Never before have the times been more volatile and dynamic as now. Recession coupled with regulatory pressures, financial reforms, and the recent global pandemic has not made anything easier for the legacy lending industry. As a result, the lending industry faces several challenges while approving and disbursing loans. Cultural Shift: Traditional lending institutions work through […]
What is a Line of Credit (LOC) and Why Is It Ideal for MSMEs?
For years, businesses have used credit lines to cover working capital requirements and take advantage of the prevailing investment possibilities. Line of Credit is adaptable, attempting to address a few issues of traditional MSME credit solutions. The credit requirements of MSMEs (e.g., retail businesses, merchants, and wholesalers) reflect the unpredictable business setting in which they […]
8 Benefits of Cloud-based Loan Origination and Loan Management System
In today’s commercial lending market, cloud-based solutions are increasingly serving loan origination and loan management requirements, shifting from manual operations to cloud automation built on the premise of easy access, scalability, and speed. As financiers signal their increased appetite for consumer lending, it is important to speed up digitisation and cater to the newer generation […]
The Future of SME Digital Lending Beyond COVID-19 Relief Phase
The COVID-19 pandemic has disrupted the growing world of small and medium-sized enterprises (SMEs). As with so much else in the downturn, the rules for the lending industry supporting these businesses need to be re-written. SME lending is a vital form of external finance to sustain small businesses and meet their cash flow and investment […]
Asset Based Vs. Cash Flow Lending: Understanding Differences
Access to credit is essential for business continuity and growth—especially for small and mid-sized enterprises navigating cash flow gaps or funding expansion. Short-term financing solutions such as cash flow lending offer a lifeline during uncertain periods and enable long-term progress when applied strategically. Today’s most widely used lending models are cash flow loans and asset-based […]
Is Cash Flow Lending the New Opportunity for SMEs?
The term ‘cash flow’ refers to the movement of money in and out of businesses. All the enterprises rely heavily on borrowed money from other commodities to actively function daily. Businesses derive the amount from their revenues as well as take it as loan from banks or other acquisitions. While applying for loans, the enterprises […]