Introduction
Nigerian fintech startup Lendsqr, renowned for its loan management software used by banks, microfinance institutions (MFIs), and digital lenders, has announced an ambitious NGN1 billion (US$600,000) on-lending program. This initiative is designed to increase the capacity of Nigerian lenders, enabling them to better meet the credit needs of their customers.
Powering Digital Lending Since 2018
Since its founding in 2018, Lendsqr has focused on empowering lenders to seamlessly launch their services and efficiently connect with borrowers at scale. The platform provides a suite of tools, including mobile and web-based loan applications, robust credit scoring, and automated collection processes. By leveraging Lendsqr’s technology, lenders can streamline loan processes, improve customer reach, and make more data-driven lending decisions.
NGN1 Billion Capital Pool for Licensed Lenders
Lendsqr’s latest initiative introduces a capital pool of up to NGN1 billion specifically geared toward lenders with State Moneylender or Cooperative licenses. This fund is aimed at helping these licensed entities access essential capital to drive sustainable growth. With this funding, Lendsqr intends to support small to mid-sized lenders who often encounter challenges when trying to scale due to limited access to loan capital.
Bridging the Gap Between Technology and Capital
Adedeji Olowe, CEO of Lendsqr, explained the reasoning behind the new program:
“For a long time, we believed that providing top-tier lending technology was enough to help lenders scale. But technology alone cannot scale a loan business without adequate capital. That’s why we decided to go a step further and solve this critical need.”
The on-lending model, at the core of this initiative, allows digital lenders to access capital at competitive rates, making it easier for them to offer credit solutions in the market. By connecting lenders with much-needed funds, Lendsqr aims to bridge the gap between innovative lending technology and the capital required to keep up with growing loan demand in Nigeria.
Enabling Sustainable Growth for Digital Lenders
Through this initiative, Lendsqr reinforces its commitment to supporting the growth of digital lending in Nigeria. By enhancing access to capital, the fintech startup empowers lenders to expand their reach and remain competitive in a fast-evolving financial landscape, marking a significant step forward for Nigeria’s digital lending ecosystem.
