Funding Circle has launched its first embedded finance solution, which will allow borrowers to apply for peer-to-peer loans up to the value of £500,000 through a series of partner websites.
Business finance platforms Funding Options and Capitalise are the first partners to add the API to their websites, and Funding Circle has teased “an exciting pipeline of partnerships expected over the next 12 months.”
“We started Funding Circle to deliver easy, fast and flexible funding solutions to small businesses and we are constantly innovating and developing our technology to meet their evolving needs,” said Lisa Jacobs, (pictured) chief executive designate of Funding Circle.
“Our new embedded finance solution enables partners like Funding Options and Capitalise to harness our technology and deliver a seamless way for their customers to access easy, fast and flexible finance.”
The embedded finance tool is powered by Funding Circle’s machine learning and instant decision technology, and allows customers to apply for a loan within minutes, receive a decision in seconds and have money in their account within 24 hours.
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“Funding Circle has been one of the most successful innovators in the lending space over the past decade, which makes their integration into our award winning Funding Cloud platform even more exciting,” said Simon Cureton, chief executive of Funding Options.
“Together we will be able to rapidly facilitate new lending at scale, transforming the experience for companies who need fast and reliable funding to grow and thrive, providing them with vital support as they navigate the post Covid recovery.”
Ollie Maitland, co-founder and chief product officer of Capitalise, added: “Funding Circle coming on to Capitalise’s Instant Offers platform is a boost for business owners and accountants with fast, instant quotes. This gives them transparency and control over business finance to plan ahead with confidence.”
This represents Funding Circle’s first foray into the embedded finance space, but other P2P lending platforms have embraced the technology in recent months.
Earlier this year, Zopa’s chief commercial officer Tim Waterman said that he is “very excited” about the potential benefits of embedded finance for the lending industry.
Meanwhile, a recent study from Juniper Research has predicted that the embedded finance market will rise from $43bn (£37.2m) in 2021 to exceed $138bn by 2026.
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