maintenance responsibility 

Takeaway: When the client has unique business requirements, complex workflows, or specific compliance needs. 

How to build a financial app: Key stages

• Stage 1 – Research. Conducting in-depth market research and competitor analysis to clarify user needs, regulatory requirements, and unique value propositions. Defining app goals, core features, and technical specifications. 
• Stage 2 – Design. Creating wireframes and UI/UX designs focused on user-friendliness, security, branding, and accessibility. 
• Stage 3 – Development. Building the app’s backend and frontend, incorporating essential security protocols and compliance (e.g., PCI-DSS, GDPR). 
• Stage 4 – Quality Assurance (QA). Testing the app for functionality, security, and usability metrics, including a range of tests from performance and penetration to user acceptance testing. 
• Stage 5 – Support and maintenance. Continuously monitoring, updating, and supporting the finished app, as well as leveraging user feedback and enhancing the solution further. 

How we cooperate

Managers, CFOs, and users of financial apps should be aware of all key development stages to understand how their tech partners work.  

Further, you can check the main scheme of cooperation between our experts and our clients. Everything is personalized, so we can adapt this strategy to your requirements: 

1. Business analysis. We research your company and the market to provide our vision of the best functions.
2. Feature discussion. We agree on terms and conditions, as well as the demanded functions. Feel free to engage the company’s stakeholders and key employees. 
3. Legal agreement. We sign all the required contracts to regulate our cooperation. Usually, SRS documents are the result of this step. 
4. Agile development. We create your product in several sprints during which you can deliver feedback. We can release an MVP or the final version. 
5. Release of the product. We test and evaluate everything before the release. Overall, we strive for perfect time-to-market and high quality. 
6. Support and maintenance. We can cooperate in the post-launch phase, too. Depending on your requirements, we handle the training, customer support, upgrading, etc. 

Key benefits of custom solutions

Well, what about the real usefulness of the reviewed software? Finance mobile app development can be a game changer for your company if you feel accountants can hardly handle ongoing and planning processes. Modern digital platforms automate numerous tasks, provide valuable insights and predictions, help to improve the brand’s profitability and more. 

The list below includes the major advantages of fintech solutions. Still, you should remember that only the companies that really require a new financial app can get the most benefits: 

• All the data is at your fingertips. Gather all financial data in one place to get constant and quick access. Data silos are harmful, so you want to get single storage for all departments and employees with enough access rights. 
• Compliance with changing regulations. Thanks to powerful auditing and reporting features, elaborate software adheres to BASEL II and other regulatory principles and can evolve quickly to meet new requirements. 
• Error-free environment. This part is simple. Various human errors occur because of fatigue, poor attention to details, and personal problems. Automated software is flawless if programmed properly to avoid double entries and missing records. 
• Planning and growth measuring. When working with custom dev teams, you can ask for upgrades to make your application highly scalable. Moreover, it comes with solid analytical modules that enable efficient financial forecasting. 
• Streamlined financial processes. Thanks to the single database and automation, accountants can speed up all the processes. In addition, they can develop common standards for all departments to boost data gathering and reporting. 
• Third-party connections. If you work in an enterprise, consider this advantage related to internal and external links. ERP financial solutions connect all in-house apps using common protocols. They also work with external services. 

When it comes to cooperation, you will have several options. Firstly, remember that dozens of vendors sell preprogrammed apps. They may be suitable for companies with traditional requirements. If you’re happy to find a package with an appropriate balance between fees and features, purchase it. Just don’t forget that all out-of-the-box apps have a pretty high price on extra services. 

Talking about custom financial app builders, you should ensure the chosen team can complete your project. Here are a few suggestions on the example of our company – DICEUS: 

• Agree on dev tools. If you have a clear vision of programming languages and frameworks, ensure the chosen team knows them properly. 
• Check previous projects. You can find a portfolio at Clutch or GoodFirms to understand the field of specialization. We love finance and insurance, for instance. 
• Read client reviews. Testimonials are available at the mentioned sites, too. Explore them to reveal the attitude of other customers. 
• Talk to managers. We’re ready to chat with you, talk via phone, or meet personally.  

Successful examples of financial applications

At DICEUS, we assist in launching financial mobile app development workflows for unique solutions, but we can also help you tap into the success of existing apps and niches, like the following cases.  

Digital-only banking apps 

• Revolut 
• Chime 
• N26 

Digital banks like Revolut, Chime, and N26 have revolutionized banking by providing customers full banking services through mobile apps. They feature real-time balance tracking, account management, currency exchanges, and more. 

• Convenient, low-cost, and accessible banking 
• All operations are manageable without physical branches 
• Digitized ease of use and lower fees 

Investment and trading platform 

• Robinhood 
• eToro 
• Wealthfront 

Investment apps like Robinhood and eToro enable users to trade stocks, cryptocurrencies, and ETFs with minimal fees. Wealthfront, on the other hand, provides automated investing through AI-driven portfolios, offering accessible wealth management. 

• Democratized investing  
• Easy start for beginners with minimal funds 
• Often supporting commission-free trades 

Personal finance management  

• Mint 
• YNAB 
• Personal Capital 

Apps like Mint, You Need A Budget (YNAB), and Personal Capital help users manage finances by tracking spending, budgeting, and monitoring investments. They feature insights and reminders to stay within budget and achieve financial goals. 

• Helping users gain control over finances 
• Assists in reducing debt and growing savings 
• Promoting financial literacy and healthier financial habits 

Peer-to-Peer payment apps 

• Venmo 
• PayPal 
• Cash App 

Venmo, PayPal, and Cash App allow users to send and receive money instantly, making peer-to-peer transactions convenient and secure. Many apps also grant extra features like cryptocurrency trading and cashback rewards. 

• An easy way to split bills, pay friends, and manage funds digitally  
• Efficient everyday transactions  
• Boosted user engagement with accessible, mobile payment solutions 

Cryptocurrency exchanges  

• Coinbase 
• Binance 
• Kraken 

Crypto exchanges like Coinbase, Binance, and Kraken allow users to buy, sell, and store cryptocurrencies securely. These platforms also include educational resources to help newcomers understand the crypto market. 

• Making crypto accessible to a broader audience 
• Trusted platforms for secure, user-friendly exchanges  
• Custom selection of crypto assets 

Insurtech platforms 

• Lemonade 
• Policygenius 

Lemonade and Policygenius have disrupted traditional insurance by providing simplified, transparent insurance options through mobile and web apps. Lemonade uses AI to process claims instantly, while Policygenius helps users compare and select policies. 

• Technology leveraged to simplify insurance 
• A faster and easier way for users to get coverage 
• Affordable, accessible insurance with straightforward claims processes 

Payment processing platforms 

• Stripe 
• Square 

Stripe and Square provide payment processing solutions for businesses of all sizes. These solutions allow companies to accept payments online and offline. They also offer APIs for developers to integrate payments seamlessly.

• Secure, customizable, and scalable payment solutions 
• Enabling small businesses to expand ecommerce capabilities 
• Overcoming barriers to accepting digital payments 

Financial health platforms for credit scoring 

• Credit Karma 
• Experian Boost 

Credit Karma and Experian Boost allow users to monitor their credit scores, understand factors impacting credit, and take action to improve it. Experian Boost even lets users increase scores by linking utility and telecom payments. 

• Empowering users to manage their credit profiles and financial health 
• Improving access to loans and lowering borrowing costs 
• Enhancing financial inclusion with a user-centric approach 

Closing words

Financial mobile app development is highly required for almost all brands. If you aren’t sure about its usefulness, exact features you need, dev approaches, or other nuances, don’t hesitate to ask our experts.

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