PwC strengthens Saas offering with Starling partnership

PwC has announced a strategic alliance with Engine by Starling, the software-as-a-service (SaaS) subsidiary of Starling Bank.

Engine, a cloud-native, API-based platform, was initially built to power Starling Bank in the UK. It has since proven its scalability and effectiveness, making it an ideal solution for financial institutions looking to launch new digital banking services or replace existing systems.

This partnership is set to elevate the digital banking services PwC offers to its clients worldwide.

“By forming an alliance with Engine, we can offer an even greater range of technology-enabled solutions to help clients deliver high-quality digital banking to their customers and remarkable employee experiences, while also saving costs and driving up productivity,” says Steve Davies, Digital Banking Lead at PwC UK.

Expanding services due to client demand

Clients, now more than ever, seek value beyond traditional compliance and tax preparation services. They desire strategic partners who can guide them through financial complexities with innovative solutions.

This shift in expectations is not just a trend but a reality that accounting firms must address to retain their clientele and foster long-term relationships. This is where modernised Accounts Payable (AP) and payment solutions come into play, transforming the way large accounting firms manage client payments and financial processes.

Offering AP/Payments as a service positions accounting firms as indispensable allies in their clients’ financial journey. It goes beyond the transactional nature of accounting, creating avenues for enhanced client engagement, risk mitigation, and operational efficiency.

But traditionally, accountants from large firms have played a crucial role in managing and facilitating client payments, a responsibility that carries with it a unique set of challenges and risks.

In the rapidly evolving world of digital banking, strategic partnerships like the one between PwC and Engine by Starling are crucial. They allow accounting firms to stay ahead of the curve by integrating cutting-edge technology into their services. This not only enhances their offerings but also enables them to meet the increasing demand for digital solutions in the financial sector.

“Engine provides a generational-leap forward for digital banking technology in terms of both customer and employee experiences. Combining our deep expertise with this cutting-edge technology is an exciting shift in the way that we solve complex problems for our clients,” says Alex Price, Digital Platforms Director at PwC UK.

What are the benefits for accountants?

The integration of AP/Payments solutions into accounting firms’ service offerings marks a significant shift towards more efficient, secure, and client-centric operations. These innovative solutions bring a host of benefits that extend far beyond the boundaries of traditional accounting practices. Let’s explore the core advantages of adopting these transformative tools.

Cost and time efficiency

By automating invoice processing, payment execution, and reconciliation, AP/Payments solutions significantly reduce the time and resources required to manage client payments. Firms can achieve faster turnaround times and reallocate valuable staff hours to strategic initiatives, resulting in a more agile operation and substantial cost savings.

Risk mitigation and fraud prevention

Managing client payments at scale increases the risk of liability, fraud, and human error. Modern AP/Payments solutions address these challenges by providing secure platforms that reduce the need for direct access to client bank accounts, thereby minimising the liability and compliance burden. Sophisticated security measures and fraud detection capabilities ensure rigorous scrutiny of every transaction, protecting the firm’s financial integrity and strengthening client trust.

Enhanced client engagement and retention

Providing AP/Payments services enhances the firm’s role as an essential partner in clients’ financial management strategies. The efficiency, security, and convenience offered lead to increased client satisfaction, fostering loyalty and encouraging long-term relationships, which is invaluable for client retention and new business acquisition.

Strategic advantage in operational efficiency

Adopting AP/Payments solutions signals a firm’s commitment to innovation and operational excellence, distinguishing it in a competitive market. The ability to handle complex payment scenarios, including international payments and transactions with challenging banks, provides a strategic advantage, driving continuous improvement within the firm.

Scalability and reduced complexity in AP processes

As firms grow, the ability to scale operations efficiently becomes crucial. AP/Payments solutions are designed to accommodate growth, ensuring that increased transaction volumes do not lead to increased complexity or strain on resources. This scalability is essential for firms looking to expand confidently, with robust, efficient AP processes ready to handle the demands of an expanding client base.

PwC live case studies

The effectiveness of Engine’s platform is evident through the successful implementations at Salt Bank in Romania and AMP Bank in Australia. These two banks are the first clients to secure the platform, demonstrating its global applicability and its ability to help lenders rapidly launch new digital services or replace legacy systems.

Salt Bank, based in Romania, aims to leverage Engine’s capabilities to enhance its SME and consumer banking propositions. With Engine’s modular and API-based infrastructure, Salt Bank can deliver a seamless, customer-centric digital banking experience. This partnership enables Salt Bank to stay competitive in a rapidly evolving market and meet the growing demand for digital banking services.

AMP Bank, a leading Australian bank, has chosen Engine to support its digital banking transformation. By leveraging Engine’s cloud-native platform, AMP Bank can improve customer experiences, streamline operations, and deliver innovative financial products and services. Engine’s proven scalability and flexibility make it an ideal solution for AMP Bank as it positions itself for future growth and digital leadership.

Invest now?

The adoption of payments and accounts payable (AP) as a service stands out as a strategic imperative, driving operational efficiency and elevating client relationships. Accounting firms therefore have a unique opportunity to enhance their service offerings and solidify their market position.

Firms can transform their financial workflows, achieving a level of precision and efficiency that manual processes simply cannot match. This shift not only results in significant time and cost savings but also ensures the accuracy and reliability of financial transactions, which is paramount in today’s business environment.

Similarly, the integration of real-time analytics provides firms with actionable insights, enabling continuous improvement and informed decision-making.

On the client side, clients benefit from a seamless and secure payment experience, directly contributing to their overall satisfaction and the firm’s client retention rates. Navigating the regulatory landscape also becomes more straightforward, as the direct handling of client funds is no longer necessary.

This strategic approach reduces regulatory burden and mitigates associated risks, ensuring compliance and safeguarding the firm’s reputation.