Global fintech company Spotcap has launched into the New Zealand market today and unveiled a partnership with NZX-listed bank, Heartland, with the bank providing Spotcap’s Australian operations with A$20million of funding.
The fintech works with accountants, brokers and financial advisers in Australia to distribute its online lending products (its Australian loan book grew by 450% in the past year), and will roll out this strategy in NZ. It is also established in the UK, the Netherlands and Spain.
Spotcap provides funding solutions to small and medium-sized enterprises (SMEs) with unsecured credit lines and business loans of up to $250,000 and will bring its ‘unique, proprietary credit algorithm’ to the NZ market, one which doesn’t base credit decisions on historical financials.
“We aim to enable SMEs to embrace growth opportunities by offering our credit lines and loans to small businesses in markets that require access to alternative funding solutions,” said Spotcap Australia and New Zealand managing director, Lachlan Heussler
“The expansion into our fifth market is Spotcap’s opportunity to contribute to the growing New Zealand fintech landscape.”
Investment in the fintech sector has grown from A$1.8 billion to A$24 billion worldwide in the last five years. The fintech says NZ’s favourable regulatory framework puts it on the front foot, with 1,117% year-on-year growth rate for alternative finance funding.
CEO of Heartland Bank
, Jeff Greenslade
said, “Our partnership with Spotcap highlights Heartland Bank’s commitment to fintech and digital banking, in line with both our own internal offerings and our investments in the sector. We are delighted to gain further exposure to online SME lending and look forward to working with Spotcap to grow its Australian operations. ”