Big ticket purchases are not easy — whether it is for the salesperson trying to make the sale, or the customer who is about to hand over months of hard-earned savings. And it makes sense because big purchases are big decisions involving lots of research, careful consideration, negotiating and anxiety. How can businesses offer customers with affordable and transparent financing plans?
Enter Financeit, a Fintech startup that enable businesses (mainly in the home, retail and automotive industries) to grow their sales by offering customers customized financing plans, making nearly any purchase affordable. The best part is that businesses still receive the lump sum up front while Financeit handles the customers’ monthly payments.
The application for loans is made simple, quick and can even be done online or through mobile — allowing contractors to make deals on the spot.
Back in June, Financeit reached a milestone announcing a new funding capacity of up to $85 million. We had a chance to talk with CEO of Financeit, Michael Garrity, to get his thoughts on the lending industry and a taste of what’s coming for the burgeoning Fintech.
Trulioo: What would you say are the top three factors that set Financeit apart from other fintech lenders?
Michael: In comparison to our competitors, we’re more focused on large transactions - especially in the home improvement space. People may not be aware, but a significant barrier for home improvement contractors is customer budget, so we spend a lot of time sharpening Financeit’s point of sale experience. This way contractors can give their customers an accurate quote and set up a payment plan on the spot. It’s our goal to help them focus on what they’re best at - home improvement.
The transactions within our market tend to be complex, with a lot of moving parts, which can be overwhelming. As a result, the platform we’re building is designed to minimize those complexities, to make them simple, so that our customers can set up a payment plan as effortlessly as possible. It’s this approach that truly differentiates us.
What’s more, our rapid growth has given us a merchant base that is 6,000 strong with over $700 million in loan applications this year alone. Scale is very important in lending, and our ability to scale sets us apart as well.
Trulioo: Which innovative technologies do you believe will have the most impact on lending in the near future?
Michael: I think there are a few technologies that will prove to make a large impact on lending. First and foremost is mobile. If a merchant can provide a payment plan any place, any time on their mobile device, they’re a happy merchant. We’re aiming to eliminate the long, drawn-out process traditionally associated with offering a payment plan, and we believe that providing an effortless mobile experience is the key.
The good news is that we live in a momentous technological era: especially in terms of machine learning and deep API integrations - two areas that will aid our industry tremendously. The more these two fields progress, the easier it is for us to hone our product - not only in terms of efficiency, but in terms of overall experience.
Trulioo: We noticed your team has been growing rapidly this year, including new additions to the exec team. Anything exciting we can look forward to?
Michael: As always, scaling the business is our central priority, and the growth you’re referring to allows us to focus on a variety of key areas. We’re currently in the process of a brand evolution, so you can expect significant changes on that front within the next 12 to 18 months. Refinement of our merchant experience is obviously a constant, but we’re expecting significant leaps in the near future, including key platform and tool developments. And of course, we’re always striving to develop key partnerships - whether independent or enterprise.
If there’s a fintech company you’d like to see featured in our Fintechs in Toronto blog series, please submit your request to firstname.lastname@example.org.
Check out some other fintechs we’ve also featured!
Sensibill: The Suite for Your Receipts
Every day, thousands of purchases are made at retailers. And for every purchase made, there’s a receipt — and as consumers, it can be hard to keep track of all the receipts that are handed to us. Sensibill’s integration gives mobile banking apps the power to store, summarize, and analyze receipts.
Borrowell: Borrowing Made Fast, Fair and Friendly
Until the recent fintech revolution, many Canadians in need of financial services only had the big banks to look to. When it comes to making decisions surrounding personal finances, it never hurts to have options. One particular startup that believes in this is Borrowell. As the name suggests, Borrowell aims to help Canadians borrow, well — well.
Thinking Capital: Redefining How Small Businesses Access Funding
An entrepreneur with a business idea needs capital to get their business off the ground. But it’s not always the easiest to land the funding you need to start or grow a business. Enter Thinking Capital, a pioneer in the lending industry who help small to medium-sized businesses obtain the funding they need to start or expand their business.