Global SME lender picks fight with P2P lenders
Global small business lender Capify claims peer-to-peer lenders will suffer more than most during a downturn because they lend to risky borrowers for too long, but P2P lenders say the evidence doesn’t stack up. New York-based Capify lends to small business in the US, Canada, Britain and Australia. It introduced so-called merchant cash advances to Australia in 2008 under the name AusVance, which involves a business giving up future credit card takings in return for credit. Founder David Goldin claims most marketplace or P2P lenders that have sprung up during a period of rock bottom interest rates and low funding costs will not survive a downturn, whereas Capify made it […]
Macquarie considers US fintech deals, but ‘risk retention’ a worry
Macquarie Bank is looking at a host of possible new online lending partners globally, but is worried regulators are closing in on the new players. Ben Perham, head of strategy and corporate development at Macquarie, said like most banks, it is exploring deals with the various new lenders, including the many small business lenders and P2P lenders. “We are [looking at] collaborating with US lenders and on the equity side as well,” he said. “We are hoping to partner with them and get some of their activities into Australia.” But he pointed out that many originate and make the risk assessment on loans, but then sell them off completely, and […]
P2P pioneers banking on bigger piece of market pie
As lending records are beaten on a daily basis, the nation’s biggest peer to peer (P2P) lenders are hopeful the relatively new industry will this year hit that much heralded mark: a tipping point. But Matt Symons, the chief of SocietyOne, isn’t getting “carried away” given the strong growth is off a low base. Nor has he wavered from his firm belief that the best outcome for his business — and the industry — is measured and disciplined expansion, as opposed to chasing rapid growth and writing bad loans that blow up. Indeed, three years after opening, Society One it yet to turn a profit, as ongoing investment, compliance and […]
MoneyMe gets $30m capital raise
Consumer fintech firm, MoneyMe, has announced a $30 million capital raise from an ultra-high net worth Australian family office, which has branched out into fintech after investing mostly in large scale property on the eastern seaboard. The capital raise includes both debt and equity, and will fund the launch of a series of niche financial products aimed at millennial throughout 2016. MoneyMe chief executive, Clayton Howes, said the millennial market was important for fintech as they were inclined to spend big on lifestyle and convenience, and were willing to pay a premium for it. “Fintechs with the ability to create niche products that are delivered in a tailored way that […]
Fintech sector rejects crowdfunding bill
The fintech sector has taken aim at the government’s proposed legislation on equity crowdfunding, with particular ire focused on the requirement for crowdfunders to become unlisted public companies. The government has received 21 submissions on the Corporations Amendment (Crowd-sourced Funding) Bill 2015 [Provisions], with a number of fintech firms pointing to the bill’s shortcomings. VentureCrowd’s was one of a number of respondents to argue against the requirement that equity crowdfunding recipients be public unlisted companies. “This bill’s requirement that an equity crowdfunding start-up first becomes a public company imposes a significant (and unnecessary) regulatory, administrative and compliance burden on those start-ups,” said the VentureCrowd submission. It went on to point […]
Aussie Start-up helps you beat the Mortgage market
An Australian Fintech Startup may be the next Uber in the mortgage industry. The mortgage industry is in for a David and Goliath show down, with LoanDolphin stepping in to create a much more competitive market place. In summary LoanDolphin is a free online auction marketplace where lenders (brokers and banks) fight for customer’s business. Since its launch in December last year the platform has had $20 Million worth of loan auctions posted. The proud co-founder of LoanDolphin shared with us that 100% of the customers who had posted an Auction to refinance have received a quoted rate which was well below their current rate. On average customers had receive […]
New fintech platform to ‘take business from brokers’
A former major bank executive will launch a new fintech business this year to compete directly with the third-party channel on prime mortgages. Mark Bevan, who spent 25 years at CBA and six with Westpac, is the co-founder of Joust, an online platform that allows lenders to compete for home loan deals through a live digital auction process. The platform involves a panel of lenders bidding (or jousting) to be the provider of a customer’s home loan. The Adelaide-based fintech business aims to target prime mortgage customers with good credit ratings, good jobs and equity in their homes. Source: New fintech platform to ‘take business from brokers’ – Mortgage Business
Australia’s top 32 start-up tech successes and why they matter
Want to start the next billion-dollar tech company? You need to be male, in your mid-30s and only two or three years into running a start-up. Not-for-profit organisation StartupAus has compiled a list of Australia’s tech successes over the past 13 years, featuring businesses with valuations in excess of $100 million. The list of 32 companies, which forms part of a report compiled with the University of Technology, Sydney which is due to be released early next year, features known successes Atlassian, Campaign Monitor and Catch Group, but also a number of lesser-known companies which are on track to become the next success stories, or “unicorns”. Lesser-known businesses such as […]
