Small Business Lender Biz2Credit Unveils SaaS Lending Platform for Banks
Online small business lender Biz2Credit had some big news to share this week, announcing the launch of a new software as a service (SaaS) offering for banks. Dubbed Biz2X, the platform will allow institutions to improve their online lending experience for small business users. What’s more, the Biz2Credit says such a solution has already been deployed by brands such as HSBC and Popular Bank — not to mention it’s similar to what the company itself has been developing and using since 2007.
Among the features Biz2Credit says Biz2X will offer are loan level pricing, risk analytics, cross-device compatibility, and more. Additionally the company boasts that the platform requires little to no IT work on the banks’ part. Of course the service will also leverage artificial intelligence and machine learning to help make lending decisions.
In a press release announcing the offering, Biz2Credit co-founder and CEO Rohit Arora said, “Biz2X is built on the same technology that has helped Biz2Credit become the premier digital lending platform for small businesses. Our clients get to use that expertise to automate their small business lending and improve their pricing and credit decisions.” Looking closer at the tech behind the platform, the company’s CTO Vineet Tyagi explained, “Biz2X is designed on a microservices architecture that allows it to connect seamlessly into other tools across the whole technology ecosystem. The platform is also SOC-2 certified, which means it has passed the industry’s highest level of security testing.”
This move on the part of Biz2Credit is actually remarkably similar to one made by another small business lender some months ago. Back in October OnDeck announced it was creating a spinoff company known as ODX that would offer a SaaS product to help banks process small business loan applications. In February it was revealed that the company planned to expand ODX, with OnDeck CEO Noah Breslow saying at the time, “Most large banks now realize they must digitize their lending processes to remain competitive. Some will build and some may buy and others will partner in that transformation process, and we want to be the partner of choice for those banks.”
As Biz2Credit has chronicled on their lending index, small business loan approval rates at big banks have been on the rise for months. With the introduction of online platforms like ODX and now Biz2X making it easier for institutions to process applications and make lending decisions, there’s a good chance that such figures will only continue to rise. That’s great news for small business owners who may be seeking working capital to expand as the U.S. economy continues to chug along.