FinTech Cross River Bank has acquired 4-year-old software-as-a-service (SaaS) provider Betterfin, a company focused on helping small businesses manage their cash flow and offer insights on financing and credit, according to a Tuesday (Nov. 2) press release. Financial details of the acquisition were not disclosed.
The acquisition supports Cross River’s technology foundation and bolsters lending-as-a-service offerings for small businesses and technology partners, according to the announcement. By integrating Betterfin’s technology via its financing management tool, Cross River can advance end-to-end workflows for its Small Business Administration (SBA) loan program, according to the release.
Joining forces helps to advance Cross River’s goal of providing access to financial services through its API-based platform, the announcement stated. In the wake of the pandemic, Cross River participated in the SBA’s Paycheck Protection Program (PPP), originating the second-highest number of loans across the country. Integrating Betterfin’s technology will enable Cross River to digitize the SBA loan process to arrive at a comprehensive, technology-centered platform.
After closing, Betterfin, which developed a lending-as-a-service solution to assist financial institutions (FIs) in offering commercial loans, will be wholly owned by CRB Group, Inc., Cross River’s parent company.
“For over a decade, Cross River has redefined financial services for FinTech partners, communities and individuals around the globe,” said Gilles Gade, Cross River founder, president and CEO. “With the addition of Betterfin, its team of professionals led by Eric Griego, its technology stack and market intelligence, the combination of our core infrastructure and small business offerings will become another powerful tool of our growth engine.”
In addition to Cross River seeking to streamline the SBA loan process, Independent Bank is also working on a similar outcome, as PYMNTS reported. The bank in September announced a partnership with the FinTech Numerated to bolster commercial digital lending options. Numerated’s platform uses data to help simplify the origination process of any banking product and has been used for commercial, industrial and SBA lending.