Business Requirements Document (BRD): Drop — Fintech Payment App

Business Requirements Document (BRD): Drop — Fintech Payment App

Project: Drop — Remittance + QR Payments Version: 1.0 Date: 2026-02-08 (updated 2026-02-23) Author: John (AI Director) + product agent + finance agent + legal agent Status: Approved Reviewers: Alem Bašić (CEO)

Document History

1. Executive Summary

Project Overview: Drop is a PSD2 pass-through fintech payment app for all residents in Norway/Scandinavia, built by ALAI Holding AS (org.nr 932 516 136). It offers two core services: international remittance at 0.5% fee and QR-based merchant payments at 1% fee, both executed via Open Banking (AISP/PISP) directly from users' Norwegian bank accounts — Drop never holds customer money.

Business Problem: Residents of Norway are systematically overcharged for international money transfers (5-10% fees) and local merchants pay excessive payment processing fees to Vipps (1.75-2.75%), with no single app combining both needs affordably.

Proposed Solution: A BankID-native mobile payment app leveraging PSD2 Open Banking to initiate payments directly from users' bank accounts — eliminating the need for wallets, top-ups, or money holding — at fees 10-20x lower than existing remittance providers.

Expected Outcomes:

• 3,000 users and 200 merchants by Month 12 post-launch
• 130,000 NOK Monthly Recurring Revenue by Month 12
• ALAI Holding AS generates sustainable product revenue independent of consulting
• Drop becomes the default remittance + QR payment tool in Norwegian immigrant communities

Investment: ~250,000 NOK | Timeline: ~20 weeks (Phases 0.5–3) | Priority: High

2. Business Objectives & Goals

Alignment to Strategic Goals:

• ALAI product revenue: Drop is ALAI's first internal SaaS product, reducing dependence on consulting revenue
• Innovasjon Norge grant: Drop is the flagship product for the 150K NOK Oppstartstilskudd application

3. Current State Analysis (AS-IS)

3.1 Current Process Overview

Norwegian residents who need to send money internationally currently use Western Union, MoneyGram, or Wise. Each requires account setup, separate registration, and charges significantly higher fees. For local payments, Vipps dominates — but charges merchants 1.75-2.75% per transaction. No single app serves both needs.

3.2 AS-IS Process Flow (Remittance)

flowchart LR
    A([User needs to send money abroad]) --> B[Open Western Union / Wise app]
    B --> C[Register / log in]
    C --> D[Enter recipient details + bank account]
    D --> E[Enter amount]
    E --> F{Fee check — 5-10%}
    F -->|Accept| G[Pay with card / bank transfer]
    F -->|Too expensive| H[Try alternative — multiple apps]
    G --> I[Money transfers in 1-3 business days]
    H --> B
    I --> J([Recipient receives funds])

3.3 Current Systems & Tools

3.4 Current State Pain Points

3.5 Current State Metrics (Baseline)

4. Future State Vision (TO-BE)

4.1 Future State Description

A resident of Norway opens Drop, verifies via BankID once, links their Norwegian bank account, and can immediately send money to Serbia, Pakistan, or Poland at 0.5% — directly from their bank account. No top-up, no wallet, no holding period. The recipient gets cash or bank transfer within 1-2 business days. Later, the same user walks into a local kebab shop, scans the Drop QR code at the counter, and pays 129 NOK — faster than tapping a card, with the shop paying just 1.29 NOK in fees.

4.2 TO-BE Process Flow (Remittance)

flowchart LR
    A([User opens Drop]) --> B[BankID verification — once]
    B --> C[Select: Send Money]
    C --> D[Choose country + recipient]
    D --> E[Enter amount — see fee 0.5%]
    E --> F[Confirm — PISP initiates from bank]
    F --> G[Drop backend processes via BaaS]
    G --> H[Recipient bank/cash pickup]
    H --> I([Recipient receives in 1-2 days])

4.3 Key Improvements

5. Market Analysis & Competitive Landscape

5.1 Market Context

Norway has ~1,000,000 immigrants (SSB 2025) who send 5.7 billion NOK abroad annually via remittance. Additionally, ~195,000 SMEs in Norway accept payments — predominantly via Vipps. The PSD2 Open Banking regulation enables new entrants to initiate payments directly from customer bank accounts (PISP) and read account data (AISP) without holding funds — enabling Drop's pass-through model.

5.2 Competitive Analysis

5.3 Positioning

Unique Value Proposition: Drop is the only app in Norway combining remittance (0.5% fee) + QR merchant payments (1% fee), BankID-native, pass-through — money stays in your bank. Target Market: All residents in Norway/Scandinavia who send money abroad or pay at local businesses Differentiators: Only app doing both remittance + QR; PSD2 pass-through (no wallet); BankID-native; community trust

6. Stakeholder Needs Analysis

7. Business Requirements

8. Success Metrics & KPIs

9. Business Rules & Constraints

9.1 Business Rules

9.2 Regulatory & Compliance Requirements

9.3 Technical Constraints

• Must use Norwegian BankID for SCA (locks initial market to Norway)
• Must use PSD2 Open Banking (AISP/PISP) — no wallet/balance storage
• Must run on Vercel (landing) + Fly.io or equivalent (backend) — EEA data residency
• Database must migrate from SQLite to PostgreSQL at 200+ concurrent users
• All API endpoints must be rate-limited and CSRF-protected before production

10. Assumptions & Dependencies

10.1 Assumptions

10.2 Dependencies

11. ROI Analysis

11.1 Investment Summary

11.2 Benefit Projections

11.3 ROI Summary

12. Implementation Roadmap

13. Risk Assessment

Full technical risk register: [../PROJECT-GOVERNANCE/risk-register.md](../PROJECT-GOVERNANCE/risk-register.md)

Approval