PYMNTS-MonitorEdge-May-2024

iwoca Integrates With Funding Options, Funding Xchange

U.K.-based iwoca is integrating its lending platform with marketplace lenders Funding Options and Funding Xchange to accelerate and further automate access to capital for small and medium-sized businesses, while connecting borrowers to price transparency.

In a press release sent to PYMNTS, iwoca revealed its integration via the launch of its Landing API to provide small businesses with a loan decision within 30 seconds, rather than providing an instant “approval in principle.” Small business loan applicants can accept an offer from iwoca’s partner sites and still draw down the funds from the iwoca platform. Partner sites can integrate iwoca’s automated credit solution in their own websites.

“The integration therefore gives business owners a level of certainty so they can make quicker decisions based on the available finance and price,” the company said in its announcement.

The initial rollout of the API integration will allow loan applications up to $18,850, iwoca said.

“As consumers, we expect a seamless experience when using aggregators to book travel insurance, hotels or to buy a new car — so why should it be any different when small businesses look for finance?” said Colin Goldstein, iwoca commercial growth director.

He added that iwoca will roll out additional integrations with other partner lending platforms in the coming months.

“By giving [small businesses] immediate and hassle-free credit, we are expanding possibilities so that SMEs no longer have to deal with uncertainty and have the information they need to make better business decisions,” Goldstein said.

In another statement, Funding Options Chief Product Officer Alastair Preacher said faster decisions in the small business loan application process are “an excellent example of FinTechs making a real difference at the grassroots of U.K. business, giving company owners additional clarity when applying for finance, and ultimately allowing them more time to run and grow their businesses.”

Funding Xchange Chief Operating Officer Paul Henry, meanwhile, noted that small business borrowers already using price comparison sites “have the same ease of access and choice that consumers have been accustomed to.”

PYMNTS-MonitorEdge-May-2024