Access to capital for Lenders
Inadequate access to capital poses one of the most daunting challenges for businesses. Lending companies seeking to increase their loan portfolio may face head winds from limited traditional funding sources, economic uncertainties, more stringent and complicated borrowing policies etc.
In a bid to mitigate credit risks and avoid non-performing loans, traditional banks may require strict compliance processes and requirements before affording financing companies and lenders access to capital. Lenders are often required to present robust assets and collateral before financing is granted, this may slow down or disrupt the normal operations of small- and medium-scale financing companies.
When traditional financial institutions fail to meet the increasing needs of lenders due to insufficient asset backing, inadequate collateral or short tenure of operations, lenders need to meet their financing needs from alternative sources.
Lender financing is an alternative source of capital for lenders. It simplifies access to more funding and leads to an increase in lending power for your portfolio. In turn, lenders have more funds to lend to their customers, thus increasing their loan portfolio, assets and operations as a whole.
Lender financing is simply the service of non-traditional financial institutions providing access to capital for businesses, lenders and other financing companies.
Benefits of Lender financing
Lender financing provides a more flexible, accessible and quicker access to capital for your lending business. It creates an opportunity to leverage your loan portfolio and/or other assets to gain access to lending capital.
Alternative financing solutions such as, lender financing and private lending, close the funding gap faced by various lenders across different lending specialties. Lenders are presented with broader options to access capital and increase their loan portfolio through lender financing.
If your customers need to increase their financing or you see an opportunity to grow your loan portfolio but lack the necessary capital, a lender like Accord, can work with your existing lender to simplify your access to capital with financing solutions structured for your business. Accord will assess your specific business situation and provide a customized solution to meet your needs—as opposed to traditional banks who offer off-the-shelf and limited funding solutions.
Financing solutions with Accord
The experts at Accord Financial work closely with your business to provide a personalized and customized solution to your lending business financing needs. Irrespective of your lending business speciality, Accord structures its services to meet the specific goals of your business. We are the ultimate lender to the lender, the preferred source of capital for your business.
With a broad range of industry expertise and years of experience, Accord provides financing solutions for automobile leasing, FinTech, asset-based lending, consumer lending and factoring businesses. We also partner with businesses across other specialty lending segments to fill any funding gap and provide access to capital for daily operations and business expansion.
There is an increased need for alternative financing to meet the funding gap for businesses across industries; as customers demand more capital, cash solutions or equipment financing through your lending business, Accord provides quick, flexible and customized finance lending to help you meet your increasing customer demands.