Small and micro businesses will be able to source fast funding similar to a buy now pay later solution thanks to Banjo Supply, a new digital loan launched today by Banjo Loans and InfraRisk.
The new loan product has been jointly developed by Banjo Loans, a leading fintech lender to SMEs and InfraRisk, a digital lending solutions specialist. Banjo Supply applies world’s best practice in automation, use of alternative, previously inaccessible data and AI driven risk models, to match the borrower’s immediate needs. Algorithms analyse daily financial data, to allow ongoing learning, innovation and a continually improved customer experience.
“Point-of-sale (POS) providers and industry participants have told us Banjo Supply is exactly the kind of short-term unsecured loan product that small and micro SME clients are crying out for,” said Guy Callaghan, CEO of Banjo Loans.
Banjo Supply loans can be funded within minutes and start from $5000. They are designed for small and micro businesses that need short-term working capital to:
• pay suppliers now
• batch up payments to multiple creditors
• potentially negotiate supplier discounts.
“This short-term unsecured loan will typically help small businesses who need to buy bulk product, or pay suppliers on delivery, but don’t have the cash in the bank right now,” explains Guy Callaghan.
“For example, a restaurant or small hotel could be preparing for a holiday weekend or big function, and wants to buy extra supplies. They can take out a Banjo Supply loan and pay for the bulk supplies up front, which could also attract a discount from the supplier. Once they offset the supplier discount against the interest on the short-term loan, they’re still ahead.”
Experienced business lender Banjo Loans has until now focused on companies with turnover $500k – $50m.
“Having provided thousands of loans to larger Australian SMEs over the past 6 years, we’re excited to enter the micro and small business sector with a product that’s designed to help them get back on their feet, and bolster the recovery of the Australian economy,” says Callaghan.
“We’re initially focusing on the hospitality and retail sectors, which have been hit hard by the outbreak of COVID-19 and in desperate need of working capital.”
Demonstrating its speed and simplicity for the borrower, the new Banjo Supply digital application form:
• fits on a single page
• takes less than 5 minutes to complete
• achieves funding in near real-time via the fast payment network.
The platform is already integrated with a number of data partners including ZiiCloud a hospitality and retail specialist, tapping into Point-of-Sale data, transaction data and taxation data, with customer consent. Banjo and InfraRisk expect to expand the data coverage reach extensively over the coming months.
Nicholas Davies, chief executive officer of InfraRisk, said, “InfraRisk’s customizable and modular digital lending solution, powered by big data analytics and AI technologies, enables a highly automated lending process that delivers the world’s best operational efficiency. The complete functionality is also readily replicable and transferrable with high efficiency and effectiveness.”
“Our go-to-market approach to this business sector is to target select proven industry verticals that are rich in alternative data. We want to provide a tailored lending product directly into their daily workflow and financial ecosystem.”
Small businesses have been one of the main driving forces of Australian economic development. Official data released by the Australian government shows the country’s SMEs create 44 per cent of jobs and contribute to 35 per cent of its domestic GDP. Research by East & Partners found out that the unmet credit demand among Australian SMEs had reached AUD$118.4 billion (USD$91.5 billion) by the end of 2019.
Gillian Tatt, PR consultant Banjo Loans, at 0413 593 568 or firstname.lastname@example.org
Tony Chan, InfraRisk PR, at 0411 193 932 or email@example.com