Funding Xchange and Experian have launched a new online portal for businesses to check eligibility for different types of finance during the pandemic.
The new service instantly assesses funding applications from businesses and informs them of which loans they meet the lending criteria. It covers both the government-backed coronavirus business interruption loan scheme (CBILS) and other types of loans.
Once a business has chosen a loan, it digitally completes the application process for them.
Businesses can use the service to find out if they are eligible for funding from their own bank, or more than 40 other lenders who are offering finance.
Business finance aggregator Funding Xchange and credit reference agency Experian say that the new service will speed up the decision-making process for loan applications by reducing and managing the operational challenges that banks and lenders are facing.
“We are delighted to be working with Experian to provide a solution to alleviate the pressure on banks and help small businesses get the funding they need at this critical time,” said Katrin Herrling (pictured), co-founder and chief executive of Funding Xchange.
The new portal uses Experian’s data gathering tool Commercial Acumen to help businesses gather and submit transactional data, while Funding Xchange’s marketplace capability instantly assesses eligibility for available solutions and surfaces indicative offers.
“Businesses have no time to lose in getting the funding they need to keep their company afloat,” said James McGarva, Managing Director of Business Information Services at Experian.
“The Covid-19 pandemic has spiked demand for finance at a time when banks have been forced to close their doors and many staff are unable to work. We’ve worked with Funding Xchange to connect businesses in need of finance with the lenders who can help them through this crisis.”
Some banks have experienced a 40-fold increase in the number of enquiries at a time when staffing levels have been affected by the pandemic and branches are closed, which has left them with a backlog of funding queries, the announcement said.
The British Business Bank has been fast-tracking the accreditation process to get more lenders on board to deliver CBILS, which provides small firms with government-backed loans to help them survive during the pandemic.
Funding Circle became the first peer-to-peer lender to be accredited for the scheme last week.
Other P2P lenders such as Assetz Capital and JustUs are still waiting on their applications.