Transforming global small business underwriting with augmented data
How Uplinq uses advanced AI and automation to help issuers understand SMBs on a deeper level.
Challenge
Traditional underwriting strategies can present barriers to assessing the creditworthiness of small businesses.
Small and medium-sized businesses (SMBs) often rely on credit for survival and success, representing a large market opportunity for financial institutions (FIs).¹ However, SMBs often utilize consumer credit products rather than leveraging FIs’ more robust products.
In most cases, FIs must assess risk and creditworthiness using a limited number of data sources, including credit bureau scoring, tax returns, global cashflow and the “5 Cs” of credit (business character, capacity, capital, collateral and conditions). This can hamper visibility into an SMB’s true creditworthiness. Without access to data beyond these traditional credit risk scoring sources, lenders may hesitate to approve SMB credit applicants, even if they are financially healthy.
Demand for credit is high among surveyed SMBs²
Solution
Visa refers lenders all over the world to Uplinq to help them better understand SMB credit applicants. Uplinq supports more informed credit decisioning by incorporating a vast number of environmental, industry and community data points into one automated platform.
With billions of additional data points and advanced artificial intelligence (AI), Uplinq augments existing underwriting processes to help FIs understand SMBs on a deeper level.³ Uplinq’s credit decisioning support technology looks across more than 10,000 data sources in over 150 countries to provide a more holistic view of creditworthiness — helping to increase approval rates for businesses that may otherwise be declined based on traditional underwriting criteria.³
By leveraging sophisticated AI and machine learning (ML) models trained in macro-economic, regional and local business and cultural nuances, Uplinq enables FIs to cross-validate large datasets — improving credit assessment performance and ensuring compliance with regional regulatory requirements. By enabling automation of credit decisioning workflows, Uplinq can drive significant time and cost savings compared to traditional underwriting.
— Patrick Reily, Co-founder, Uplinq
Results
Uplinq’s approach can enhance risk evaluation performance and drive profitability for lenders of any size — from the largest global FIs to the smallest community banks. Results achieved include:
Conclusion
Related articles
Small to medium businesses
From status quo to cash flow. We help small businesses of all sizes thrive, with partners, tools and services designed to gain greater visibility and control.
Case studies
Visa’s global network of platforms, products and services help individuals, businesses and governments prosper with easier, faster and more secure ways to pay.
Society and Culture
Stories of resilience, innovation, and community impact, showcasing the ways businesses respond to global challenges and cultural shifts.
- World Economic Forum, 2024, August 6. “Access to credit: The silent issue hampering growth and development in emerging economies”. https://www.weforum.org/stories/2024/08/access-to-credit-slowing-growth-and-development/
- U.S. “Visa Small Business Pulse”, 2021, September.
- Uplinq Financial Technologies data.
This offering is not a Visa product or service. Visa works with this third-party to promote this product or service as a potential source of value to your organization. All product or service material, features, functionality, and contracting will be delivered by Uplinq.