Money Forward

Basic Information

Stock Code
3994
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
May 2012
Listing Year
September 2017
Official Website
https://corp.moneyforward.com/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
SHIFT, Proship, eBASE, Avantage Group, Sansan, freee, Oracle Japan, Obic Business Consultants, Human Technologies, PCA, TKC, Miroku Information Service

Overview

Money Forward is a Japanese information and communications company established in 2012, providing advanced fintech services such as financial cloud services for individuals and corporations.

Current Situation

For the fiscal year ending November 2023, consolidated sales were approximately 30.4 billion yen, but operating and net profits were in the red, with improving profitability as a challenge. Main services include SaaS platforms for cloud accounting and asset management, holding a high market share domestically. Paid-in capital is approximately 26.7 billion yen, with 2,130 employees, strengthening its organizational structure. In recent years, it has focused on expanding its fintech platform, actively pursuing external partnerships such as establishing a joint venture with Sumitomo Mitsui FG. It is also promoting sustainability initiatives and regional revitalization projects, aiming for mid- to long-term growth. To differentiate from competitors, it is working on innovative service development and customer base expansion. It also operates economic media to increase awareness.

Trivia

Interesting Facts

  • Founder Yosuke Tsuji is known as a pioneer in fintech
  • Money Forward ME saw a surge in users following TV program broadcasts
  • Operates unique fintech platform in collaboration with multiple financial institutions
  • Provides tax return services for rental properties through partnership with Leopalace21
  • Through subsidiaries, covers a wide range from invoicing to guarantee services
  • Actively disseminates information via official SNS to strengthen user engagement
  • Strengthens cyber risk management as a member of Japan Security Audit Association
  • Remarkable growth through rapid release of numerous cloud services in short periods
  • Established Money Forward Fintech Research Institute for proprietary advanced technology development
  • Promoting IT dissemination for regional revitalization to support local SMEs
  • Strengthened governance framework upon transition to Tokyo Stock Exchange Prime Market
  • Deepens collaboration with startups through Entrepreneurs Fund
  • Discontinued 'Shiratama' app after a few years and achieved service integration
  • Established overseas subsidiaries in Vietnam, etc., with multilingual support for international expansion
  • Focuses on one-stop corporate SaaS for accounting, invoicing, payroll, etc.

Hidden Connections

  • Expands influence in the financial industry through joint venture with Sumitomo Mitsui FG
  • Numerous regional banks participate in the platform for financial institutions
  • Subsidiary Money Forward Financial serves as key base for payment business
  • Economic media MONEY PLUS is one of the main sources for fintech information
  • Conducting multiple joint research projects with tech startups from University of Tokyo
  • Adopted by numerous listed companies and startups
  • Achieves data integration through proprietary household ledger server and financial API linkages
  • Regional revitalization program is jointly promoted with regional banks and local governments

Future Outlook

Growth Drivers

  • Expansion of cloud demand for SMEs through DX promotion
  • Service expansion in payments and lending through strengthened financial institution collaborations
  • Response to sustainability and enhancement of social credibility
  • Incorporation of new fintech technologies and creation of innovative services
  • Growth in services for startups and new businesses
  • Increasing demand for region-specific services accompanying regional revitalization
  • Flexible platform strategy responding to diverse customer needs
  • Service sophistication through AI and big data utilization
  • Gradual entry into overseas markets and international business development
  • Maintenance and strengthening of solid customer base and brand loyalty
  • Upsell growth through cloud service expansions
  • New opportunities from digitalization of intercompany payment markets

Strategic Goals

  • Achieve over 50 billion yen in sales with 15%+ annual growth rate
  • Maintain top domestic market share in cloud accounting and fintech services
  • Establish and expand business operations framework considering sustainability
  • Strengthen service rollout to overseas markets (centered on Asia)
  • Achieve over 100 API integration partners for Fintech Platform
  • Expand IT services market for local governments and regional companies through DX promotion
  • Form ecosystems and contribute to growth through startup support
  • Continue annual investments over 5 billion yen in new service development
  • Sophisticate and differentiate services using cutting-edge technologies
  • Maintain robust governance framework and sound financial base

