GreenSky Transforms the Credit Sector through Research and Innovation

The recent announcement by the principal of GreenSky , Zalik David, has left a lot of tongues wagging. This is the decision by the company’s management to register the organization in the New York Stock Exchange so that it can begin to trade publicly. By going public, GreenSky  is forecasted to raise approximately $750 million, which is aimed at expanding the market share of the organization. The Atlanta-based company has been in service since 2006 when David Zalik decided to start a unique kind of financial organization that would link the commercial lenders to potential borrowers. This way the company would benefit by earning a brokerage fee for any successful transaction between the lenders and the borrowers.

Over the years, GreenSky , under the leadership of David, has figured out the various ways in which it can implement to enhance the flow of activities between the lenders and the borrowers. One of the opportunities for this intervention came about after the observing the time taken by the lenders to process the loans for the borrowers after the application. On average, the turnaround time was approximately three weeks or more. This was because the applicants had to spend hours or even days queuing at the lenders’ grounds waiting to be served with application forms.

After filling in the forms, the tedious process of approval would then follow, which would take quite long due to a large number of applicants involved. Zalik thought into this and found that the best way to solve the challenge was through the use of technology. He sent a research team into action, and after performing various scientific and technological experiments, they came up with a mobile application that would provide an interactive platform between the borrowers and the creditors. This reduced the turnaround time for the service providers and also eliminated the tedious application process that was used traditionally.

GreenSky  has mastered the art of marketing its brand without the involvement of the media. Instead of addressing potential customers using press releases, GreenSky  has entered into good business relationships with traders, merchants and the small financial lenders, who it uses to access their customers through partnerships.

Sources:

Wikipedia and Crunchbase

https://www.fool.com/investing/2018/08/06/why-greensky-inc-stock-is-soaring-today.aspx

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