Embedded Finance – Banking as a Service (BaaS) API integration –
Gordon operates a software marketplace that features an integrated affiliate program. The platform showcases website design templates, software development services, plugins, and more. Observing the high volume of payments made to affiliates monthly, along with numerous transactions where customers pay vendors and developers, Gordon realized that traditional card processors charge exorbitant fees, significantly eating into his margins.
To address this, Gordon considered adopting an ‘Embedded Finance’ model. By integrating financial services directly into his offering, he could provide dedicated Virtual IBANs (vIBANs), white-label (branded) debit cards, and start monetizing every transaction occurring on the platform — turning what was previously a cost into a revenue stream.
However, Gordon had no intention of becoming a bank or an Electronic Money Institution (EMI). He was not interested in acquiring financial licenses or handling complex regulatory requirements such as AML and KYC compliance. Instead, he partnered with a Banking-as-a-Service (BaaS) provider, enabling him to issue virtual IBANs and cards to both buyers and sellers under his own brand. This partnership also allows him to earn commissions on all transactions processed through the platform.
The BaaS provider manages all regulatory obligations, including licensing, AML/CFT screening, and KYC procedures, allowing Gordon to focus fully on growing his marketplace — now enhanced with embedded banking services. It’s a win-win solution that benefits everyone involved, except the traditional card payment processors who lose out on high fees. Gordon is using a UK licensed Electronic Money Institution (EMI) as his BaaS provider and EBANQ as his frontend end-user and admin interface, of course all under his own branding and seamlessly integrated with his marketplace. Request Free Demo Access to EBANQ today, both for the end-user and admin interfaces.
