Many startups looking to aid small businesses in accessing financial support often position themselves as a competitor to traditional lenders and banks. But studies show that as alternative financing options strengthen their presence in the industry, these new players can actually operate in harmony with mainstream banks.
Yodlee is one of these new businesses that aims to increase SME access to working capital by working as a mediator between small businesses and banks. The company announced Thursday (March 19) that it has created its Small Business PartnerHub, a new portal that connects SMEs to financial institutions.
The platform allows these financial institutions to offer third-party services including lending and financing, expense report and management, invoicing, bill collections, online accounting, payables, travel management and more.
In addition to the slew of third-party services businesses can access through the PartnerHub, Yodlee said that the new platform promotes innovation and growth within the small business community. Its third party partners, like CAN Capital, agree. “We are here to help businesses succeed with fast, secure access to funding,” said CAN Capital Chief Marketing Officer James Mendelsohn. “The Yodlee Small Business PartnerHub is a great ‘one-stop-shop’ for small businesses – bringing together best-of-breed capabilities like ours, specifically designed for the unique and changing needs of business owners.”
The solution, Mendelsohn added, is beneficial both to SMEs and financial institutions, who can gain a stronger presence and attract business customers through the Yodlee product.
The platform is Yodlee’s latest addition to its business operations that utilize cloud-based technology to promote financial services, and is the latest business-oriented financial tool. The company is one of several businesses working with banks to increase SMEs’ access to capital.
Earlier this month, online lending marketplace Prosper announced partnerships with more than 160 community banks to secure lending capital for borrowers.