Through the collaboration, innovators across the financial services industry can access debt capital and APIs to create next-generation credit and lending products
By ExecEdge Editorial Staff
Canopy Servicing, the leading API-based platform for loan management and servicing, earlier today announced it would be working with Sivo, the leading provider of debt-as-a-service, to enable fintechs and neobanks to launch and fund loans, with access to debt funding.
The need for fintechs and other organizations in the financial services industry to seek debt financing has been ever-present, with the process remaining difficult for companies of all sizes – often due to the associated legal expenses, high facility fees, and dilutive warrants. Through Canopy and Sivo’s work, companies can programmatically access debt financing and disburse funds in record time.
In a statement issued about the partnership, Canopy’s CEO, Matt Bivons shared the following, “Canopy and Sivo are breaking ground by offering configurable debt on-demand. Originators are able to request a debt line that matches their specific business goals and in turn offer personalized, transparent, and safer credit and lending products to their users. Canopy and Sivo’s partnership is about helping our clients go to market faster, with less risk overall and with greater transparency.”
“We are unlocking an opportunity for companies to bring the next generation of credit and lending products to market,” said Kate Hiscox, Co-Founder, and CEO of Sivo. “Traditional debt facilities can be slow, costly, dilutive, and inflexible. With Canopy and Sivo, financial innovators get access to debt capital with a clear path to 10x leverage in days and can bring products to market in weeks. Our partnership with Canopy is a natural fit because we’re both committed to supporting our clients with the modern technology and expert services they need to ensure new financial products are compliant, profitable, and valuable.”
Since their inceptions, Canopy and Sivo have both demonstrated true product market fit, with $6 billion in debt demand, $2 billion in disbursements, and more than 1,000% annual increase in loan originations.