Treasury Prime, a company specializing in Banking-as-a-Service (BaaS) solutions, recently announced a strategic shift in its business direction. The company stated that it is adjusting its focus to prioritize areas with the strongest potential for growth. As a result, Treasury Prime has made the difficult decision to reevaluate its staffing needs.

In a statement to FinTech Futures, the company expressed its understanding of the impact these adjustments will have on affected employees. Treasury Prime emphasized its commitment to supporting impacted staff through severance packages, continuation of healthcare benefits, and career transition services.

Established in 2017, Treasury Prime previously offered its BaaS services to fintech companies, allowing them to connect directly with banks using its application programming interfaces (APIs). However, CEO Chris Dean highlighted a shift in the company's strategy towards fostering direct partnerships between banks and fintech firms.

Dean explained in a blog post on the company's website that the future of embedded banking lies in bank-direct collaborations with fintech partners. Treasury Prime believes that direct partnerships between banks and fintechs are crucial for meeting the evolving needs of customers in the financial services sector.

As part of its new strategic direction, Treasury Prime is launching a Bank-Direct product designed to facilitate the entire lifecycle of direct relationships between banks and fintech customers. This includes sales, onboarding, management, and support of partnerships between the two entities.

Despite the shift in focus, Treasury Prime reassured its existing fintech partners that their business operations will remain unaffected. Dean emphasized that the company will continue to support its current fintech clients and is dedicating additional resources to enhance their experience.

However, the strategic pivot has led to staffing adjustments within Treasury Prime. Dean acknowledged in his blog post that some employees will either leave the company or be reassigned to other roles within the organization. While the exact number of affected employees has not been disclosed, reports suggest that the staff cuts could impact approximately half of the company's workforce of around 100 employees.

This decision comes approximately a year after Treasury Prime secured a $40 million Series C fundraising round led by BAM Elevate, signaling confidence and support from investors in the company's strategic direction.

In conclusion, Treasury Prime's decision to realign its business focus underscores the dynamic nature of the fintech industry. As the company pivots towards fostering direct partnerships between banks and fintechs, it aims to position itself for sustained growth and innovation in the evolving financial services landscape.