The servicing bank and the technology company will form a powerful fintech alliance to improve small business lending.
Frankfurt/Zurich, December 09, 2021 - Frankfurt-based Raisin Bank AG and Swiss technology company Teylor AG today announced their cooperation in SME lending. Teylor pre-selects SME borrowers for the Teylor Debt Fund through its digital platform on the basis of its own scoring model while Raisin Bank assumes the role of the fronting bank, in which it is responsible for all supervisory activities. By involving Raisin Bank in the lending process, the Teylor Debt Fund complies with all regulatory requirements for funding corporate loans.
The partnership, which enables the operation of a licensed lending business, strengthens Raisin Bank's position as a as market leader in loan fronting and Teylor's expertise as a leading SME lender.
Dr. Andreas Wolf, Chief Commercial Officer at Raisin Bank, comments, "With Teylor we have found a partner that shares our philosophy of agile and modern services. Teylor has revolutionized SME lending and made it simple, transparent, and fully digital. We accelerate this process with our cloud-based digital banking solutions. The cooperation strengthens Raisin Bank's position as a leading fronting service provider in Germany and Europe."
Huy Nguyen, Head of Private Debt at Teylor AG, says, "Raisin Bank is the ideal fronting partner for us to provide flexible loans to small and medium-sized enterprises in the shortest possible time. Together, we are taking SME fintech lending to the next level. The efficient deal execution of the latest transactions of the Teylor Debt fund shows how good and important our cooperation is."
The Teylor Debt Fund is a private debt instrument that has already been tested in a beta phase since late last year. By investing in the fund, investors gain access to stable cash flows from the most financially stable part of the German Mittelstand and a proven pool of borrowers. Investors benefit from proven risk processes and technologies that enable fast and flexible lending and generate attractive returns. "Most private debt funds specialize in larger financings, partly because they shy away from the cost intensity of SME lending. We can offer such a fund thanks to the high level of digitalization and our proven technology," adds Huy Nguyen.
Teylor has been brokering loans through its technology platform for several years, which has enabled it to build an extensive pipeline and long-standing relationships with its borrowers. At the same time, the company's technology-driven approach and experience with over €2 billion in processed financing allow it to leverage more accurate scoring tools and reduce default probabilities.
About Raisin Bank
Raisin Bank AG targets Europe's fast-growing fintech community with a wide range of innovative, tailored and reliable services. Since its foundation in 1973, the Frankfurt-based bank has focused on serving business customers. Raisin Bank offers expert advice and efficient Banking-as-a-Service solutions, particularly in the processing of loan portfolios and the receivables of selected borrowers. As a fronting and service bank with a full banking license, Raisin Bank supports the implementation of business models that require a banking license. Raisin Bank’s clients include fintechs like Creditshelf, Exporo, Remagine and Scalapay, as well as family offices and funds in the areas of loans, deposits, accounts and payment transactions, among others. The bank AG has been operating under the Raisin Bank AG name since April 2019 and is a wholly owned subsidiary of Raisin DS GmbH.
About Teylor AG
Teylor is the Swiss technology company that has developed the Teylor Platform, a suite of software modules that enable financial institutions to build, deliver and scale digital credit products. Teylor can customize its software modules to fit the requirements of any credit provider and credit product. Lenders can pick individual modules to complement and integrate with their existing legacy processes and technologies or develop entirely new digital processes from scratch. Banks throughout Europe use Teylor's software modules to innovate their lending processes, digitize their products and reduce the cost of lending. SMEs rely on Teylor for fast and convenient access to capital through Teylor's own private debt fund. The Zurich-based company was founded in 2018 by Patrick Stäuble.
Raisin Bank / Raisin DS GmbH
Mathias Paul & Nicole Breforth
+49 151 703 476 37
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