The Challenges of Providing Working Capital at Scale

Panelists include: Rob Frohwein, Kabbage; Andrea Gellert, OnDeck; Sam Graziano, Fundation; David Haber, Bond Street; Henry Domenici, Square Capital; Moderator: Jared Hecht, Fundera.

Since the financial crisis small business lenders that originate online have moved into the space and provided a much needed funding option for small and medium enterprises (SMEs); at LendIt USA 2017 we hosted a panel of leading small business lending platforms to talk about working capital and achieving scale as a lender; the discussion focused on the different types of products these lenders offer to the targeted businesses they are looking to serve; panelists focused on their definition of scale, going beyond just origination volume and understanding their cost of acquisition when bringing in a substantial amount of customers; they touched on what they view asworking capital and the challenges of customer acquisition as the market becomes more competitive; also discussed capital markets challenges, diversity of funding sources and how they feel like they are providing a better alternative to the traditional lenders in the SME market; the panel also focused on lessons learned as they have grown their platforms and reached different levels of scale.