Access to loan: when reputation matters
When evaluating a request for access to loan from a company, how important is the profile of the entrepreneur?
When a few days ago we saw c ome is verified the feasibility of a loan application , the analysis that we have proposed has highlighted especially the historian of the company and the shareholder structure, economic and financial factors, and the bank PERFORMANCE purposes.
All factors always taken into account by banks in the analysis of loanworthiness (probably, what differs from the past, is the degree of severity with which certain parameters are evaluated). In all this an important factor is missing, that is the profile of the entrepreneur / representative of the company.
The “direct bank” takes off
It is a duty, for the lender, to get an idea of the subjects to whom the loans should be provided. This need, always present, is now inscribed in a context in which traditional relationships with banks (I go to the branch, I speak with the consultant, I make an appointment to see the director, etc.) are gradually leaving room for contacts more frequent and aware, but based essentially on technology, then through the use of mobile and the web (thanks to smartphones and tablets). So the so-called “Direct Bank” is made wider, of which we often analyze the characteristics on these spaces.
How to know the customer?
This trend is on the rise above all in the Anglo-Saxon countries, mainly in the private sector, but also special services for companies are beginning to appear on the market. In Italy this trend is less evident, even if some banks have begun to invest in digital services to businesses.
One of the main purposes of the “Direct Bank” is to find new ways to interact with the customer.
How, then, will it be possible for the bank that has to finance a company project to obtain a precise idea of the entrepreneur making the request?
The “loan scoring”
Some American and British financial institutions are beginning to look for useful information to integrate the final evaluation, building a real “loan scoring”, based on the “traces” that a subject leaves on the web . “Social media” therefore become fundamental tools for measuring reputation.
How does it work? For example: if a restaurant makes a request for funding, it is part of the valuation practices to research the online reputation of the business. So: the presence of a site, a continuous management of pages on social networks or reviews on Tripadvisor certainly help to better understand what type of business and entrepreneur is requesting loan. If the restaurant itself was not in any way traceable on the web, it would certainly not be a good sign.
This type of analysis certainly represents the future of loanworthiness analysis . Let’s not forget that information is common on the web: it is therefore important for the entrepreneur, right from the start, to carefully consider everything he talks about him and his activity on the internet.