Canadian Newcomers Benefit from Beacon’s New India-Canada Remittance Solution

Toronto and Montréal-based FinTech startup Beacon has taken a bold step forward in the financial technology space with the introduction of its first product, Beacon Remit. This remittance tool is specifically designed to address the financial needs of newcomers from India, helping them seamlessly transfer money for their education, living expenses, and other essential needs as they settle in Canada. The startup, which emerged from stealth in May 2023, has even more ambitious plans in store: it aims to develop a comprehensive “super app” tailored to the financial needs of immigrants in Canada, a market underserved by traditional financial institutions.

Beacon Remit was launched to make the often complex and costly process of sending money from India to Canada significantly easier and more affordable. According to Beacon, the service is up to 50 percent cheaper than using traditional banks in India, thanks to its optimized exchange rates, which are designed to minimize the total cost of each transaction. The platform has also received approval from the Reserve Bank of India (RBI), India’s central bank and banking regulator, ensuring full compliance with regulatory standards. This adds a layer of security and trust for users, who may be hesitant about transferring money across borders.

In a statement about the launch, Aditya Mhatre, Beacon’s co-founder and chief product and technology officer, shared his personal motivation for developing the product. “I know firsthand how challenging it can be to transfer money from India into a Canadian bank account,” Mhatre said. “We created a solution that allows users to move their money from start to finish with just one app.” His experience as a former leader at Indian payments giant Paytm informed the design of Beacon’s user-friendly, efficient, and cost-effective service.

Beacon Remit is only the beginning for the startup. As Mhatre explained, “Our mission is to empower immigrants by removing the traditional barriers and complexities of international finance, and Remit is the first of many financial solutions we are bringing to market to serve Canadian newcomers.” This focus on inclusivity and innovation positions Beacon as a key player in the Canadian FinTech ecosystem, particularly for the growing number of immigrants and international students arriving from India.

Beacon’s journey began in 2023 when it was founded by Stuart Szabo, a former leader at Canada’s Public Sector Pension Investment Board, and Mhatre. Together, they have combined their expertise in financial services and digital payments to address the specific challenges faced by newcomers. The startup’s successful $5.25 million CAD seed funding round earlier this year further underscores the potential investors see in its vision. This capital has enabled Beacon to not only launch its remittance tool but also lay the groundwork for a broader range of financial products designed to empower immigrants in their journey to financial stability and success in Canada.

Beacon’s long-term goal is to build a “super app”that goes beyond just remittances. The app would eventually offer a wide variety of financial services, including savings, loans, insurance, and investment products, tailored specifically to the needs of immigrants. By creating a single platform that addresses multiple aspects of their financial lives, Beacon aims to reduce the complexity and fragmentation that often characterize the immigrant financial experience.

With over half a million international students and immigrants arriving in Canada each year—many from India—Beacon is well-positioned to fill a critical gap in the market. Traditional banks often overlook the unique financial challenges faced by newcomers, such as high fees for international transfers, limited access to credit, and difficulty navigating a foreign financial system. Beacon’s founders understand these pain points and are committed to providing solutions that make it easier for immigrants to succeed in their new country.

As Beacon continues to evolve, the company’s founders hope that their super app will become an essential tool for newcomers to Canada, streamlining their financial activities and providing them with greater control and peace of mind as they build their new lives.