Bizcap, an Australia-based non-bank lender, has announced the launch of two new financial solutions for small and medium-sized businesses: the Line of Credit and Bridging Finance.
Additionally, it has increased its maximum loan size to $5 million, which exceeds competitor offerings, according to the company.
Available on the panels of prominent aggregators such as LMG, Compass, and Viking, Bizcap co-founder Zalman Blachman (pictured above left) said the new solutions are designed to give brokers a competitive edge.
In addition, Blachman said the small business lender has a direct channel with a “vast network” of brokers, accountants, financial planners and others in adjacent industries who work directly with Bizcap BDMs to obtain loans for their SME clients.
“By incorporating Bizcap’s innovations into their toolkit, brokers not only enhance their ability to meet client needs and diversify their offering, but also position themselves as strategic partners, driving success for both their clients and their own business,” Blachman said.
Bizcap’s new Line of Credit product is aimed at helping businesses manage cash flow, seize opportunities, and cover unexpected expenses.
The solution allows businesses to access funds on-demand, providing them with greater financial agility, the company suggests.
For example, Blachman said Bizcap’s beta product launch saw retailers using the line of credit for quick stock purchases, builders for paying import duties on materials, and childcare facilities for covering payroll gaps between government grants.
“Bizcap is committed to supporting businesses to not just survive but thrive, and the Line of Credit is a testament to this commitment,” Blachman said.
The Line of Credit will be available to brokers in late March, and they can register their interest in the interim.
In addition to the Line of Credit, Bizcap has launched a new Bridging Finance product aimed at helping SMEs address short-term funding needs. This solution is designed to support businesses facing temporary financial gaps requiring large sums of capital for short periods.
By leveraging a clear exit strategy and existing assets, Blachman said SMEs can attain discounts of up to 65% on the cost of funds compared with Bizcap’s standard solutions.
With Bizcap, businesses can now access much-needed funds at an unprecedented speed, getting $150,000 to $5 million in the bank in as little as 24 hours, Blachman said.
“For example, customers have utilised our Bridging Finance to seize opportunities like purchasing inventory or stock at a discount while they have pending invoice payments or asset settlements,” Blachman said.
“Whether SMEs are awaiting client payments, settlements on assets or properties, grants, bank loans or large sales, Bizcap’s Bridging Finance is their go-to resource for bridging financial gaps with efficiency and ease.”
Finally, BizCap announced an increase in the size of loans up to $5 million. The company claimed that is “at least” $4 million more than other non-bank SME lenders.
Abraham White (pictured above right), Bizcap co-founder and co-managing director, said the expanded lending capacity allows businesses of all sizes to access the capital they need to fuel their growth, undertake ambitious projects, and chase opportunities with confidence.
“Whether you’re a small business with big dreams or an established enterprise seeking substantial capital, Bizcap’s increased loan size makes it possible to get a large loan with ease,” he said.
Bridging Finance and loans up to $5 million are available to brokers now. They can access them directly or via aggregators where Bizcap is on the panel.
White said Bizcap can do things differently to other lenders because it assesses risk differently.
“Rather than using an algorithm to predetermine a customer’s financial considerations, we look at qualitative and quantitative data, gaining a holistic view of the business and taking into account each customer’s unique circumstances to take a risk-assessed approach to lending,” he said.
“What also allows us to work differently to other lenders is that we have no institutional money, which lets us move quickly and innovate. Together, these factors keep us at the cutting edge of SME lending.”
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