FundingHub launched its online business loans platform in June 2017. Its is a trusted, independent, easy to use website where business owners can find funding for their business. By logging on to www.fundinghub.co.za and completing an easy-to-use questionnaire, a business owner will be exposed to multiple business loan options from banks and alternative finance providers and, with one request, get matched to many funders. FundingHub has simplified shopping around to find the best business loan product at the best price.
First Six Months
In the first six months of trading, FundingHub has secured 15 reputable South African lenders on its platform, offering in excess of 35 different types business loans (https://www.fundinghub.co.za/all-products/) . The products offered on the platform offer the business owner a diverse range of choice. The business loans offered include: equipment finance, unsecured business loans, secured term loans, overdrafts, credit cards, revolving credit, merchant cash advances, purchase order finance, invoice discounting etc.
Average deal size
Our original business plan showed an average deal size of R350,000 however our lenders have paid out deals in the tens of millions as well as deals as low as R40,000 so the range in value has been far broader than originally anticipated. The volume of applications has far exceeded our expectations. The success rate has been fairly low, however as we refine our model we anticipate that the success rate of applications to paid out loans will improve.
Being a Fintech business, our primary focus has been on constantly investing in our intelligent technology by refining the application process and building our matching and decision engine to ensure a great user experience that is quick, transparent and simple.
We were delighted to close our first round of funding, which will allow us to increase our market profile of the FundingHub business loans marketplace and to continue investing in our intelligent technology.
We are really excited about our successes in the short space of time since we started. We have many exciting innovative plans for 2018 and look forward to growing our offering and helping business owners get the business funding they need.
Barry Leonard and Marilynn Leonard