AppsVillage builds momentum in global SME funding services with its second strategic partnership
Link copied to
Special Report: The company’s latest agreement with US funding provider Fundomate is further evidence of its ability to build out an integrated product offering.
For fast-growing SME tech platform AppsVillage (ASX:APV), the last month has been a particularly busy period.
The company’s executive team has been signed a number of partnership deals, as part of APV’s strategic push into SME lending services – a complement to its core product which allows customers to set up an app for their business within minutes.
This morning, the company announced that it has signed a partnership agreement with Fundomate, a US-based lending platform which facilitates small-business loans backed by third-party capital providers.
Under the terms of the deal, AppsVillage will offer Fundomate’s one-click funding services in a white-labelled format on its own platform.
The agreement allows APV to provide an effective loan facilitation service to its entire SMB network base in the US, which comprises more than 100,000 small-medium businesses.
It also means AppsVillage can provide an integrated lending and funding services without taking on any financial exposure, which is assumed by third-party lenders.
For each loan agreement sourced through its platform, AppsVillage will generate income as part of a 50/50 revenue sharing agreement with Fundomate.
It marks the second lending deal secured by the APV executive team since the company launched its MicroLoans program last month.
In late-October, AppsVillage signed off on a similar deal with US-based loan procurement company Seek Capital LLC, whereby APV would generate a 25 per cent revenue fee for each loan generated from its existing customer base.
For AppsVillage CEO Max Bluvband, the recent flurry of activity forms part of the company’s strategic goal to provide an integrated service to its clients. And he said the company will continue to pursue more strategic partnerships in the future.
“Through Fundomate’s quick turnaround, fully automated, one-click funding solution, We can now provide our ~100,000 SMB network in the US with another option for business funding,” Bluvband said.
“This deal is yet another example of how AppsVillage is utilising our advanced SaaS technology to provide integrated solutions to small business and provide value to our customers”