Identifying pain points and delivering digital solutions that meet the needs of SMBs

New, SMB-oriented digital business solutions continue to be created, but there are still operational challenges and lending gaps for the market to address. Significant pain points remain across the wide array of digital products and services now available to SMBs, including integration with existing accounting and business administration systems, process automation, risk management and cash flow management. This creates ample opportunity for financial institutions to develop their own strategic digital solutions specifically tailored to the needs of SMBs.

For example, the proliferation of consumer-targeted platforms led to a surge in B2C commerce during the pandemic, but unfavorable pricing and terms, stringent platform requirements and the need for more effective payments integrations remain a challenge for many SMBs. Digital underwriting and embedded finance solutions have simplified lending for SMBs, but many SMBs remain underserved and unsatisfied by intensive loan application requirements and slow decisioning processes. Additionally, many SMBs remain dissatisfied by traditional risk management solutions, which were designed to meet the needs of large corporate enterprises rather than SMBs.