SimplyFi’s P2P-platform has begun issuing instant loans for small businesses through the internet
The online process will allow small companies to receive unsecured loans up to 300,000 roubles within two hours
Moscow, 13 December 2017 – SimplyFi LLC, a hi-tech Russian company belonging to the SimpleFinance Group, has announced the launch of the programme of unsecured express loans for businesses after developing a P2P-lending platform for small and medium-sized businesses.
SimplyFi’s new product gives any Russian company the opportunity to apply and receive loans up to 300,000 roubles from private investors completely remotely through a fully-electronic application process, transferred to any bank account. The product aims to meet current demands of small businesses such as replenishment of working capital and the closing of cash deficiencies. Through a scoring system developed on the basis of technological analysis of big data, decisions on applications are made automatically within two hours. At the same time, a deposit or IOU is not required to receive loans, the company will only need tax ID and a statement of turnover in the settlement account. SimplyFi provides a 100 percent guarantee for the raising of funds once an application is placed on the market.
SimplyFi is a hi-tech service, which minimises manual processing, lowers the cost of issuing loans and increases the speed of consideration of applications. When registering a borrower, the software checks all the known information about the company and automatically takes the decision about the opportunity for every company to make an application for a loan, based on information from big data.
In order to create the algorithm, the company analysed thousands of active clients from the SME sector. The analysis was divided into 50 parameters which influence the financial situation of the business. Based on these parameters SimplyFi automatically assesses each company and assigns to it a credit rating. Furthermore, due to the introduction of new scoring technologies, the SimplyFi’s scoring system will improve with every new borrower, and the quality of the companies’ analysis will increase.
SimplyFi CEO Alexey Basenko said:
«Quick unsecured loans for small sums and for short periods for the urgent needs of small business, such as the replenishment of capital and the closing of cash gaps is one of the most highly demanded products, but at the same time one of the most inaccessible products on the market.
Experience has shown that in the present day the banking sector is not interested in lending small sums to SMEs for the short term due to the high cost of such services for banks, accordingly a large portion of the market remains unclaimed. Analysis of SimplyFi’s clients has shown that even businesses who have a good credit history find it very difficult to receive small loans in banks.
However thanks to the development of fintech and the sector of non-banking financial organisations, this market is beginning to develop with huge potential. Accordingly, SimplyFi is aimed at a phased increase in the maximum amount of loans beginning from 2018.»
An additional impetus to the development of the p2p-lending SME market is the growing interest of private investors in high-yield investments in operating businesses, against the background of a reduction in interest rates of bank deposits. For investors, SimplyFi offers increased profitability, no commission, technological services and full access to the database of applications that have undergone reliable risk assessment. SimplyFi investors choose which project to invest in and how much.
SimplyFi LLC is part of the SimpleFinance group, which was founded in 2015 and offers a unique range of financial products for small and medium-sized businesses in Russia. Representatives from SimplyFi are part of the Central Bank’s working group, and participate in the creation and testing of regulatory mechanisms for Russia’s P2P platforms for the future.
SimplyFi’s product range also includes traditional unsecured loans up to 3 million roubles up to 36 months and loans for the implementation of state contracts for company who have signed contracts under the terms of Federal Laws 223 and 44. All projects placed on the platform are financed by third-party investors and SimplyFi partners. At the present SimplyFi has links to more than 500 private investors and several microfinance institutions.