AI Case Study
FSB saves loan application time for b2b lending using algorithms to match borrowers with lenders
The FSB fundraising platform was developed to match borrowers with potential lenders based on information inputted by the borrowers regarding their business and loan expectations. Lenders are sent anonymous borrow information and then register their interest, with the available options then borrowers are provided a list of potential lenders to choose from.
Peer2Peer Finance News reports that the "Federation of Small Businesses (FSB) has launched a new business finance aggregator that uses Artificial Intelligence (AI) to match potential borrowers with more than 100 lenders. The new platform has been developed for the FSB by Finpoint and is regulated by the Financial Conduct Authority. The trade body unveiled the FSB Funding Platform on Wednesday, after it was trialled on FSB members in three UK regions. The new platform has been developed for the FSB by Finpoint and is regulated by the Financial Conduct Authority." Furthermore, "Ratesetter, Funding Circle and Assetz Capital are some of the peer-to-peer lenders that have been included on the Federation of Small Businesses’ (FSB) new business funding platform. The FSB Funding Platform matches potential borrowers with more than 100 lenders through the use of Artificial Intelligence (AI). Potential borrowers using the platform enter information on their company, how much they want to borrow, and what the loan is intended for. This is released to lenders on an anonymised basis and the borrower can than decide which of the interested lenders they want to speak to."
FSB claims: "Substantial time saving through the use of a single application and our ‘matching’ technology."
From Peer2Peer Finance News: "Access to finance is crucial for the growth of the small business sector, which accounts for an annual turnover of £1.9trn a year, according to the FSB. This equates to 51 per cent of all private sector turnover in the UK. The pilot of the FSB Funding Platform found that the average amount of finance a small business applies for from an alternative finance provider is £39,000 – half the amount sought from high street banks."
User inputted loan information