- Starling has granted $ 849 million in loans through the government-sponsored bounce-back loan program, which has been granted to approximately 24,000 local businesses.
- Starling is better able to gain a larger share of the UK market by having gas in business banking.
The £ 654m ($ 849m) loan granted by the British neobank through the government-backed government bounce-back loan (BBLS) program went to around 24,000 local businesses, crowdfund insiders Reports. Broken down by region, Starling paid most of its loans to companies in the London region, where it lent £ 6,704 to GBP 205.7 million (USD 266.9 million).
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Starling has actively expanded its business banking offering in recent months, both in response to the pandemic and more generally:
- It was awarded both through the BBLS and through another UK aid program, the Coronavirus Business Interruption Loan Scheme (CBILS). Starling even founded one partnership with the Funding Circle credit platform to provide GBP 300 million (USD 366 million) of CBILS loans through the Lending Circle platform. Neobank's participation in the two relief loan programs is putting great pressure on small businesses to finance their emergency.
- The Neobank has also introduced new functions that are tailored to the specific needs of companies. Starling offers a second way of connecting companies with financial support revealed A tool that asks customers questions to help them identify the right government-supported coronavirus support offerings. In addition to the coronavirus-driven features, Neobank launched a US dollar account in July that customers can use to spend both pounds and dollars on a single card, and a business toolkit (including tax and savings tools) brought beta testing since January.
Starling is better positioned to gain a larger share of the UK market by having gas in the business customer business – especially during the pandemic when companies need help. The combination of Starling's rapid and thorough response to coronaviruses and new features that continue to add value after the pandemic should boost business customer acquisition efforts and customer satisfaction, and generate momentum and positive word of mouth that increase Starling's profile in the UK commercial banking business becomes market.
However, it should be noted that Neobank still has a long way to go before it reaches a level where it poses a major threat to the established banks in the business banking area: making the funds it lent through the BBLS only 1.9% of the £ 33.7 billion ($ 43.7 billion) lent under the program as a whole and the major incumbents Lloyds Lent BBLS loans were paid out on the first day, more than Starling's current total of GBP 1 billion (USD 1.3 billion).
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