My grandfather was an extremely knowledgeable and wise instructor in my life. Among the many values he impressed upon me, the most important was: that if I am ever in a position to have a major impact on improving everyday life, it would be my obligation to do so.
The opportunity to make my mark arose when many of my friends, family, colleagues, and I were struggling to manage and pay bills efficiently. The existing digital tools on the market felt both inefficient and complicated. From my first-hand experience in making bill payments online, I noticed the process was entirely stressful and lacked appropriate market solutions. I recalled my grandfather's words and partnered with my similarly driven co-founder to take on the billing service industry in an attempt to fulfill my ambition of improving society.
We founded our fintech company with the mission of reimagining bill management for the millions struggling to navigate between income and debt. In the United States alone, insufficient bill pay infrastructure costs consumers $74 billion per year in credit score impacts, late fees, overdraft fees, and even identity theft. Nearly 48% of consumers struggle to pay all of their bills, and more than half of U.S. adults reported paying at least one bill after the due date during the last 12-month period. These late payments are exacerbated by the financial hardship and user difficulty of existing bill pay processes. To create a solution, we worked tirelessly to assemble our team, develop a product, and construct a strategic approach.
We were on a strong path when we experienced a major challenge that rendered the future viability of Blip Labs uncertain. Our company nearly completed a contract with our 1st customer- a major financial institution- when the devastating economic effects of COVID-19 emerged. The pandemic created multiple obstacles for Blip Labs as well as our prospective customers who ultimately decided not to move forward. This rapid course of events shaped the debates my co-founder and I were forced to have as we decided whether to stay in the uncertain fintech industry.
Ultimately, the decision to proceed required a substantial pivot in our strategy and product conceptualization. We revised the significance of our product services and revamped our go-to-market and software in order to uniquely position ourselves to integrate our product into any financial technology company. As a startup team with many hats to wear, we were all motivated to overcome these obstacles and efficiently improve our functional skills and knowledge. After navigating through these challenging circumstances, it was clear that seemingly insurmountable obstacles could be overcome with perseverance and adaptability. The unforeseen tests of the broader macro environment served as a reminder about the crucial role adaptability plays in entrepreneurship. The demanding experience of navigating the Covid-19 pandemic as a founder significantly benefited both the company's operations and pushed my leadership skills and personal growth to new levels.
Written By: Michael Bank (MBA ‘24)