Non-bank business lender Moneytech, an investee of Colinton Capital and 248 Growth Partners, has announced integration of its services with online accounting software company Zero (ASX: XRO).
The integration is intended to provide faster access to loan funding for small-to-medium size businesses (SMEs).
The integration enables businesses to connect their Xero accounts directly to the new Partnr platform operated by Moneytech Finance. In a 26 May announcement, Moneytech chief technology officer Nick McAvoy said directly linking to customers’ Xero accounts would enable faster credit decisions and more tailored finance options, all without paperwork.
“When a business can connect their accounting software securely and instantly, we’re able to assess their needs in real-time and offer the right funding solution quickly,” McAvoy said.
Moneytech says technology behind its Partnr platform provides a secure, read-only connection to live financial data from Xero. This enables Moneytech to analyse key metrics such as cash-flow and receivables to provide accurate funding decisions, often within hours. In addition to speeding up approvals, this helps match businesses with the right type of credit facility for their needs: invoice finance, trade finance, equipment finance, or a business loan.
Moneytech chief executive Nick McGrath added: “At a time when cash flow is a critical concern for many SMEs, the ability to access funding based on real-time business performance, not just historical information, is a game-changer.”
In addition to Moneytech Finance, Moneytech operates foreign exchange business Moneytech FX and payments business Monoova.
Colinton Capital led a $20 million-plus capital raising round for Moneytech in late 2021.
Existing investor, CVC ECF Managers (now 248 Growth Partners) supported the round along with high-net-worth individual investors.
Image: Moneytech chief technology officer Nick McAvoy.