Business Segments

Cloud Accounting Services for SMEs

Overview
Offers comprehensive cloud services for accounting and finance for SMEs and sole proprietors.
Competitiveness
High usability and comprehensive industry-specific functions
Customers
  • Small and medium-sized enterprises
  • Sole proprietors
  • Accounting firms
  • Tax accountant corporations
  • Accounting staff
Products
  • Cloud Accounting
  • Cloud Invoicing
  • Cloud Payroll
  • Cloud Attendance
  • Cloud Expenses
  • Cloud Accounts Payable
  • Cloud Accounts Receivable

Financial Platform for Financial Institutions

Overview
Provides fintech platforms to support DX initiatives for financial institutions.
Competitiveness
Abundant APIs and robust security measures
Customers
  • Banks
  • Credit unions
  • Non-banks
  • Credit card companies
Products
  • Fintech Platform
  • API Integration Services
  • Online Lending Services

Business Efficiency Solutions for Corporations

Overview
Provides cloud solutions to promote business efficiency and information management for companies.
Competitiveness
Operational efficiency improvement through multifunctional integrated systems
Customers
  • Accounting and sales departments of large companies
  • IT service companies
  • BPO providers
Products
  • Cloud Contract Management
  • Cloud ERP
  • IT Management Cloud
  • BizAccel

Startup and New Business Support Services

Overview
Offers funding and accounting services for startup support.
Competitiveness
Flexible solutions tailored to the industry
Customers
  • Startup companies
  • Venture capital firms
  • Venture support organizations
Products
  • Invoice Card Payment for Startups
  • Venture Capital Collaboration Services

Regional Revitalization and Local Government Services

Overview
Provides IT services for regional revitalization to support local DX.
Competitiveness
Strong proposal capabilities and collaborative frameworks rooted in regions
Customers
  • Local governments
  • Regional chambers of commerce
  • Regional banks
Products
  • Cloud Regional Revitalization Project
  • Mikatano Works

HR and Labor Management Systems

Overview
Provides cloud services for payroll, attendance management, year-end adjustments, and other HR and labor tasks.
Competitiveness
Ease of use and prompt compliance with laws and regulations
Customers
  • Corporate HR departments
  • Labor management staff
  • Social insurance labor consultant offices
Products
  • Cloud Attendance
  • Cloud Payroll
  • Cloud Year-End Adjustment
  • Cloud Social Insurance
  • Cloud HR Management

IT Asset and Security Management Services

Overview
Offers cloud services to support corporate IT asset management and personal information protection.
Competitiveness
High security standards and simple operations
Customers
  • IT administrators
  • Information systems departments
  • Small and medium-sized enterprises
Products
  • IT Management Cloud
  • Cloud My Number

Intercompany Payment and Guarantee Services

Overview
Provides services to support intercompany receivables guarantees and payment operations.
Competitiveness
Integration of credit management and digitalization
Customers
  • Small and medium-sized enterprises
  • B2B companies
  • Guarantee companies
Products
  • MF KESSAI (Intercompany Payments)
  • Money Forward Guarantee

Education and Training Business

Overview
Promotes IT utilization in accounting and tax processing through education and training services.
Competitiveness
Practical content tailored to real-world needs
Customers
  • Accounting firms
  • Corporate accounting staff
  • Tax accountants and certified public accountants
Products
  • Cloud Tax Return Guide
  • Tax Training Programs

Overseas Expansion Support Services

Overview
Supports accounting and finance for companies expanding globally.
Competitiveness
Flexible multilingual and multicurrency support
Customers
  • Overseas subsidiaries of Japanese companies
  • Foreign companies
  • Local accounting firms
Products
  • Multilingual Accounting Cloud
  • Overseas Payment Support

Venture Fund and Investment-Related Services

Overview
Operates startup support funds and handles investment management.
Competitiveness
Strong network with entrepreneurs
Customers
  • Venture companies
  • Fund managers
  • Investors
Products
  • Entrepreneurs Fund (HIRAC FUND)
  • Venture Investment Management

Media and Information Distribution Services

Overview
Operates financial information media and generates advertising revenue.
Competitiveness
High-expertise content and broad audience reach
Customers
  • Individual consumers
  • Advertisers
  • Media partners
Products
  • MONEY PLUS
  • News and Economic Information Distribution

