Lender restructures executive team

by Madison Utley28 Feb 2020

A rapidly growing fintech lender specialising in SME finance has announced a restructuring of its executive team.

Prospa co-founders, Greg Moshal and Beau Bertoli, have served as joint CEOs since the group’s launch, but are now transitioning to new roles and responsibilities, effective immediately. 

Moshal will continue to act as CEO, while Bertoli assumes the newly-created role of chief revenue officer, a decision the company has attributed to “deliver[ing] on its future growth aspirations”.

Both Moshal and Bertoli remain significant shareholders in Prospa and will maintain their executive board positions.

“I’m super excited to take on the newly created role of chief revenue officer and focus on growth,” said Bertoli.

“The new organisational structure will allow both Greg and I to concentrate on what we do best, and in my case, that is focusing on growing originations, customers and our distribution capability.”

In its half year results shared yesterday, the group revealed it had exceeded its forecasted growth for the six-month period to December 2019. 

Total loan originations for HY20 were $306.8m, bringing originations for the calendar year to $583.0m, exceeding the forecasted total of $574.5m.

Prospa has now lent over $1.4bn to nearly 27,000 small businesses across Australia and New Zealand.

“Our network of over ten thousand partners is vital to what we do and enables us to reach and support small businesses across a wide range of industries,” said Bertoli.

“Our strong customer and loan originations growth reinforces the demand for fast access to funding, and the exciting opportunities for brokers in the small business lending space.”

The group’s statutory net profit after tax (NPAT) over the six month period was $0.6m, as compared to -$3m in the previous corresponding period.

Customer numbers were up by 45% on the previous corresponding period, with the group also showing strong customer retention, reporting an average of 2.8 loans per customer and a repeat rate of 67%.

For the full financial year, Prospa expects to deliver originations of between $626m and $640m, and revenue of more than $150m.

“Prospa has the benefit of being a first mover in this space, [but] we are not complacent,” said Moshal. 

“We have a huge amount of data about small businesses in Australia and we are very clear what a good small business looks like. We continue to look at ways we can add value by serving small businesses and helping them meet their goals through new products and services.”