Finlatics Investment Banking Experience Program - Project 1

1. An optimal combination would be Arjun being an Engineer with an MBA and prior
experience working in Information Technology. Working on a remittance platform for overseas
transfers that reduces the expense and time required to make an international transfer.

The correlation: In this scenario, Arjun's start-up idea is a breakthrough software that minimizes
the cost and time required to perform an overseas transfer. With an engineering background
and experience in the information technology sector, he is well suited for the proposed start-up
idea because he would thoroughly understand the software and would be able to either
upgrade it in the future or delegate the work in his terms because he would be completely
aware of how the software worked. An MBA provides him with the practical skills that an
engineer would lack. Thus, completing an MBA ensures that Arjun is aware of various business
models, management styles, soft skills, and so on, and that he will be able to make judgments
on the respective matter.

Arjun would be able to recognize excellent employees in both areas because of his dual
experience as an engineer and an MBA graduate. This improves the accuracy of successful
recruiting, and a leader who understands both sides of the business (tech and management) is
the leader who can take the team to greater heights. With an engineering degree developing
his technical talents and an MBA honing his management and business skills, he would be
an apt leader. Arjun is likely to encounter a range of individuals and have the ability to
communicate with them and build a network while taking both courses. This network will be
one of his most valuable assets in the future.

With the correct development team, an ordinary concept may be converted into a
groundbreaking one. An international remittance app is no easy task, but with experienced
members that can assist construct a profitable system, Arjun can address any knowledge gaps
that may exist. He can recruit professionals in the Fintech industry to assist him with the
complete development process because he is an engineering graduate. A team may aid with
concept generation and provide a variety of other unique talents that may be useful in the
latter phases of the business, in addition to development.

Arjun's first problem is meeting regulatory criteria. The Fintech regulatory environment is
constantly expanding, and processing the extensive documentation necessitates vigilance and
organizational skills. An international remittance system will necessitate constant monitoring of
various countries' regulatory frameworks and the construction of a bridge between the
technology team and the legal team, which can be accomplished efficiently with the assistance
of a senior advisor who has experience in this field and can mentor Arjun in it. In addition, Arjun
can use internet resources to become acquainted with various compliance rules. However,
Arjun's difficulties are not confined to just digesting the documentation. The more the Fintech
market expands, the more authorities seek control over the services it provides. This might
cause the startup's go-to-market phase to be delayed. Only an entrepreneur who is truly
committed to his concept will be able to endure this arduous procedure.

2. Unlike loans, private equity provides a demonstrable value addition to the organization
through various additional elements such as a stamp of quality, network driven advantages, and
advisory benefits. Given the selected profile-idea combo, I feel Arjun should prioritize advisory
advantages.

Hard Learning
Arjun may bridge his technical knowledge gap by utilizing numerous internet resources, but he
clearly needs experience. Arjun's business can benefit from having an investor who is also a
mentor and has experience in the same field. With hard knowledge, a mentor may assist him
navigate the tumultuous seas of a digital business. Payment statistics, assuring compliance and
security, and developing user management models are some examples. Aside from product
creation, the mentor may also assist with currency hedging. A currency exchange risk exists in
an international remittance app, and in order to defend its position, the corporation must
deliberately put up assets that can balance any losses. Arjun can learn numerous techniques of
mitigating this risk with the assistance of an experienced mentor.

Arjun need not just a talented staff, but also an effective and efficient team, which necessitates
top-tier management abilities. Setting values and goals, aligning teams, and developing reward
systems are all part of developing a strong company culture. These are not child's play since
they require business expertise. Arjun may compensate for his lack of corporate experience by
seeking advice from a mentor on how to manage a team, negotiate with players, and lead the
organization. Arjun may also reflect on his own progress utilizing constructive criticism from his
mentor and establish an improvement plan that aligns with the company's goals.