Just like the tree for which it is named, nCino is showing rapid growth during its seedling stage.
The banking software provider, a 2012 spin off from Live Oak Bank whose name plays on the Spanish word for live oak, announced this week that 2014 was a year of record growth in revenue, customer acquisition and number of employees. During the year, nCino saw its revenue increase 206 percent from the previous calendar year.
“Entering into 2015, nCino has grown its customer portfolio to 81 financial institutions. This compares to 36 customers at year end 2013,” the company said in a news release, which added that more than $10 billion in loans was processed using nCino software.
New clients of nCino’s cloud-based Bank Operating System expanded the company’s geographic scope, with the greatest growth in California as well as the Midwest, according to the release.
nCino has also added larger institutions to its client portfolio, it reported. In 2013, the company’s largest bank client was just over $3 billion in assets, but in 2014 the company signed three banks with assets of more than $68 billion, “further demonstrating the scalability, security and flexibility of the Bank Operating System for banks and credit unions of all asset sizes,” the release stated.
Company officials attribute an $11 million outside investment in nCino in the first quarter of 2014 to the company’s new product development and success in getting those products into the marketplace, according to the release. That investment, in turn, enabled development of nCino Lite, a form of the company’s Bank Operating System that allows financial institutions to broaden use of the platform by giving read-only access to users not normally involved in lending, but valuable to the referral process, officials said in the release.
To keep up with growth in 2014, nCino increased its staff, reaching the 100 employee milestone by year’s end, according to the release.
nCino CEO Pierre Naudé said in a telephone interview Tuesday that his company will continue growing on all fronts in 2015.
“We plan to hire 50 to 75 more people this year as implementation consultants, programmers and product managers,” he said, adding that as the young company outgrows its current headquarters on Iron Gate Drive, additional employees will be located in the top floor of the Live Oak Bank facility on Tiburon Drive.
The company also plans to branch out in several ways, Naudé said. Having established itself among community banks and credit unions, nCino will begin marketing products to commercial banks and will expand into treasury management, small business banking “and eventually, into consumer banking,” he said.
At the same time, nCino will also roll out new software systems designed to help banks with issues of governance, risk and compliance, Naudé added.
Quoted in the news release, Naudé said, “I am very proud of nCino’s accomplishments in 2014 and even more proud of the results our customers are seeing from the system ... There are exciting partnerships before us, large implementations on the horizon and significant innovations planned. This year, I believe the financial services industry will fully realize the nCino Bank Operating System gives institutions and their employees a single tool to become more profitable, efficient, secure and compliant.”