PC: Channel Post MEA
Mashreq Bank, one of the foremost commercial banks in the MENA region, has announced a partnership between its business banking unit and NEO PAY, Undertaking an unyielding Point-of-Sale lending service, which is here to help SME retailers in the UAE using the NEO PAY platform.
Merchants can fulfill their need for payment processing and funding from one platform, NEO PAY, through the medium of the said lending solution. This is in keeping with Mashreq’s philosophy of supporting SMEs on their growth journey while helping them engage effectively in today’s market environment.
Vibhor Mundhada, chief executive officer, NEO PAY, is delighted to see the launch of the solution and has stated that the PoS lending solution is to provide SME enterprises with an easy and flexible way to obtain financing. The availability of cash would enable them to manage cash flow and increase sales. He pointed out that this milestone reminds NEO PAY of its commitment to empowering businesses with the necessary tools to thrive in an increasingly competitive environment.
Merchants can now access financing through a sales-data-dependent lending facility, which means they will have no lengthy processes to undergo for approval, nor rigid traditional credit checks. This will assure another layer of financial stability which allows SMEs to expend their energy on growing their businesses. Due to the linkage between sales and repayment, merchants can manage their cash flow better, and thus lessen their financial burdens during sluggish periods. Essential business needs such as buying of stock for inventory, marketing, or expansion allow for seizing new growth opportunities without waiting for conventional loan approvals.
Rajeev Chalisgaonkar, Head of Business Banking and NEO BIZ at Mashreq, remarked that both NEO PAY and Mashreq Business Banking have, in different ways, led the charge for SME initiatives in the UAE for the last decade-plus-using different solutions ranging from merchant solutions to banking products. He fleshed out that this collaboration is meant so as to boost support for SME merchants through flexible, affordable PoS lending solutions. In the second part, she underscored the role of Mashreq in such instances-of-either instilling anchor purchases or expanding financial interest in them-with advanced digital lending solutions for instant in-principle loan approvals for SMEs so they would have access to funds as needed.
Chalisgaonkar went on to add that since the business approach is flexible with loan amounts pegged to growth, managers get to scale up their borrowing along, say, the sales growth and expansion plans. By effectively creating PoS lending for their financial ecosystem, Mashreq and NEO PAY have likely cemented their commitment to growing SME and their businesses in the UAE.
It is a sign with which Mashreq builds its vision of being the region’s most progressive challenger bank to always be at the forefront of innovation in quick solutions given to its customers. They have now introduced PoS lending so that it may reconfirm the place of the bank on the growth of SMEs in the UAE.
