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More Robust and Real-Time Data: Essential Ingredient for Financial Institutions' Success

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The future of any financial institution depends on what quality of products and services it offers to its customers today. This quality is fueled by its underlying data. With accurate and real-time financial data properly accessed, lenders can create new and innovative solutions to meet and satisfy their customers’ unique needs - just like Netflix and Amazon do today. Because there are different sources of data and several data attributes can affect lending decisions, how can you make the most of the data? Merely collecting your customers’ data is not sufficient, you need to convert it into meaningful information. Fortunately, you can achieve that through data standardization and normalization. Today, FinTech innovators leverage ground-breaking technologies such as artificial intelligence and machine learning to provide lenders with the most robust and real-time financial data. You can access and use this data to serve your customers better and take your financial institution forward.
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Why Data is the New Gold in Digital Lending Era

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In this digital era, every financial institution is adopting digital solutions to stay ahead of the competition and meet customers’ new expectations. In this scenario, the COVID-19 outbreak has sped up digitization for the banking sector, leaving many financial institutions with only one possible way: leveraging the latest financial technology in their everyday operations. Undoubtedly, those financial institutions who adopt digitization, tend to thrive in this journey while those who don’t, get left behind. Though today many traditional banks and alternative lenders are transforming their business, they don’t know how to improve their digital interactions to streamline their operations and positively change their borrowers’ lives. So in a world where digitization is the only way to survive and where there is cut-throat competition, the key to market differentiation is data. Data is the new gold and can hugely benefit the financial and lending sectors. The Power of Data Data is
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How Open Accounting Can Help Lenders Offer Great Small Business Loans

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Small and medium-sized businesses play a vital role in the economic development of a country. They often require funds to successfully run their operations and take their venture to the next level. SMEs need funds for a variety of purposes in their businesses, from buying real estate to paying off debt, boosting cash flow, purchasing equipment, hiring employees, and covering day-to-day business expenses. What are the Challenges SMEs Face When Accessing Funds? SMEs face numerous challenges when accessing loans. First, the application process for SMEs is still a complex manual. Moreover, the paper-based processes and endless documentation requirements of traditional lenders make it difficult for SMEs to get the desired loans Because most small and medium-sized businesses have no or limited credit history, banks are usually reluctant to provide loans to them. How Open Accounting Can Help Financial Institutions Provider Greater Access to SME Lending? Since SMEs represent a major fu
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Everything You Need to Know About Personal Guarantee

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  When you apply for a traditional bank loan, a business line of credit, an SBA loan, or some other secured small business loan, you may have to pledge an asset as collateral to secure the funding. In fact, many lenders will require you to sign a personal guarantee if your business lacks a perfect credit history. Though in the absence of a perfect credit score, good annual revenue, and a positive cash flow, a personal guarantee may increase your chances of obtaining a loan, you shouldn't race into marking it without first agreeing on what it involves. In this post, we’ll explain what is a personal guarantee and share some of the important things you need to know about it. What’s a Personal Guarantee? A personal guarantee refers to a small business owners’ legal promise to repay the borrowed funds with its personal assets if he/she defaults on the loan. The personal guarantee can be secured or unsecured, meaning you may or may not require to pledge an asset as part of the gu
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Top Challenges Financial Advisors Are Facing Today and How to Overcome Them

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Today, financial advisors have to face many challenges from environmental change to volatile markets, new regulations, evolving technology, economic turndown, and a lot more. Moreover, they play a more significant role today than ever before to better manage their client’s finances. Sometimes they are asset managers and other times financial coaches and guardians. In fact, how intelligently you face and overcome these challenges is what decides how great your career would be in the future. Have a look at some of the most common challenges financial advisors face and some advice on how they can successfully overcome them to establish themselves as a trustable advisor. Understanding and Managing Clients’ Expectations Your clients are your biggest assets even though some financial advisors ignore their client’s wants and needs. Your clients may have different expectations related to filing taxes, managing business accounts, keeping proper financial records, getting business financing,
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How To Compare And Choose the Best Small Business Loan Offers?

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Ready to start your dream business? Want to relocate your booming business? Need cash to buy new business’ equipment? Or want to boost cash flow to manage day-to-day business operations? A small business loan may be able to help you in such situations.    Today, many innovative and intuitive online lending marketplaces are a preferred choice for both young and veteran entrepreneurs to secure a business loan. These innovative and intuitive online lending platforms that showcased a variety of loan offers from multiple lenders made it easier for you to apply and secure the best small business loan that best fits your budget and needs.    Though there hundred of alternative lenders and a variety of offers to choose from, it’s always challenging to compare the loans to figure out which one is perfect for your small business. Here are some of the many important factors to help you find the right financing for your current financial circumstances.    Interest Rate and APR The inte
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Important Things You Need To Know About Short-Term Business Line Of Credit – Part 2

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In the previous blog post, I introduced you to many important things about the short-term business line of credit, and today I will provide you rest of the information. If you missed part one, you can check it out here . In this blog post, I’ll cover how you can apply for a short-term line of credit, how it is different from the traditional line of credit, and why you should consider it for your small business. How to Apply For a Short-Term Business Line Of Credit? The application process for this type of loan is a very simple and straightforward process. Thanks to online alternative lenders that use various innovative tools and software to provide a streamlined application. Though you may expect a more intensive application if you choose a traditional route. To seamlessly apply and get a short-term line of credit, you need to follow these following steps. Find and Compare Loan Offers The best place to go to find and compare the best short-term line of credit lenders is an
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