Small business data is more plentiful now than ever before and tech tools are evolving to help fintech lenders meet the challenge.
Funding Circle was approved for a 7(a) license by the SBA but now there are some in Congress that want to take that away from them.
A report reveals that 9 in every 10 SMBs in the region are currently underserved. This presents an opportunity for Latin American fintechs.
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Small businesses have shown high demand for real time payments. Fintechs may be a key for smaller banks to fulfil it.
This week, Isabelle sat down with CEO and Founder of Nucleus Commercial Finance, Chirag Shah, to talk about super app innovation.
The economic climate has caused many to turn away from SMB finance. Banks could provide fintechs with the stability to ride out the storm.
The SBA is making updates to its lending program opening the door for fintechs. But much more needs to be done.
Chinadigital lendingeCommerceMetaverse / xRneobanksmall businessSocial / Communitysuper appsupply chain / trade
·This week, we cover these ideas:
Klarna’s $640 million raise and its $45 billion valuation, and how its business model arbitrages the payments revenue pool to build a lending business
Pinduoduo’s growth path to a $150B marketcap, and the links between shopping, media, and financial mechanisms that help it compete with Alibaba
A comparison of approaches to growth and economics
Implications for crypto assets for capturing “the real economy”
Klarna is raising $640 million on a $45 billion private valuation, with over $1 billion in net operating income. The buy-now-pay-later company has over 90 million active customers and 250,000 merchants. It was founded in Sweden in 2005.
On the other side of the ocean, Chinese ecommerce company Pinduoduo is beating Alibaba with 820 million active buyers, generates over $3 billion in revenue per quarter, connects buyers to 12 million farmers, and has a market capitalization of $150 billion. It was founded in China in 2015.
In this conversation, we talk with Marwan Forzley of Veem about how the rampant evolution of the mobile phone spurred his fascination to turn the phone into a business-to-business (B2B) payments network. Additionally, we explore how generations of companies have tried to use correspondent banking to solve for B2B cross border and failed, the intricacies of payment rails and the infrastructure to support them, the impact of COVID on global e-commerce, how the future will blend the distinctions between digital wallets, banking services, and crypto wallets.
central bank / CBDCChinacovid pandemicmacroeconomicsregulation & compliancesmall businessstablecoins
·This week, we look at cash -- blockchain cash. The war for money is just starting to ramp up, as Facebook Libra explains its new regulated plan, the Chinese national Blockchain Service network goes live, Ethereum stablecoins reach historic market caps in the billions, and the Financial Stability Board recommends to go heavy on global stablecoin arrangements. In 2008, Bitcoin threw a rock through the window of the financial skyscraper, and today we are starting to see the cracks. As the US government runs out of $350 billion in small business bail-out money and gets ready to print more, where do you stand?