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Reckon has today announced a partnership with leading online SME lender Prospa to offer its small business customers an online business loan.
In a statement, Prospa said the launch of Reckon Loans offers businesses a more customised approach to finance, greater flexibility and the ability to access the working capital they need to manage cash flow and grow their business.
Reckon Group COO Dan Rabie said that with Reckon Loans the group’s small business customers can leverage their business data to make the credit process easier.
“We will offer businesses simplicity and convenience through the lending application and fast funding on approval,” he said.
“Fintech disruption has changed the business lending game, with online entrants challenging the traditional providers of bank finance by introducing new cash-flow financing options for SMEs.”
Mr Rabie said data from accounting software used to evaluate cash-flow is seen as the best measure of business fundamentals, helping to determine the business’s ability to repay and manage risk during the life of a loan.
The demand for small business finance is expected to drive growth in online lending he added, with business owners attracted to the lack of requirement for property security, simple application process and fast funding. Reckon Loans is well-positioned to meet this demand.
Reckon customers can apply via an online application form. The health of the business is analysed to determine creditworthiness using a proprietary technology platform. The application is assessed by Prospa, and customers can usually get access to funds the next business day.
“Reckon Loans complements our Reckon One online accounting software and is aligned with our long-term strategy of offering small businesses a full suite of solutions in the connected economy,” Mr Rabie said.
“Our partnership with Prospa was a logical choice to power our small business lending. They are the market leader and have the experience and capability to deliver,” he said.
Like Reckon, Prospa is Australian owned and operated. Since 2011, Prospa has funded more than $150 million small businesses loans.
Prospa joint CEO Beau Bertoli said the online lender is excited to collaborate with Reckon to provide customers with a timely financial solution from their trusted accounting partner where traditional finance options fall short.
“At Prospa, we work with high quality partners that share our values, we put customers at the centre of everything we do,” Mr Bertoli said.
“By powering Reckon Loans, we are helping small businesses access faster finance solutions so they can make timely decisions and seize opportunities with peace of mind.”
Reckon customers can apply for an unsecured Reckon Loan between $5,000 and $250,000. Loan terms range between three and 12 months with daily and weekly payment options available.