The Wisetack series from azevedo techcrunch aims to discuss the business and technology behind online loans. Its focus is on service-based businesses, such as SaaS companies, and how these companies can benefit from the model. The article also discusses the company’s expansion into the BNPL business. The model is proving to be quite effective, with the loan volume increasing by over 20 times between January 2020 and January 2021.
Focus on service-based businesses
Wisetack is a technology company based out of Seattle, Washington. The company is not particularly new and is a veteran of the tech startup scene, but it certainly isn’t a slouch. In short, it is a technology company, but it’s also a small business that specializes in a certain type of small business: service-based merchandising. It has a sizable team of 40 in its fold. A recent round of financing and a strategic partnering should enable the company to continue its strong growth trajectory. Amongst the company’s impressive client list are a slew of high-growth startups, including a few unicorns like Amazon, LinkedIn, and Netflix. While the company’s burgeoning client base doesn’t speak to a sexy office environment, it does offer a work-from-home opportunity for those who like to work from home.
Partnerships with vertical SaaS businesses
Vertical SaaS businesses provide industry-specific solutions to their customers. This helps them gain a competitive edge over horizontal vendors. It also provides the business with valuable customer intelligence. Using a vertical approach to selling software and services can also help businesses increase their conversion rates.
In order to effectively serve their customers, companies must understand their target industries at a deep level. The data collected can be used to create innovative value-added solutions. These solutions can replace legacy technology and processes. They can also proactively help customers navigate challenges and better understand their value added.
While many vertical SaaS businesses rely on reselling payments or financial services, newer and more mature vertical solutions offer a full suite of products and services. For example, a restaurant software company could offer general liability insurance to its employees.
Expanding into the BNPL business
The BNPL business has experienced quite a bit of growth in the last year. A lot of companies are looking to expand their operations to other parts of the world. One company that is taking advantage of this trend is Wisetack. This BNPL startup offers consumers the ability to pay for purchases over time.
They are a Seattle-based startup that focuses on in-person services. In particular, they provide consumer financing for home repairs. For example, plumbers, HVAC contractors, and car repair service providers can use their software to offer consumers the option of paying for their services over time.
They are currently working with thousands of businesses. Their technology allows these stores to offer consumers payment plans in minutes. As a result, customers can budget for larger purchases and receive services in a timely manner. While it is not the world’s biggest company by any means, it is a well-funded company and one of several new ventures backed by Tiger Global. Among the more notable investors are UBS, Credit Suisse, and Lakestar, a Switzerland-based private equity firm that invests in a variety of companies around the globe.