I’m pleased to announce that Spotcap is a founding signatory to the Code of Lending Practice, a commitment which will increase transparency across the Australian online business loan sector.
Any industry in the 21st century needs to be transparent to their customers and the Code of Lending Practice (‘Code’) ensures that business owners can make informed decisions about the best finance options for them.
Australia’s 2.2 million small businesses are the beating heart of our economy but often can’t access the capital they need to grow, innovate and therefore create more jobs.
Spotcap was founded to help Aussie businesses grow and thrive with simple and smart finance.
Transparency is at the core of what we do and the Code is the next step in ensuring our customers can clearly identify if a financial product is right for their needs, exactly how much it is going to cost, and if a product is the best solution available to them.
The Code was created in response to the rapid growth of the online small business lending sector in recent years, as small businesses are increasingly denied access to unsecured loans by the traditional banking system.
In creating the Code, Spotcap worked closely alongside a leading group of other online lenders and through collaboration with the Australian Small Business and Family Enterprise Ombudsman Kate Carnell, FinTech Australia, and small business advocate, theBankDoctor.org.
The new series of best practice principles puts the customer first and will ensure small business owners can clearly identify if a loan from a lender is compliant with the new Code and is right for their needs.
The Code will be supported by a Charter and a pricing disclosure tool – both of which will be operational by 31 December 2018.
Spotcap, along with our industry peers, is proud to be taking proactive steps to bring further transparency to the market and ensure we’re doing what’s best for Australian small business owners.
Read the full Code announcement here: http://bit.ly/Code_2018
Originally published July 3 2018 , updated July 10 2018