ABC seeks more business loans with cash flow


Mr Vacy-Lyle said this type of loan helps customers – who can repay loans from their working capital as they go, maximizing cash flow – as well as the bank, as credit is become part of the main offer of traders.

Small business confidence remained elevated ahead of last week’s federal election, but there was high uncertainty about inflation, leading to expectations that confidence will weaken in the course of the next quarter.

Dominate in technology

“The problem now is to determine where consumer demand for goods is and what is the ability of businesses to pass on cost increases,” Vacy-Lyle said. “We saw that more than half were able to pass on costs.”

With approximately 18% loan market share and 22% transaction market share, the CBA is focused on providing additional loans to these relationships throughout 2022 and 2023.

The bank is looking to sectors where it dominates technology to expand into small businesses, hoping its new point-of-sale technology will help it win customers in the lucrative healthcare sector.

With more than 100,000 physicians processing $120 billion in payments a year, Vacy-Lyle said the end-to-end solutions the CBA could provide were helping drive growth in a field that was cyclically strong.

But CBA was also looking to expand in the hospitality sector, which had emerged from the pandemic in good shape.

Hotel market

“Australians love clubs and pubs. We initially thought it would be completely destroyed by the pandemic, but it’s quite remarkable how resilient they have been,” he said.

CBA said its acquisition of Doshi would help it capture more of the hospitality market, as tighter labor markets have resulted in more people ordering from their tables as companies change their models.

Mr Vacy Lyle said Australians spend $30 billion at 90,000 venues each year and that Doshi, which connects Deliveroo’s app ordering to kitchens at tables in venues, helps businesses save costs and benefited from consumers becoming more digitally savvy.

CBA Chief Executive Matt Comyn told analysts and media during the bank’s recent technology update that the CBA is increasingly engaging its retail customers with deals and offers from its business customers. through the CommBank app.


About Author

Comments are closed.