Posted by With Flowpay, Lendermarket has added a new loan originator to its marketplace. The company, founded in 2021, focuses on SME financing solutions in the CEE region. On Lendermarket, Flowpay loans are offered with interest rates of up to 11%, maturities of up to 12 months, and a buyback guarantee.
One highlighted aspect is that Flowpay’s risk assessment is based on an AI-driven model. The underlying database reportedly includes more than 30,000 companies and over 1,000 data points per borrower. In this context, performance metrics regarding the historical quality of the loan portfolio would have been particularly interesting. However, such data has not been disclosed.
What can be assessed, however, is the financial stability of the loan originator. The low debt ratio (0.95) can be highlighted positively, as well as the fact that the company has been profitable over the past two years, albeit on a small scale. On the other hand, the equity ratio is extremely low (4.7%), portfolio quality metrics are missing, and all published financial statements are unaudited.
Personal Opinion: Compared to the risk-return profiles of other Lendermarket loan originators, Flowpay would currently rank rather low in terms of attractiveness.