Automated Business Loan Origination
System To Drive Efficiency

Client Organization

BriteCap, a leading provider of low-cost financing solutions to small businesses in the US, distinguishes itself in the market through its commitment to quick turnaround times, a fully digital experience, and streamlined paperwork processes. With thousands of satisfied small business clients and an exceptional rating from BBB and Trustpilot, the client’s reputation for reliability and efficiency precedes them.

Project Brief

The client sought to increase the volume of loans funded monthly by improving their Turnaround Time (TAT) by automating their underwriting process. Facing manual underwriting processes reliant on spreadsheets and Google Drive, the client aimed to transition towards a more efficient, software-driven system while maintaining high-quality underwriting standards. The client also wanted to streamline their loan servicing process to reduce dependency on people and instead scale it up using automation.

Business Needs And Challenges

The client’s key requirements included:

  • Enhanced Efficiency: Racing against time, the client sought to turbocharge loan processing, slashing turnaround times to fund more businesses faster.
  • Quality Underwriting: Balancing precision and simplicity, the client aimed to refine underwriting practices, ensuring thorough assessments without drowning customers in paperwork.
  • Integration of Third-Party Data: Integrating various third-party data sources to streamline the approval process.
  • Custom Workflow: Adapting the system to accommodate the client’s unique workflow requirements presented challenges in implementation and change management.
Business Challenges

Solutions

We proposed a comprehensive Loan Origination System (LOS), a Loan Management System, and a Data Warehousing solution to address the client’s needs. Key features of the LendFoundry solution included:

  • API-Based LOS: Initiating applications and collecting essential borrower data.
  • Integration with Third-Party Providers: Seamless integration with a range of third-party data sources for enhanced underwriting.
  • Flexible Workflow: Adaptable workflow features tailored to the client’s specific requirements.
  • Custom Screens: Data and calculation-heavy screens enabled efficient decision-making.
  • API-Based LMS: Ability to manage the loan servicing process using the LendFoundry Loan Management solution.
  • Document Management Enhancement: Strengthened document management capabilities to handle large volumes of data.
  • Data Warehousing: Providing access to the client to borrower data, 3rd party data, and processing data for their analytics and reporting needs.
  • Automated Solutions: Addressing challenges such as timeouts with automated solutions, including automated resending of information.
  • Change Management Support: Guiding the client through change management processes to ensure successful adoption of automation.

Benefits

Benifits

The implementation of LendFoundry’s solution resulted in significant benefits for the client:

  • Enhanced Efficiency: Optimized underwriting processes leading to increased throughput and reduced turnaround times.
  • Improved Accuracy: Automation improved the accuracy of underwriting decisions, enhancing overall loan quality.
  • Modular Architecture: Modular design facilitated integration with numerous third-party providers, expanding the client’s capabilities.
  • Flexibility: Flexible system design enabled the client to adapt to diverse underwriting scenarios effectively.

Tools and Technologies

aws_icon

AWS

Microservices_architecture

Microservices architecture

Configurable_services

Configurable services

API_architecture

API-based architecture

Robust_framework_automation

Robust framework for automation

Configurable_userinterface

Configurable user interface (UI)

Data_Service_Architecture

Data-as-a-service (DaaS) architecture

Extensible_payment_services

Extensible payment services

About LendFoundry

LendFoundry is a next-generation, cloud-based, AWS WAR (Well-architected review), SOC1 and SOC2 Type2 compliant, full-stack technology platform to enable digital lending.

Available as a SaaS offering on AWS, LendFoundry is built using a micro-services architecture and is highly customizable and scalable. Powered by API integration with 80+ traditional and alternate data providers and platforms, it can help digitize a lender’s entire loan lifecycle to deliver faster loans and also add new customer segments.

LendFoundry is a division of Sigma Infosolutions; a 20-year-old company headquartered in Irvine, California.