Most people require a loan at some point, whether it be for personal reasons or for financing activity within a company, and for a very long time the banks held a monopoly on whether or not we were going to get it. Any issue or problem in repaying a loan at any time in our history, even for reasons beyond our control, would be held against us, and has seen many small businesses, with often great potential, go down the pan due to an inability to properly fund itself. Flexibility in your loan was essentially reserved to take it or leave it, assuming of course you were approved for it in the first place. The bank operated like a supermarket, with standard one size fits all products on the shelf. You may have wanted to borrow money for three months, but be forced into taking a loan over a year, costing you additional amounts of interest that you didn’t really want to pay.
Technology in Finance
It is a little ironic, that banks were one of the first adoptees of IT, to enable them to improve customer service and be able to preserve transaction records for regulatory compliance, but seem to have somewhat missed the boat when technology arrived in their own area of activity. Blockchain Technology enables incredibly swift global transactions at a fraction of the historical cost, enabling money to be moved around with significantly less overhead. This allows your local IT savvy finance company to be able to offer its customers a truly global range of finance options. By using sophisticated software, it can allow a person looking for finance to find a completely customised solution, and have the answer on the application within a matter of minutes.
How it Benefits the Borrower
When you make an application to the bank, you are making an application to be able for one of the products the bank has to offer, as they generally only market their own internal offerings. When you use a website like http://www.maxfunding.com.au/ you are accessing potential lenders from pretty much everywhere, offering a range of options, many of which are likely to give you a better deal than the standard offering from the bank. Now rather than be told what your loan period and repayments are, you have the chance to specify those details yourself, in your application. The software will match your needs with the lending options of thousands of lenders, so if you are approved you will know about it in about the same amount of time it takes to make a cup of tea.
For many a small and medium sized business, being able to access additional finance swiftly, can have a major impact on the businesses chances of long term success. Situations sometimes arise where there is a perfect, but sometimes brief opportunity, for a company to purchase extra equipment, or bankrupt stock at way below market prices, or additional materials to cover a sudden boom time amount of work. Being able to access the funds to do so, with an answer in minutes and rates better than the bank, can allow a firm to grasp an opportunity it may have missed in times gone by.