Most businesses today are battling the waves to stay alive and their only sensible solution is to take out a loan. Even e-commerce is not saved from this catastrophe.
Seeing how these businesses are struggling to survive on limited resources, Lazada and Union Bank of the Philippines’ fintech subsidiary UBX, through its lending marketplace, SeekCap, have partnered together to help more MSMEs get access to financing.
To date, over 6,000 MSMEs have signed up, with a 300% increase in loans application posted during the first quarter.
Online lending marketplaces, like SeekCap, have become game-changers for most micro, small and medium enterprises (MSMEs). Gone are the days when they had no choice but to undergo manual loan processes and spend ample time collating the required paperwork. SeekCap took the opportunity to lift that burden off their shoulders by narrowing down the loan application process to the simplest and most convenient way possible.
Through SeekCap, applying for a loan is purely digital so MSMEs can complete their application and get updates on their approval within the comforts of their home. There is no need to submit physical documents and appear at a bank to get approved. In a few easy steps, MSMEs can apply for a loan product tailored to their needs including finance for their inventory, payroll needs, expenses payables, and similar activities.
Loan applications through SeekCap can be initially approved the same day, which means that the documents submitted are still subject to review, and only until then will the disbursement take place. Currently, SeekCap offers business loans from P50,000 to P800,000 with a 2-3% monthly interest. SeekCap continues to onboard additional lenders to the platform, to join Progressive Bank, UnionBank and EON SME Credit Card.
The SeekCap marketplace is supported by OneConnect’s smart lending platform that enables lenders to digitally process and approve loans. Through API technology and alternative credit scoring, lenders are able to provide borrowers a seamless experience in taking out a loan.
In a statement, UBX said it is committed to assist MSMEs survive and get back on their feet after the pandemic, and SeekCap is a vital instrument towards the achievement of this objective.