Empower Businesses in the Digital Economy: On Focus Interview with Kevin Hart, CEO, CatalystPay

As we stepped into the hot and vibrant vacation season, the world of finance and technology is also experiencing a season of its own. In the midst of this dynamic atmosphere, we had the privilege to sit down with our  visionary founder and CEO, Kevin Hart (no relation to the actor, pun intended ;), as part of the On Focus series. From its inception as a seedling of an idea to its blossoming into a promising force in the industry, CatalystPay's journey is nothing short of inspiring. In an insightful conversation, we delved into the driving force behind the company's creation, its unique approach to online payments, and the relentless pursuit of innovation in a landscape often overshadowed by traditional banking. Join us as we explore the fascinating narrative of CatalystPay, its unwavering commitment to clients, and its vision for a future where financial empowerment and cutting-edge technology converge, much like the warmth of the summer sun and the excitement of a well-deserved vacation.

You might also like to read Kevin's take on top 2024 Fintech Trends. 

 

1)What inspired you to start CatalystPay?

The inspiration to start CatalystPay stemmed from my familiarity with the limitations of traditional banking and the recognition of the needs and pain points faced by e-commerce companies.  Understanding the rapid growth of both B2C and B2B transactions, it became evident there was a significant market opportunity to address the evolving demands of online payments.

Back in 2018, CatalystPay was just a simple idea, offering companies online payment solutions.  However, the significant pivotal point in our evolution was in late 2019 when I formed a partnership with my co-founder Stefan Zisov. Our collaboration helped bridge the gap between the knowledge of the market demand from e-commerce companies with his expertise in technology and risk management. It is that synergy has allowed us to develop and deliver quality payment solutions.

We realized that the market was demanding innovative, dynamic, customer-focused payment solutions. Traditional banks aren't exactly known for their innovation, so we saw an opportunity to step in and make a difference.

2)Can you share a brief overview of your professional background and experience prior to founding the company?

Before founding CatalystPay, I worked in the investment management industry. I served as an equity analyst and portfolio manager and my focus was on the financial services sector, including banks. During that time, I developed an understanding of how banks operate, the services they offer, and the technologies they use.

What I noticed was that traditional banks, while they provide stability and security, tend to be very conservative in their approach to innovation. This makes them slower to adapt to changes in the market.  They stick to their established ways, prioritize short-term profitability, and resist shaking things up.

And that's where the problem lies. Customers end up with outdated payment solutions that don't really keep up with the speed, convenience, and flexibility that the digital economy demands.  Just look at Stripe's success, for example. It emerged because banks weren't meeting the market's demands.

After spending around 15 years in the financial services sector, I took on a role consulting and conducting research on e-commerce companies. This experience allowed me to establish a connection between the needs and demands of the market and combine this with what I knew about the inherent limitations of traditional banking services.

 

3) What sets your CatalystPay apart from other players in the industry?

What sets CatalystPay apart really begins with the exceptional team we have assembled. The success or failure of a company hinges on the individuals behind the idea or opportunity. Our team includes a mix of professionals with hands-on experience in e-commerce and the banking industry. That combination is golden because it gives us insights into both the needs of e-commerce merchants along with a deep understanding of compliance and functionality for online payments.

Another defining aspect that distinguishes CatalystPay is our unwavering focus on our clients.  I know it sounds cliché, but it's the truth. We work very closely with each client to understand their unique business operations so we can craft a tailor-made solution just for them. This level of attention is crucial in helping our clients reach their full potential.

I would also add that CatalystPay stands out by leveraging the power of technology.  We're operating in a super competitive space, with big players having all the funds necessary to build cutting-edge technology. To counter this, we have brought together all the best technologies available in the market into one comprehensive solution. This strategic move allows CatalystPay to provide businesses with best-in-class payment technology through a single provider. By integrating the most advanced technologies, we ensure that our clients have access to the latest innovations without the need to invest in multiple disparate systems and providers.

 

4)What is your vision for the future of the company and the impact you aim to make?

Our vision at CatalystPay is all about giving businesses the flexibility, efficiency, and customer-centric solutions they deserve. We're committed to putting the customer first, something traditional banks sometimes struggle with. While traditional banks hold a trusted position in the financial system, we see ourselves as complementary to their offerings rather than direct competitors. This coexistence allows for the evolution of the financial landscape.

