Lightyear recently hosted an event in Budapest to mark the launch of their new business accounts. The event was a gathering of entrepreneurs, company leaders, and industry experts, where participants had the chance to network and gain valuable insights into managing company finances and maximizing savings. Key speakers included Martin Sokk, CEO of Lightyear; Csongor Biás, CEO of Startup Hungary; Kirill Perepelica, Co-Founder of Munch and angel investor Jared Schreiber.
Lightyear’s Growing Presence in Hungary
Martin Sokk, Lightyear’s CEO, opened the event by highlighting Hungary’s growing significance in Lightyear’s operations. He noted that Hungary is now one of Lightyear’s fastest-growing markets, showcasing the company’s commitment to providing tailored financial solutions for local businesses. Sokk shared the company’s journey from its origins at TransferWise, where he and his co-founder sought to simplify the complex and costly world of cross-border money transfers. This same drive to simplify and reduce costs is at the core of Lightyear’s mission in the investment world.
Simplifying Investment for European Businesses
Sokk emphasized the challenges European investors face compared to their U.S. counterparts. While investment in the U.S. is relatively straightforward, European markets are fragmented, with each country having its own exchange and regulations. Lightyear aims to bridge this gap by offering access to a wide range of global investment instruments, including stocks, funds, and ETFs, with a local focus tailored to each market’s needs. In Hungary, Lightyear has made significant strides by localizing their platform, integrating Hungarian language support, and aligning with local tax regulations.
Launch of Business Accounts: A Response to Market Demand
Lightyear’s new business accounts were launched in response to feedback from local businesses. Sokk noted that Hungarian entrepreneurs and companies expressed a strong need for business accounts that offer interest-earning opportunities similar to those available to retail investors. Lightyear’s business accounts provide companies with access to money market funds, stocks, and other financial instruments, allowing them to earn interest on idle cash and make strategic investment decisions.
Panel Discussion: Navigating the Current Business Environment
The event featured a panel discussion with Hungarian business leaders, including Csongor Biás and Kirill Perepelica, who shared their insights on managing finances and navigating the current business environment. The discussion touched on various topics, including the challenges of fundraising in today’s market, the importance of efficient growth, and the need for startups to adapt to changing economic conditions.
Biás, representing Startup Hungary, highlighted the evolution of the Hungarian startup ecosystem. He noted that while Hungary was once a regional leader, producing successful companies like Prezi, recent years have seen fewer standout successes. However, he expressed optimism about the future, citing the efforts of local entrepreneurs and investors who are working to strengthen the ecosystem.
Kirill Perepelica shared his experience with Munch, a company that helps retailers and cafes sell surplus food at a discount. Perepelica emphasized the importance of efficient operations and the need to adapt quickly to market changes. He also acknowledged the support of investors like Biás, who have been instrumental in helping Hungarian startups grow.
Treasury Management: An Essential Tool for Businesses
One of the key topics discussed at the event was the importance of treasury management. Sokk explained that effective treasury management can help businesses optimize their cash flow, manage risks, and earn additional income through strategic investments. He shared how Lightyear’s business accounts allow companies to invest in low-risk instruments like money market funds, which can provide a significant yield on idle cash.
Jared Schreiber, a serial entrepreneur and angel investor, shared his experience with treasury management in Silicon Valley, where even basic strategies like staggered certificates of deposit can generate substantial returns. He emphasized that while treasury management may seem complex, it is a crucial aspect of running a sustainable business, especially in volatile economic environments.
Future Plans: Expanding Local Investment Opportunities
During the Q&A session, participants expressed interest in expanding the range of local investment options available on Lightyear’s platform, including the addition of Hungarian stocks. Sokk acknowledged the demand and outlined Lightyear’s plans to gradually introduce more localized investment instruments as part of their ongoing commitment to the Hungarian market.
Lightyear’s event was a testament to the company’s dedication to supporting local businesses and enhancing the financial ecosystem. By providing tailored solutions that address the specific needs of Hungarian entrepreneurs, the fintech is helping to empower companies with the tools they need to manage their finances effectively, maximize savings, and grow sustainably. The insights shared by the members of the panel discussion underscored the importance of collaboration, adaptability, and strategic planning in today’s challenging business environment.
(Cover photo: Lightyear)