Motor Africa, a mobility and IOT infrastructure startup, and OnePipe, a fintech infrastructure provider, have partnered to launch a lending-as-a-service proposition to help mobility entrepreneurs gain access to working capital.
The firms stated that the capital will be in form of an overdraft to finance car repairs, purchase genuine spare parts, vehicle and personal insurance, smartphones, and cash for personal and family welfare support needs.
They explained that their technology, which generates analytical telemetry and remittance income data, will assist registered lenders in making informed lending decisions while also managing seamless credit repayments.
According to Motor Africa, a trade name of envio Logistics Inc., it has activated more than 2,000 vehicles on its platform and is positioned to enable vehicle owners.
The Co-founder and Chief Executive Officer of envio Logistics Inc, Sylvester Chude, said, “Commercial transportation is a crucial service for the growth of any economy, and the role of technology and innovation is essential for its success in Africa.”
In a statement, the partners added, “The lending as a service infrastructure, which utilises hybrid telemetry IOT systems, enables lending partners to create loan products with interest rates and repayment terms, as well as manage credit requests, augeolocationtomatic underwriting, cash disbursement, and repayment collection.
“The intelligent repayment collection service enables credit subscribers to make repayments via bank transfer to a dedicated repayment wallet before due dates, failing which the system will automatically disable the engine of the collateralised vehicle and share the geo-location with Motor Africa recovery agents in the event of a repayment default.”