Dubai (March 2020): Small and medium enterprises (SMEs) play an integral role in the UAE’s economic growth, and, with Expo 2020 on the horizon, their influence on the economy is as important as ever. By the time Expo 2020 opens in October, SMEs will have received AED 4.7 billion in investment during the pre-Expo phase, supporting 12,600 job-years. Abu Dhabi Finance (ADF) and Beehive’s ground-breaking partnership, which provides vehicle finance lending for RTA-registered assets to SMEs, aims to further support SMEs, aligning with the Government’s vision.
As part of the collaboration, which allows both companies to expand their product ranges and provide new lending options to customers, ADF and Beehive will issue their loans based on asset values, with ADF securing loans through its existing mortgage process. This combined offering will enable SME borrowers to potentially leverage more against vehicle purchase values. Beehive investors on the other hand will be able to invest in these new loans on the online marketplace in the same way that they currently do for unsecured business finance, with the additional benefit of having the security on these assets held by a robust regulated finance institution such as ADF.
In line with ADF’s dedication to nurturing the growth of SMEs by developing products and solutions to suit the ever-changing needs of businesses, its partnership with Beehive will help SME borrowers to get better loan-to-value ratios on their assets.
Commenting on the partnership, Chis Taylor, CEO of ADF, stated, “This is an excellent opportunity for ADF to continue to support SME growth in the region. By strengthening our partnerships with leading FinTechs like Beehive, SMEs will continue to benefit from market-leading products which help to facilitate cash flow requirements, enabling them to focus on growing their businesses.”
Peter Tavener, CFO & COO of Beehive, said “This new product is not only a great addition for our investors to diversify their portfolio, but also represents the power of collaboration between financial institutions and FinTechs. We look forward to working with ADF and developing this great partnership.”
In addition to its partnership with Beehive, the ADF team is looking forward to reaching even more major milestones in 2020. On top of achieving a 92% average client retention success rate, and supporting several FinTechs validate data and proof of concept, 2019 was also the fifth year in a row that ADF delivered solid dividend returns to shareholders. Led by vastly experienced executive management, supported by a strong group of shareholders and powered by a motivated and passionate team that is committed to client success, ADF will continue to evolve its all-important high touch customer service in 2020 and beyond.