Access to funding is a key challenge for businesses across the globe. The reality is, if you don’t have vast savings, help from family or friends, or connections with potential investors, it can be hard to get the money you need to turn your great idea into a viable business venture.
We’ve been aware of this problem for a while now. So, we’re delighted to announce our new agreements with digital lenders Bridgement, Retail Capital, and Lulalend to provide finance to small businesses across South Africa.
Here’s what you need to know
If you’re an entrepreneur and you’re using Xero, you now have access to a range of lenders directly from our platform. Through our open API, these lenders can access your information quickly and conveniently – removing much of the frustrating, time-consuming admin from the process, fast-tracking approvals, and getting the capital you need when you need it.
We’re big believers in helping South Africa’s SMEs thrive. They contribute over a third of the country’s GDP and comprise 90% of businesses operating in the country overall. To put it succinctly: small business success is South Africa’s success – and access to capital is a necessary condition of growth.
Real-time accounting data can facilitate this access: making sure that businesses like yours aren’t forced to empty their savings accounts, rely on family and friends, or repeatedly go through the process of applying for conventional finance, only to be met with disappointment.
A brighter future for entrepreneurs
The friction associated with raising funds can be extremely off-putting to entrepreneurs: it’s a challenge that can impede growth and kill good ideas before they’ve even gotten off the ground. People with great business ideas might not always have the capital to see them through – and we don’t believe that only those with the immediate resources should get to launch a business.
New, digital lenders with less punitive and more welcoming application processes are only one part of this equation, but they’re an important part. The more barriers we break down for SME owners, the more beautiful business moments we’ll create – and the brighter South Africa’s future will get.
Check this out for more information