Small and medium-sized Enterprises in Australia can look forward to securing business loans faster and easier, as Ferratum Oyj, an international provider of mobile banking and digital lending services, launches Ferratum Business in Australia.
Ferratum Business, the company’s small-to-medium enterprise (“SME”) lending division, can approve SME business loans faster and has a track record of higher approval ratios than traditional banks, thanks to its unique combination of a proprietary credit assessment technology and highly trained lending specialists. Loans are approved without collateral requirements, interviews or paperwork. On average, a business loan application with Ferratum takes five minutes and the funds are ready to be delivered to the applicant‘s bank account in one business day. In Australia, Ferratum Business offers SME customers loans of up to A$150,000 for up to 18 months.
According to National Australia Bank reports of 2017, small to medium enterprises (SMEs) contribute 57% to Australia’s GDP. One in 10 SMEs are actively growing their businesses, while nearly half (45%) aim to expand within the next 3 years. Overall, the SME market represents nearly 70% of all employment according to the Australian Bureau of Statistics. Australia’s small business environment is a fertile ground for growth, which in turn creates strong demand for new sources of financing.
Currently, SMEs are not in a position to negotiate with conventional banks for improved access or better loan pricing, which creates a tangible need for alternative lenders in Australia; unsurprisingly, the market is growing steadily.
Scott Donnelly, Director of Ferratum Business Lending, commented:
“ With many SMEs in Australia neglected by conventional banks due to lengthy processes and harsh collateral requirements, at Ferratum Business we appreciate that time is of the essence and digitalization is a crucial part of the solution. We understand that the financing needs of SME businesses are dynamic and fast-moving, and thanks to our proprietary credit assessment algorithms, Ferratum can move at the speed of business. Our SME loan application process takes only minutes to complete and our lending decision can be made the same day, making it easy for SMEs to get the growth capital they need, when they need it.“
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