SME Lending: The Road to Real-Time Approvals

SMEs are known as the foundation of the economy. They drive growth, build competition, and create jobs, but they’re also at the back of the line when it comes to getting fast access to credit. For the most part, securing business loans from traditional financial institutions is a slow and arduous process. It’s paperwork heavy, progresses at snail speed, and often results in low approval rates. Why? Because lenders find it difficult and expensive to assess a business’ default risk without human intervention.

If we were to compare SME lending to a car, it would be a stretch limo from the 80s, still chugging along and capable of hitting 60 mph in just over 60 seconds… if you’re lucky. Hardly what you’d call life in the fast lane.

But it wouldn’t be fair to put the blame on lenders. It’s hard to win the speed race when you’re navigating a notoriously difficult track in a vintage ‘lending’ vehicle. Especially when that car was built to carry consumers, not businesses, corners like a city bus, and still needs to follow strict rules (i.e. risk tolerances) of the road.