Solifi, a global fintech software partner for secured finance, announced its newest technology partnership with Codat to make it easier for asset-based lending (ABL) firms to make smarter, faster and actionable credit decisions. Using pre-built APIs, Codat enables consented business data from small- and medium-sized business (SMB) banking, accounting and commerce platforms to integrate into operational systems in real time. This allows customers to optimize business operations, streamline processes, and make informed decisions, securely and accurately.

“We are excited to partner with Codat to provide a seamless online experience for our customers and their borrowers,” said Solifi Chief Product Officer Bill Noel. “Together with Solifi’s ABL SaaS solution, automating this process and connecting disparate systems retrieves insights in real time to help ABL customers make faster and more informed decisions.”  

Obtaining real-time collateral information and reporting is a common challenge for ABL lenders, who require accurate and up-to-date accounts receivable and inventory balances, as well as periodic balance sheet and profit and loss information (P&L) to make effective credit decisions and to ensure covenant compliance. Currently, much of this process is manual and not standardized, leading to slow turnaround, outdated data, and incomplete information.

Partnering with Codat using prebuilt APIs, ABL lenders can effortlessly retrieve real-time accounts receivable, accounts payable, inventory, and P&L activity directly from the borrower’s online accounting package. This seamless reporting ensures the lender has the latest, most accurate, and secure views into collateral value, covenant compliance, and the overall borrower’s financial strength.

“Our partnership will enable Solifi’s customers to automate the collection, standardization and analysis of the data needed for underwriting,” said Philip Low, head of partnerships, Codat. “With very little heavy lifting, Codat’s API will integrate systems and empower ABL lenders with access to actionable insights so that they can make fully informed lending decisions, reduce risk, and ultimately increase profitability.”