Our goal is to empower businesses in the digital era, making their transactions smooth and efficient. Whether it's simplifying payment processing for online transactions or facilitating cross-border payments in various currencies, we want to offer advanced and user-friendly solutions.

We envision making a broader impact by challenging traditional banking norms and fostering a culture of innovation and customer satisfaction. Our focus on the customer drives us to continuously improve our offerings, ensuring that we provide businesses with the tools, support, and services they require to thrive. We aim to be a trusted partner for businesses as they navigate the complex landscape of digital payments.

5)How would you describe your leadership style and its influence on the company culture?

My leadership style is all about empowerment and collaboration. I seek to hire leaders who proactively take ownership of their roles and contribute to the team's success. Every member, from sales to underwriting, compliance to product development, IT to marketing, is encouraged to actively contribute ideas for improvement and innovation.

I try to foster an environment where every voice is heard and valued, promoting open communication and a shared sense of ownership. This collaborative approach creates a strong company culture that thrives on individual initiative and collective efforts.

I've been particularly influenced and inspired by the incredible culture that has developed amongst our team based in Bulgaria. I knew little about Bulgaria five years ago, but I've discovered an extraordinary spirit among the new generation there. The motivation sparked by capitalist economies and a thirst for expanding horizons, which had been suppressed under previous regimes, has ignited a vibrant and innovative mindset. I see Bulgaria and the whole CEE region as a fintech innovation hub with enormous growth potential.

The talent, creativity and drive with our Bulgarian team has profoundly impacted our overall company culture. Their dedication to excellence, unmatched ethics, and commitment to pushing boundaries have fundamentally shaped how we tackle challenges and embrace opportunities.

6)What challenges have you faced as a founder and CEO, and how have you overcome them?

One of the initial challenges we encountered was the timing of our formation. While Catalyst as a concept had been developed in 2018, CatalystPay became a fully formed company in 2020 after being incorporated in late 2019 when my partner Stefan Zisov joined the team.

Just three months into our journey together, the world was rocked by the COVID pandemic. The sudden shift to remote work and the uncertainties that came with the pandemic could have disrupted our progress. However, we had already embraced remote work, so we kept our momentum intact and continued making strides despite the challenges brought about by the global lockdowns.

In 2022, we faced another formidable challenge. Our business had built a solid foundation with substantial connections to Ukraine. A significant majority of our clients were based there and we had dedicated employees working from Ukraine. When the war broke out, it was shocking and heartbreaking to hear about the horrors unfolding. Our primary concern was the well-being and safety of our team members and clients and that overshadowed any business implications we faced. It was a stark reminder of the human element behind our work.  

As I reflect on the challenges we have faced, I believe that they have played a part in shaping us into a more compassionate, adaptable, and purpose-driven organization.

7)How do you envision CatalystPay evolving in the next five years?

In the next five years, I envision CatalystPay undergoing a transformative evolution that positions us as a trusted leader in the fintech industry. Building upon our solid foundation as a provider of e-commerce solutions for B2C transactions, we will expand our focus to cater to the diverse needs of businesses in the enterprise sector.

While B2C transactions remain essential for our growth, we recognize that businesses require more than just online transaction processing. Our vision is to lead with a cutting edge payment solution, empowering businesses to conduct seamless and efficient payments. This includes facilitating cross-border payments, streamlining payment processes, embracing alternative payment methods, and offering tailored solutions to match each business's unique needs. We believe that businesses deserve agile and efficient payment solutions that break free from the rigidities of traditional banks.

In the future, embedded finance will be a central element of every company's operation.  Financial services will be seamlessly integrated into various business processes, becoming the norm. To that end, our goal is to deliver a comprehensive suite of solutions covering the full scope of embedded finance. We're committed to empowering businesses, regardless of their industry or size, with the tools and capabilities to seamlessly integrate financial processes into their operations and revolutionize how they operate.

As the fintech industry continues its disruptive influence on traditional banking norms, the lines between traditional banking and fintech will blur. Our vision is to be at the forefront of the embedded finance revolution, shaping the future of financial services and enabling businesses to unlock their full potential.