The service is expected to be running by the middle of 2017.
Small business owners will be able to apply for credit lines and loans on Citizens Bank’s website, often receive a decision within minutes and be funded in as soon as three business days. Fundation will offer create to some applicants who do not meet Citizens Bank guidelines.
“This simple digital application process will be quicker and more efficient for customers making smaller requests for credit, enabling them to get back to running their businesses sooner,” Citizens Bank head of business banking Chris Ward said. “We believe that our new, automated lending platform will complement the tailored, advice-based services available through relationship managers and bankers to our customers who need larger loans or who have more complex needs such as cash management.”
“At Fundation, our mission is to enable our strategic partners to serve their small business customers more efficiently and more broadly,” CEO Sam Graziano said. “This collaboration does exactly that. The combination of Citizens Bank’s powerful customer-facing brand and our digital lending platform will allow us to collectively serve more customers with best-in-class products and a best-in-class customer experience.”
The Citizens Bank partnership caps a busy year for Fundation which also included deals with digital wealth management SigFig, Regions Bank, BancAlliance community bank network, and the Department of Commerce’s Minority Business Development Agency. They also secured a $100 million credit facility from Goldman Sachs.
The digital lending service is subject to the negotiation of a definitive agreement between Citizens Bank and Fundation.