PAYMENT SOLUTIONS
Expanding the lending ecosystem for banks and fintechs An increased number of lenders are integrating their banking systems with their borrowers ’ enterprise resource planning and customer relationship management ( CRM ) systems to obtain direct access to management accounts , cash movement , and spending patterns . Some experts predict this trend could increase collaboration between banks and data aggregators , third-party processors , technology companies , and fintechs , thus aiding the wider ecosystem .
Duffy says , " There will be more collaboration with alternative finance providers and incumbents to widen the pool of capital that is available to customers . Last year we signed a major deal with Virgin Bank to do just that – something we never thought possible . But working together makes sense . We are offering flexible and efficient working capital solutions to help businesses manage their immediate cash flow . This is achieved by paying the individual invoices of companies upfront and providing bad debt protection against their debtors , thereby freeing up capital that is tied up in paperwork .”
But Mike Coates founder of Commercial Expert Ltd , says despite all the changes , lending is a less stressful process for all concerned . “ The space is now easier for customers , there is more choice , more innovation , wider criteria from more lenders and faster . Sourcing a deal still remains the same and requires skill and advice , but the choice for customers is enormous and rates are very competitive with lenders wanting more and more market share .”
He adds , “ Criteria is in constant flux and customers are benefiting from a speedier and more diverse offering . However the legal completion process is broken and sluggish , and is taking longer than ever before .”
“There will be more collaboration with alternative finance providers and incumbents to widen the pool of capital that is available to customers ”
IAN DUFFY CEO , ACCELERATED PAYMENTS
88 April 2022