Tech Chat: The Role Lending Can Play in Empowering More Business

Tech Chat: The Role Lending Can Play in Empowering More Business with Jackie Reses of Square Capital. Moderated by David Cox of Evercore.

Jackie Reses runs capital and the people team at Square Capital; she discusses why small businesses in the US have been largely left out of the financial inclusion discussion; some of the challenges for small business are the complexity of the documentation needed for loans as well as the fact that a majority of the 28 million small businesses in the US seek loans less than $500,000; since big institutions typically focus on loans over $1 million there is a mismatch and this is the area where Square focuses; their average loan size is $6,000; Reses speaks about how lending fits into Square’s mission to include small business owners in the financial landscape which initially focused on payments; the product is integrated into the business owner’s dashboard and Square is able to pre underwrite their two million merchants with repayments based on sales which gives business owners flexibility.