Javier Fernández, an economics graduate, was fed up with having to send and receive emails laden with PDF documents every time he needed to make a financial transaction, from opening a capital account to applying for a loan.
Disorganized information and even paper documents got him thinking about ways to make it easier for companies to standardize their data so they could go out and search. a financial boyfriend. Thus, together with his brother Agustín and his friend Ezequiel Vázquez, they created MarchFin in 2021, a sort of “Tinder Funding”, which facilitates procedures that usually take too much time.
Like the dating app, the application offers tools so that those interested in giving and receiving loans or guarantees can make a “match”.
“There are always companies looking for financing and investors giving it. So, what we do through the platform is to provide the necessary tools for companies that need funding for a project, an investment or something else to find market participants who can meet that need, and also those who lend each other services.” . explains Fernández. And he counts that they already are More than 100 companies that are part of the app.
To make themselves known, companies can create a profile on the platform, by Mutual Investment Funds (MFI), Mutual Guarantee Companies (SGR), Settlement and Compensation Agents (ALyC), value chains, banks and companies, often SMEs.
How does the platform work? The first step in achieving the “match” between financial market participants is to carry out a digital onboarding, which allows you to upload the descriptive information of the project to be financed and complete the legal, financial and credit information requested at the time of registration.
Once the company data has been uploaded, a project credit score based on interacting with specialist credit analysts to arrive at a score that it objectively represents the risk profile of the project to be financed.
Once the different institutions participating in the process open their accounts, the information is already loaded on the platform, minimizing the workload required to access it.
“At this point lies the key to putting an end to the flood of emails overloaded with PDFs, so characteristic of the ‘traditional’ financial market: all information is collected in one place and, if in the future the company wants to be endorsed by different SGR or operate with ALyC, you will not waste time re-filling the data in each provider, as previously uploaded information is used,” they say.
Investors receive information from the loan applicant based on their profiles previously uploaded to the platform, and only relevant project data is mentioned. All data is processed and It is provided individually and confidentially.
If the investor is interested in the profile of the company seeking financing and the project to be financed, he carries out the “match” and from that moment he can receive complete information to further his analysis. The company can also choose between different providers of funds or guarantees.
“With these processes, the administrative work of uploading data to SMEs is reduced, which in turn access faster and more serious credit analyzes and obtain financing in an agile and secure way; asset management companies, for their part, have easy access to a credit score of the SME to guarantee it; and the FCPs can better measure the risks within their portfolios, since they will be able to view the credit scores of the SMEs that issue assets”, points out Vázquez, another of the startup’s managers.
Once there is a match, a trading system is opened and the parties define price, rate, termdepending on the instrument or funding need in question.
Source: Clarin
