On Thursday, online payments company PayPal Holdings said it has agreed to acquire lending firm Swift Financial in a deal that will hopefully expand its business that provides working capital to merchants. Terms of the deal were not disclosed, and is subject to regulatory approval.
Founded in 2006, Swift Financial offers credit to businesses through methods like loans and advances. With Swift, PayPal will be able to grant loans to firms that process payments through its platform, in addition to providing credit to firms that are not yet users of PayPal’s services. Additionally, PayPal can also offer term loans of up to US$500,000 to its larger merchants, as well as utilize Swift’s data and capabilities.
With this deal, PayPal believes it will be able to “better serve small businesses by enhancing our underwriting capabilities to provide access to affordable business financing solutions to more businesses to help them grow and thrive,” said Darrell Esch, vice president and commercial officer of global credit at PayPal, in an interview.
Full Content: Paypal