SaaScada gives NEXA Finance ‘centre of truth’ for investment reporting
SaaScada enables NEXA to automate financial reporting, helping to improve speed and accuracy by eliminating manual efforts – while laying the ground to better understand its lending portfolio.
London, June 2024 – Cloud native core banking platform, SaaScada, today announced that it has renewed its partnership with residential property development funding platform, NEXA, to automate the creation of accurate and timely financial reporting. NEXA’s lending platform connects building societies with independent residential property developers, helping to ensure borrowers can secure funding at a fair price. By adopting the SaaScada platform, NEXA now has a trusted source of truth on all financial information, helping to save half a day of the team’s time every month.
NEXA provides a full service to lenders and borrowers – helping to uncover deals, support with legal documentation, valuations, and investment reporting. However, the manual effort needed for reporting was becoming a drain on the small start-up team – as well as introducing the potential risk of human error. As an existing SaaScada customer, NEXA worked with the team to adapt the SaaScada core banking platform to automate the delivery of all financial information and reporting to building societies. This has helped to reduce time spent on reporting, while also giving peace of mind that all figures are correct – providing a solid foundation for data analysis to help NEXA better understand its lending book.
“Housing is a big issue in the UK. But it can be hard for smaller developers to get the money they need from traditional lenders, which can act as a chokepoint in the industry,” comments Mark Williams, Chief Operating Officer and Head of Credit Risk at NEXA. “We just want to help more people build homes. By providing this matchmaking service, we are streamlining the process from cradle to grave, making it as easy as possible for both our lenders and borrowers. A big part of this responsibility is financial reporting.
“Building Societies have stringent rules around financial reporting – the data provided must be accurate, and timely, with no margin for error,” Williams continues. “Previously, we worked from spreadsheets, which all had to be transferred across into hand-filled statements – it was ridiculous. Now with SaaScada it’s all automated, and importantly, highly trusted – when we get a redemption figure, we know it’s right. This data will also be key to helping us understand more about our portfolio, to inform investment strategies around diversification and concentration.”
NEXA originally intended to use the SaaScada platform to create a lending platform that would connect individual investors with property developers. However, shifts in the regulatory landscape meant it needed to pivot its business model. SaaScada was able to work with NEXA to adapt its platform – working in partnership to create a bespoke model that worked for both teams.
Today, NEXA works with 40 lenders – ranging from SMEs to sole traders – and five building societies. The company achieved profitability within two years and has increased its deal size, as its portfolio of lenders and borrowers has broadened. NEXA is also able to fund more social enterprises and unusual developments that may have otherwise struggled to get off the ground – such as building a house out of shipping containers or turning an old hospital into apartments and supporting the building of more social housing. As a next step, NEXA will be expanding beyond England into other areas of the UK, increasing its reach and growing deal sizes to help even more developers get the funding they need.
“When we realised that we needed to pivot to building societies it completely changed our business model. SaaScada could have just said ‘that’s not what we do’ but instead they listened and worked with us to build a solution. It’s been a real team effort. The team is incredibly responsive. And they have a deep understanding of our industry – they have just been fantastic to work with. And with SaaScada managing the nuts and bolts for all our financial information, we feel confident in the numbers, leaving us to focus on delivering a best-in-class service and growing the business – which is going from strength to strength,” Williams concludes.
Nelson Wootton, Co-Founder and CEO of SaaScada adds: “NEXA was one of the first businesses we worked with, and it’s been great to see how far they have come. The team has a genuine drive to do good and to support their lenders in getting the best deals possible. We’ve loved working with the NEXA team to ensure our technology delivers on their exacting requirements and we are all proud of where we have got to. We look forward to seeing NEXA continue to grow and prosper.”
About SaaScada
SaaScada is an industry proven cloud-native core banking engine that enables organisations to unlock trapped customer value, mitigate risks, and drive real-time data insights. SaaScada simplifies and accelerates the process of developing new services – enabling launch in months instead of years in a cost-effective, compliant, and secure way.
About NEXA
NEXA Finance connect Institutional Investors with ambitious Residential Property Developers to offer dynamically different lending solutions, with a personal approach. NEXA are dedicated to building brighter financial futures by providing a truly alternative lending model, funded by UK Building Societies, that challenges the overcomplicated commercial models favoured by traditional banks and lenders. NEXA have created simple, jargon free products which are delivered and explained by a close knit, experienced team. The people you meet are the people you’ll deal with throughout the process.