Competitive Advantage

Strengths

  • High brand recognition and customer base
  • Comprehensive cloud service lineup
  • Strong partnerships with financial institutions
  • Advanced utilization of fintech technology
  • Flexibility to accommodate diverse industries
  • Active market development and collaborations
  • Stable operations backed by ample funding
  • Excellent user interface
  • Rapid service improvements and delivery
  • Broad service integration ecosystem
  • High-function services specialized in core business
  • Advanced security framework
  • Cutting-edge API platform
  • Prompt response to diverse customer needs
  • Transparent and detailed management information disclosure

Competitive Advantages

  • Possesses integrated cloud service suite catering to a wide range of individual and corporate customers
  • Built a network for payment and lending services in collaboration with financial institutions
  • Able to continuously innovate technology and expand services through abundant capital and investments
  • Promotes development collaboration with external companies via API-centric platform strategy
  • Expands customer base and gains trust through operation of specialized economic media
  • Creates business synergies through partnerships across multiple industries
  • Establishes superior user experience design and customer support systems
  • Maintains and strengthens competitiveness through development of industry-specific functions
  • Establishes position as top provider of accounting and financial software in Japan
  • Achieves business diversification and growth strategies through multiple subsidiaries
  • 开拓 new markets through active utilization of cutting-edge fintech technology
  • High-quality information security management and compliance framework
  • Flexible deployment options to accommodate various company sizes
  • International strategy targeting expansion into European markets, etc.
  • Enhances corporate value through business operations considering sustainability

Threats

  • Intensifying price competition from competitors
  • Slowing domestic market growth and population decline impact
  • Risk of failing to keep pace with rapid technological changes
  • Emergence of personal data protection or security issues
  • Potential business constraints from strengthened regulations
  • Market share dispersion due to new entrants
  • Competitive pressure from rise of global competitors
  • Reduction in corporate IT investments during economic downturns
  • System failure risks from cloud service dependency
  • Possibility of failing to adapt to changing customer needs
  • Challenges with local laws and culture during overseas expansion
  • Cost burdens from increasing sustainability demands

Innovations

2024: Money Forward Account Payment Service Launch

Overview
Newly released corporate account payment guarantee and settlement service, improving transaction safety and convenience.
Impact
Contributes to expansion of trading partners and sales growth

2024: Money Forward Care Service Launch

Overview
Launched cloud services for regional medical and nursing care sectors, opening up new markets.
Impact
Promotes diversification and customer segment expansion

2023: Money Forward Invoice Card Payment for Startups Launch

Overview
Rolled out new service to streamline card payment invoicing for startups.
Impact
Expands support among startups and increases brand recognition

2022: Money Forward Cloud Invoice Release

Overview
Launched cloud invoicing management service compliant with invoice system, supporting regulatory changes.
Impact
Supports customer regulatory compliance and boosts market share

2021: Money Forward Fintech Platform Release

Overview
Newly built platform with enhanced API integration for financial institutions.
Impact
Strengthens collaboration with financial partners and service expansion

2020: Money Forward Cloud ERP Announcement

Overview
Announced integrated ERP cloud service for mid-sized companies to expand business.
Impact
Successfully acquired new customer segments

2020: Entrepreneurs Fund 'HIRAC FUND' Operations Start

Overview
Launched fund for startup support and began investment activities.
Impact
Supports innovation creation and future revenue expansion

2021: Biz Forward Joint Venture Establishment

Overview
Established joint venture with Mitsubishi UFJ Bank to strengthen financial solutions.
Impact
Enhances market competitiveness through deepened financial institution collaboration

Sustainability

  • Promoting regional community support through regional revitalization projects
  • CO2 reduction through business efficiency using cloud services
  • Fostering corporate culture promoting women's empowerment and diversity
  • Strengthening customer trust through advanced information security framework
  • Maintaining and enhancing sound corporate governance
  • Promoting employment of people with disabilities and regional volunteer participation
  • Expanding use of environmentally friendly data centers
  • Strengthening environmental and social considerations in supply chains
  • Resource reduction through paperless initiatives
  • Promoting understanding of sustainable management through internal education programs
  • Expanding IT services to regional medical and welfare sectors
  • Developing childcare support systems and promoting flexible working arrangements