Lazada and the consumer finance arm of Security Bank, SB Finance, have partnered up to help online sellers grow their businesses.
Under the partnership, SB Finance will offer multi-purpose loans of up to P500,000 to Filipino sellers on online marketplace Lazada as a way to stimulate their growth amid the continuing pandemic. Micro and official sellers are eligible to apply, with loans carrying an introductory interest rate of 1.89%, payable up to 12 months.
P30,000 is the minimum loan amount.
Approved loans can be expected to arrive in their accounts within three banking days.
“With the shift of consumer behavior to online shopping, the demand for e-commerce business expanded. Through our partnership with Lazada, we hope to help sellers gain more access to capital to grow their business and bounce back from the economic effects of the pandemic,” SB Finance CEO Abbie Casanova said.
Digital payments grew by over 5,000% in 2020 according to the Bangko Sentral ng Pilipinas, signifying the shift from physical retailers to online sellers due to the pandemic. The loans would help sellers further capture the fast-growing online market. Lazada has about 100,000 monthly active sellers in the Philippines.
“Through this partnership with SB Finance, we’re happy that we are able to provide our sellers access to multi-purpose loans that help them finance their online business. Our core mission at Lazada is to uplift Filipino MSMEs, helping them grow and scale in the digital space,” said Ray Alimurung, Lazada Philippines CEO.
The new loan adds to the other financing options Lazada has with Esquire Financing, SeekCap, Kayamo, and CIMB Bank.