In a bid to provide access to funding for SMEs in the current economic climate, Xero, Bridgement, Retail Capital and LulaLend have announced a partnership.
Together these four entities hope to give SMEs access to additional funding in an efficient way.
“We want to help South Africa’s small businesses thrive by removing the friction involved in accessing funds,” general country manager for Xero South Africa, Colin Timmis said in a statement.
“A lack of capital is one of the biggest challenges impeding small business growth in this country so by integrating the latest business finance apps with Xero, SMEs will have better accounting data, which can help them access capital,” he adds.
Using Xero’s platform, SMEs will be able to contact lenders who will be able to see the financials of the applicant immediately.
Each of the partners brings its own flair to the solution.
Bridgement provides short term-financing solutions to SMEs. Its key driver is speed which differentiates it from entities such as banks.
Retail Capital has been helping SMEs acquire funding since 2011 and Lulalend is a digital business helping SMEs grow their business while also assessing their credit risk.
“Banks have made gaining access to funding a very tedious process where we offer SMEs with speedy, convenient access to funding,” managing director at Retail Capital, Miguel Da Silva said.
The MD says that this collaboration with Xero, Bridgement and Lulalend is already looking good.
“Already, access to the Xero API has enabled Retail Capital to view customer information easily, resulting in real-time decision-making on the approval process. It alleviates much of the time pressure when it comes to determining the eligibility of a small business for funding,” concludes Da Silva.
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