Equal access to financial opportunities is critical for the development of SMEs globally, regardless of the markets they operate in, and iFactor’s recent rebrand to Lendox marks the commitment to help European SMEs achieve equitable and smart lending. 

The move comes in the context of iFactor’s fast growth and the expansion of their international footprint. Lendox’s vision of an inclusive economy is a direct translation of SMEs’ real-world challenges, a commitment to helping underserved businesses that drive economic growth.

Lendox’s mission is focused on embedding its AI-powered tools into the lending infrastructure of banks and non-bank financial institutions (NBFIs). The company helps these institutions reduce default rates while opening the door to new lending opportunities. The technology gets rid of manual processes, enabling more agile loan approvals. Speed and accuracy in lending are indicators of SME development, which is why Lendox improves operational efficiency.

The Right Time For Smart Lending

The core business of Lendox is, therefore, centered on solving a long-standing problem: SMEs, the backbone of any economy, are often shut out from traditional financing options. According to recent global trade finance figures, more than 90% of SMEs struggle to access funding. This issue persists even though these businesses are actually critical to creating jobs and generating economic value. The reason? Most traditional financial institutions view SMEs as risky due to insufficient or unreliable credit data.

The company’s flagship product, a credit intelligence tool, empowers banks and financial institutions to make faster, more informed lending decisions. The twist in their approach comes from introducing this new analytical dimension in the scoring process, with features such as credit risk assessment and loan monitoring, by tapping into alternative data sources. This tool draws from over 12,000 data points—including social media activity, digital footprints, and transaction behaviors—to build a comprehensive, accurate picture of a business’s creditworthiness. 

This centralized due diligence process goes beyond the traditional credit scoring models, which often exclude SMEs. The ability to assess risk using both conventional and unconventional data allows Lendox’s partners to serve a broader range of businesses without compromise. Their technology can fundamentally improve the way banks assess creditworthiness, opening up opportunities for businesses that would otherwise be overlooked.