Archover partners with Coface to provide lender cover for growing loan portfolio
ArchOver, the premier B2B crowdlending platform that is unique in using credit insurance to protect lenders from possible default on business loans, has partnered with Coface, an acknowledged expert in international trade risk and one of the world's largest credit insurers, to create future protection of up to £100m.
The new arrangement will enable ArchOver to have the appropriate level of lender cover in place for its ever-growing portfolio of loans. The overall effect will be to reduce both time and cost to the borrower, but each loan application will still have to satisfy the rigorous initial and ongoing credit analysis processes of both ArchOver and Coface.
Commenting on the new facility, Angus Dent, CEO of ArchOver, said:
"This represents a major advance for us and reinforces the double protection aspect of using credit insurance to protect our lenders alongside the security we take over borrowers' Accounts Receivable."
"The choice of credit insurance partner followed a lengthy selection process and reflects our view that Coface is best able to meet our current credit insurance requirement as well as accommodate our future plans to expand beyond the UK. We have teamed with a genuine world leader in the sector and, most important of all, both parties regard this not as one deal in isolation, but as a trading collaboration that will evolve for mutual benefit."
Ian Anderson, Marketing and Operations Director of ArchOver, continued:
"The detailed information on companies and markets held by Coface not only helps us to onboard good quality borrowers, but supports our monthly risk monitoring of all our loans over their term – something no other crowdlending platform can match."
Frédéric Bourgeois, Managing Director of Coface in the UK & Ireland, said:
"Coface always strives to support businesses and develop markets so this partnership is perfectly aligned with our objectives. ArchOver's approach to protecting its lenders is one that we like and fits in very well with our own thinking and business model. We are looking forward very much to working with the ArchOver team to explore the future in the UK and beyond."