Biz2X LLC announced a partnership with Mastercard that aims to help improve access to capital for small businesses in the U.S. Lenders using the Biz2X® platform can enhance their ability to improve lending decisions and reduce portfolio risk by evaluating nearly real-time data-driven insights from Mastercard’s Small Business Credit Analytics solution for consenting small businesses.
The partnership aims to enable more informed lending decisions for lenders to minimize risk and improve loan portfolio monitoring. This is especially important for companies in traditionally underserved communities or those that might not have a long-established credit history or track record with a lender.
“Biz2X empowers successful business lending by delivering turnkey solutions for banks and other lenders to issue more loans by using the best risk management tools on the market,” said Rohit Arora, co-founder and CEO of Biz2X. “Ultimately, our vision is to equip lenders with the digital tools and data solutions they need to approve more business loans with performance confidence to increase the flow of capital to business owners that need it.”
Once a small business has provided its consent, lenders using Biz2X can gain access to the Mastercard Small Business Credit Analytics solution that provides key weekly sales insights, based on anonymized and aggregated Mastercard transaction data, about that business in the platform’s underwriting and portfolio risk monitoring workflows.
Through the integration, lenders will be better equipped to identify risks in their loan portfolios so they can support struggling borrowers far in advance of a possible default. The portfolio analytics that come with Biz2X PortfolioDNA will now include new data-driven insights that can add visibility into the overall health of consented small businesses, which in turn can help to drive results such as minimizing risk and improving the lender’s decision-making on new loans. This helps to create a profile of that business’s performance that can be valuable when they apply for credit and helps to paint a more complete picture of how the small business performs beyond tax records and other financial documentation.
“Empowering small businesses is a commitment to unlocking economic potential,” said Mohamed Abdelsadek, executive vice president of data, insights and analytics at Mastercard. “By increasing transparency into actual business performance, we’re working to ensure that entrepreneurs have more opportunity to thrive and contribute to a dynamic economy. This partnership helps us extend our insights capabilities to lenders to make real impact for main street.”
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