LONDON, UK / ACCESSWIRE / November 17, 2021 / Defactor (www.defactor.com), a gateway for traditional businesses to access the billions of dollars available in decentralized finance (DeFi) liquidity pools, today announced the launch of Springpad, a platform that allows SMEs to get into the world of DeFi.
Springpad provides approved asset originators a fast-track process to access DeFi and pave the way for future alternatives for working capital including multiple asset classes.
"All around the world, businesses, especially SMEs, are suffering from inefficient and inequitable allocations of financing, impeding growth, development and innovation. With Springpad, we're opening the doors for these businesses to get the capital they need to take their business to the next level," said Ernesto Vila, Commercial Lead and co-founder of Defactor. "Springpad is ushering in a new era of community lending."
Lending to the SME market has been under extreme pressure for years now. In fact, according to the Biz2Credit Small Business Lending Index, approval rates for SMEs at U.S.-based big banks are just 13.9 percent. In 2016, that number was nearly 10 points higher at 23.3 percent. These numbers are, no doubt, reflective of a broader global trend of the challenges SMEs have in securing business finance. It's this decline which has opened the door for platforms like Springpad to fill the gap.
Springpad is scheduled to accept applications on a quarterly basis with the first deadline slated for December 17, 2021. Subject to approval, real world asset originators (RWAOs) will take part in the following steps via the Springpad platform:
- Onboarding/Due Diligence: Defactor conducts due diligence to understand the associated risk for the pilot project and operational feasibility.
- Assessment Call: Defactor meets the people behind the project, understands their needs and verifies the information provided by the applicants.
- Showcase: Validated RWAOs take part in an investor showcase where they will explain their business, their team, their funding requirements and how that funding will be used.
- Funding: Once you're approved, risk assessments have been performed and collateral requirements are satisfied, RWAOs can submit an asset for funding to the Springpad pool in the Defactor network.
For more information about Springpad, visit springpad.defactor.com.
About Defactor
Defactor is building the integration and risk management tools to bring new asset classes from the real world to DeFi investment pools for financing. There is a massive funding gap in many areas of business financing globally. DeFi provides an alternative source of funding as well as the tools and expertise to bring it to scale.
For press inquiries, please contact: [email protected]
SOURCE: Defactor