TymeBank sets big targets for new business

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TymeBank CEO and co-founder Coen Jonker.
TymeBank CEO and co-founder Coen Jonker.

While TymeBank is still “very young”, the digital-only bank is looking to break-even in the coming year.

This was the word from TymeBank CEO and co-founder Coen Jonker, speaking at the announcement of the digital bank’s plans to acquire Retail Capital.

TymeBank yesterday revealed it has reached an agreement with Retail Capital and its shareholders to acquire 100% of the fintech SME funder’s shares, subject to regulatory approval.

Recounting the bank’s growth trajectory, Jonker pointed out that TymeBank is still a baby (it’s still very young), but it’s a “baby giant”.

In its three years, the bank has amassed five million customers, with over 100 000 small businesses, entrepreneurs and owner-managed businesses, he revealed. This growth pace garners around 150 000 new customers a month.

“We have done well financially. If all goes well this coming year, the bank will be at break-even, will become profitable, which in the world of digital banking worldwide will be a world-class performance.

“We will be one of the best-performing digital banks in the world, not only from a customer growth perspective but also from a financial perspective.”

According to Jonker, TymeBank customers have access to transactional banking, savings, insurance and high-frequency lending solutions. SME customers have access to an SME bank account.

African Rainbow Capital (ARC)-controlled TymeBank officially launched to the South African public in February 2019, after a soft launch in November 2018.

At the time, TymeBank, which bills itself as SA's first digital-only bank, said it was looking to disrupt the traditional banking system, offering customers affordable and accessible banking services through network partners.

The bank has a partnership with over 800 Pick n Pay and Boxer stores, and allows deposits and withdrawals at 1 500 retailers nationally. It also partnered with the Zionist Christian Church in early 2020, as a way to further extend the growth of its customer base.

In its three years, the bank has also been exploring international opportunities in places like the Philippines.

Last August, parent company ARC revealed its intention to take TymeBank global, exporting its business concept and experience to Asia after receiving a digital banking licence from the Philippines Central Bank.

In June, TymeBank confirmed it had set October as the launch month of its full-scale digital bank in the Philippines, to fire up its global expansion.

In the Philippines, the bank will launch GOTyme Bank, a digital bank modelled on TymeBank and domiciled in Manila.

Jonker revealed as of yesterday morning that TymeBank has signed up its first live customer for GOTyme Bank in the Philippines. “This is one of those exciting South African stories where we have innovated something new in the country and taken it to the rest of the world.

“We’re excited about GOTyme Bank as our second baby,” he concluded.

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13 Aug
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