">
TechMoran
  • About Us
  • Deals
  • Jobs
  • Motoring
    • Money
  • Pitch Your Startup
  • Submit Your Post
  • Freelance Gigs
  • Travel
  • Men’s Corner
  • Dating
Saturday, January 16, 2021
  • Startups
  • Reviews
  • Insider
    • Obituaries
  • Business
  • Women
  • Blockchain
  • Columnists
  • Hacks & Facts
    • How To
  • Editions
    • US Edition
    • India Edition
    • MENA Edition
    • Asia Edition
    • Europe Edition
    • International Edition
No Result
View All Result
TechMoran
">
Home Startups

Fincheck launches a B-2-B portal to help SMEs in South Africa access financing

Milcah Lukhanyu by Milcah Lukhanyu
4 years ago
in Startups
8 min read
0

Fincheck Business, a new online portal has launched to address the number one challenge that SMEs in South Africa face – access to finance.

Founded by the founders of the financial comparison website for consumers, www.Fincheck.co.za, Fincheck Business is a business-to-business portal that compares loan products that many business owners and entrepreneurs don’t even know are available to them such as merchant cash advance, unsecured SME loans, invoice discounting and asset finance.

“Capital and financing is vital for a small business to scale,” said Michael Bowren, Fincheck CEO. ”We recognised the need to house all loan options available to SMEs in one portal and provide accurate information about the terms, nature, requirements and costs of these products for business owners to compare. And so, Fincheck Business was born.

According to Bowren, they were inspired to help SMEs when they found that many small business owners were taking out personal loans to finance their businesses because they don’t know that other options exist. This tends to put a business poised for growth into survival mode and seldom leads to its expansion and sustainability.

“SMEs are supposed to be the drivers of South Africa’s economy, but the hurdles they face when it comes to accessing not only finance, but reliable information about finance, are significant.”

A merchant cash advance (MCA) is not technically a loan, but it allows a business to get much-needed funds for cash flow, operations and revenue-generating activities like marketing, expanding and acquiring stock. The business receives a cash advance, based on previous turnover. The cash advance is made upfront as a lump sum with no fixed interest rate and no fixed repayment term. Repayment is made via a small, fixed percentage of incoming transactions until the cash advance is paid off.

READ  One Africa Media's BrighterMonday Launches in Rwanda

SMEs can go for unsecured SME loans which do not require them to own an asset – they do not need collateral. Bowren says, “A business that urgently needs cash flow may consider this loan option. Lenders will base their decision on a business’ credit report, income history and income potential. There are very definite advantages and disadvantages to unsecured SME loans that the business owner must thoroughly investigate first.”

Related posts

Adam Molai’s JUA Kickstarter Fund Doubles to $2M to Kickstart African Entrepreneurship

January 15, 2021
0

Nigeria’s TeamApt pivots to serve consumers, eyes expansion into West & North Africa

January 14, 2021
0

Cellulant Group CEO Ken Njoroge to step down in June

January 14, 2021
0
work from home kenya

OZÉ Raises $700k To Digitize African MSMEs & Offer Them Affordable Capital

January 14, 2021
0

In South Africa, invoice discounting is a popular option for merchants to improve their cash flow. “By taking out a loan against their sent invoices, it works like bridging finance. Invoice discounting can be a relevant option for a business when its capital is tied up in stock or when it is working on customer payment terms of 30, 60 and even 90 days,” says Bowren.

Asset finance is used to buy assets, such as equipment, that are vital for a business to function and grow. Smaller payments are made and spread out over a period of time. Because one big lump sum doesn’t have to be paid up front, working capital is freed up for other important business needs. The SME must also research the different types of asset finance that are available too, such as leasing and hire purchase.

READ  Red Cross & Tony Elumelu Foundation Partner to Empower 200 Nigerian Entrepreneurs

Fincheck Business will provide accurate information about accredited and credible providers so SMEs can make an informed decision about the most appropriate financing option for their business. Using an SMEs specific requirements, the firm will tailor each option with its advantages and disadvantages.

Readers 1,311

Share

  • Click to share on Telegram (Opens in new window)
  • More
  • Click to share on Tumblr (Opens in new window)
  • Click to print (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)
  • Click to share on Pinterest (Opens in new window)
  • Click to share on Reddit (Opens in new window)
  • Click to share on Pocket (Opens in new window)

Like this:

Like Loading...

Related

Tags: startups
Milcah Lukhanyu

Milcah Lukhanyu

Milcah Lukhanyu covers daily news briefs at TechMoran. She is the person who will probably read your press release and get the story out of it or totally trash it. Send tips to [email protected]

Related Posts

Entrepreneurship

Adam Molai’s JUA Kickstarter Fund Doubles to $2M to Kickstart African Entrepreneurship

January 15, 2021
0
Startups

Nigeria’s TeamApt pivots to serve consumers, eyes expansion into West & North Africa

January 14, 2021
0
Business

Cellulant Group CEO Ken Njoroge to step down in June

January 14, 2021
0
work from home kenya
Startups

OZÉ Raises $700k To Digitize African MSMEs & Offer Them Affordable Capital

January 14, 2021
0
Startups

France’s OTT platform Molotov expands into 7 African countries

January 14, 2021
0
Startups

Gro Intelligence Raises $85 Million in Series B Funding

January 13, 2021
0
alternative energy building clouds energy
Startups

West Africa’s Daystar Power raises $38 million to accelerate its regional expansion

January 13, 2021
0
Startups

UK & Egypt’s Docspert Health Raises Six-Figure Seed to expand its Telemedicine Platform

January 13, 2021
0

https://bit.ly/2VOxuoBhttps://bit.ly/2VOxuoBhttps://bit.ly/2VOxuoB
ADVERTISEMENT

Join our Mailing List

Loading

Recent Posts

Baidu establishes an Intelligent electric vehicle arm to bring autonomous cars on a road near you

January 15, 2021

Adam Molai’s JUA Kickstarter Fund Doubles to $2M to Kickstart African Entrepreneurship

January 15, 2021

History of Binance: The Success and Failure of One of the Most Popular Cryptocurrency Exchange

January 15, 2021

How we can all contribute to the Green revolution 

January 15, 2021

How to fuliza by Safaricom guide

January 15, 2021
">
">

Follow Us

">

There are many sites out there focused on blowing off some steam, from funny entertainment to thrilling experiences like playing online, in some cases online gaming could grant you the chance to win extra money. We came across rocketpot.io while browsing for a good btc casino online and it left us a very good impression with their wide variety of games and crypto offering.

Privacy & Cookies: This site uses cookies. By continuing to use this website, you agree to their use.
To find out more, including how to control cookies, see here: Cookie Policy

© 2019 Moran Media Group - All rights reserved TechMoran.

No Result
View All Result
  • Startups
  • Reviews
  • Insider
    • Obituaries
  • Business
  • Women
  • Blockchain
  • Columnists
  • Hacks & Facts
    • How To
  • Editions
    • US Edition
    • India Edition
    • MENA Edition
    • Asia Edition
    • Europe Edition
    • International Edition

© 2019 Moran Media Group - All rights reserved TechMoran.

Login to your account below

Forgotten Password? Sign Up

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
%d bloggers like this: