Brazilian software giant Totvs has launched a fintech arm to boost the functionality of its enterprise resource planning (ERP) offerings.
Under the new division, the company plans to combine its own technology with innovative solutions developed by startups, so adding value to its enterprise software platforms.
By blending its systems with partner technology, the Brazilian ERP vendor hopes to "simplify, extend and lower customer access to credit and financial services in general," according to Eduardo Neubern, executive director of the new division.
"Beyond [the development of] a business opportunity, we want to democratize access to [financial] services to clients, boosting Brazil's economic growth", adds Neubern, a seasoned financial services executive, who previously held senior roles in companies like MasterCard and American Express.
The new fintech division will be exploiting include offering financial products to Totvs user organizations within sectors such as retail, education, healthcare and manufacturing.
One of the initial projects under the new strategy includes the development of systems geared at small and medium retailers, aimed at capturing and processing data related to credit and debit card payment transactions.
To support its fintech arm, Totvs will be ramping up the use of Idexo, an institute created by the company to connect startups, developers and entrepreneurs, to build the new solutions.
There are more than 40 startups currently working under the Idea initiative. Many are expected to support the vendor in the development of new offerings with a fintech edge.