Small businesses lender OnDeck has joined the aggregator’s panel of lenders, enabling brokers to access its unsecured business loans.
OnDeck provides business finance for loans between $10,000 and $150,000, with terms between six and 24 months.
Speaking to The Adviser, Connective director Mark Haron said that the partnership came about after “significant growth” in the Connective Asset Finance business, which deals with asset finance and SME cash flow lending.
Mr Haron said that the growth was partly attributed to the “extra training and additional support” that the aggregation company gives to brokers and the opportunity provided by its panel of lenders.
Noting that Connective had bolstered the asset finance team and brought on several new lenders in recent month, Mr Haron said that OnDeck was a welcome addition as it had “a very strong reputation and very good technology to be able to service brokers’ SME clients very well”.
The Connective director added: “We were very keen to get them on board, especially as our focus is on helping our brokers do more business with their customers.
“This additional to the panel will help Connective brokers service their SME clients a lot more effectively.”
OnDeck Australia’s CEO, Cameron Poolman, also welcomed the partnership, telling The Adviser: “We’re pleased to announce that we are now on the panel for Connective.
“We have had really good growth, particularly with brokers, and now we’re really operating on all the channels that we want to be operating on and looking for further pick-up, too.”
Mr Poolman revealed that the fintech lender expects to have 1,000 accredited brokers by the end of the year, and for about 40 per cent of its business to be coming through the third-party channel.
“We know that over 50 per cent of consumers access a mortgage through a broker and about 70 per cent of small business access equipment finance through a broker, so we believe that it is going to be a very strong channel for us,” Mr Poolman said.
He added that the platform was continually speaking to brokers and aggregators about identifying SME lending opportunities, noting that “roughly one in five of a mortgage broker’s customers are actually a small business owner.
“So, there is a need there that [brokers] might not currently be addressing for their customer. And that is where we can help,” the CEO said.
[Related: GoGetta joins Connective asset finance panel]