Business
Vemanti Group’s Portfolio Company Fvndit Has Disbursed Over $15 Million In Loans To SMEs
Vemanti Group’s Portfolio Company Fvndit Has Disbursed Over $15 Million In Loans To SMEs.
About this update from Vemanti Group Inc.
[{"type":"text","content":"\n IRVINE, Calif., July 22, 2020 (GLOBE NEWSWIRE) -- Vemanti Group, Inc. (OTC PINK:VMNT) a multi-asset technology-driven company, today announced that its portfolio company, Fvndit, Inc. (“Fvndit”), has disbursed a record of over $15M USD in loans to SMEs in Vietnam through its P2P lending marketplace, eLoan JSC (“eLoan”). eLoan’s total revenues for FY2019 increased by 338% compared to FY2018. Despite the global uncertainties around COVID-19, it is still projected to exceed last year’s performance. Most of the loans are short-term loans, averaging a two-month term. The average ticket size of the loans facilitated stands at $50,000 USD. Small to Medium-Size Enterprises (SMEs) play a major role in Vietnam's economy, accounting for 98% of all enterprises, more than 41% of GDP ($261.64 billion - nominal, 2019 est.), and over 50% of employment. Access to credit is the biggest challenge for these businesses. It is estimated that 70% of the SMEs in Vietnam don’t have access to proper financing. Banks regard loans to SMEs as risky relative to high transaction costs and approval process could take 1-2 months. Most banks don’t find enough value in underwriting loans for SMEs, often because their typical loan size is not very large, and banks cannot justify the money or the manpower they spend on underwriting smaller business loans. Banks providing commercial loans prefer to allocate their resources to larger firms rather than SMEs. “We measure our success not just on numbers but also the impact we’re creating. Helping SMEs grow is important for Vietnam’s continued rise as a regional economic driver. Our retention rate is over 70%. There is a huge unmet credit demand that we want to fill. We’re currently working on closing a sizable financing transaction with institutional investors to increase our loan portfolio and diversification of products to strengthen eLoan’s position as the market-leading P2P SME financing platform in Vietnam. We’re also confident in expanded future growth with strategic partnerships currently in the works as well as the ones we already have in place like Nam A Bank and Investree.” stated Tan Tran, CEO of Vemanti Group, who is also Fvndit’s CEO. Fintech today is a much sought-after space in Vietnam’s...