By its very nature, technology is constantly evolving, meaning what was cutting edge last year may be commonplace today. In the asset-based lending industry, the last year has led to greater adoption of APIs and software-as-a-service solutions, but what has brought about this trend, where could the industry stand to improve and where will it go next?
In a roundtable hosted by ABF Journal, technology experts from across the ABL arena discussed the most recent trends, including real-time data sharing, artificial intelligence and software-as-a-service solutions. Below are the responses from Lendscape CEO, Kevin Day.
What have been the most important technological developments in the asset-based lending space in the last year, whether that be new product launches, greater adoption of established solutions or anything else?
Kevin Day: We see continued use of data extraction technology, such as our open accounting application, to streamline the digital experience for clients, many of which are already following the trend and are using cloud accounting packages. Many more banks are moving their lending technology to the cloud. The direction of micro-service architectures, API, cloud and “headless” architectures (MACH) will enable lenders to have more control on how they assemble solutions and more of a blend of off-the-shelf standard software vs. highly personalized user journeys.
How have newer technologies, specifically ones related to automation and cybersecurity, allowed asset-based lenders to survive and thrive through the economic turbulence of 2022?
Are there certain technological tools that can help lenders and borrowers best weather the broken supply chain and increasing inflation?
What is one area of the ABL process ripe for technological improvement, whether that be business development, underwriting, operations, asset management or anything else? Why?
How have your expectations about the future of ABL technology changed in the last year?
First appeared on: ABF Journal