Digital banking platform Oxygen today announced it has partnered with Fundera, a financial marketplace for small and medium-sized businesses (SMBs) to compare multiple loans instantly, to streamline the application and distribution process for the latest round of Paycheck Protection Program (PPP) loans.
The Oxygen-Fundera partnership will assist firms with fewer than 300 employees while also targeting sole proprietors, independent contractors, and gig economy workers, who struggled to obtain loans in the first round of PPP as it was largely driven on payroll, which they do not have.
By being directly matched with a lender from Fundera’s online marketplace, Oxygen Business Deposit Account holders will be empowered to navigate the PPP loan process faster and will be matched with a lender who can help them best address their unique business situation and financial circumstances, the companies said in a statement. Fundera has helped more than 85,000 SMBs secure more than $2.5 billion in funding since its launch in 2014.
As part of the overall $900 billion second-round relief package, some $284 billion in potentially forgivable loans has been earmarked for small business relief, with special consideration being given to minority businesses. Firms or individuals who can demonstrate a 25 per cent or greater loss in income will likely qualify for second-round PPP loan amounts totaling 2.5 times their average monthly income from the previous year.
According to CEO Hussein Ahmed, Oxygen encourages small businesses who are hurting financially to start early, as the last day to apply for and receive a second-round PPP loan is March 31, 2021.
“When the second stimulus bill was finally signed after months of inaction, we knew we had to move fast to help,” said Ahmed. “Small businesses are the lifeblood of the economy and have had an enormously challenging year. Fundera was the ideal partner to get this up running quickly and best serve our customers. Together, we will deliver a financial lifeline to our customers.”
“In just a short time, Oxygen’s small business banking solution has become known for its high degree of customer engagement and satisfaction,” said Greg Hockenbrocht, head of business development at Fundera. “We are happy to be partnering with them to deliver much-needed relief to their small businesses and look forward to working together to ensure future success for their clients.”
More details about second-round PPP loans made through the Oxygen-Fundera partnership can be found here.