Dan Cobley, a former Googler and CEO of Brightbridge Ventures, was chatting up his newest venture last week, SalaryFinance. The company that seeks to provide a credit vehicle that companies can offer to employees to refinance debt such as credit cards. Â Because the employer knows the individuals taking out a loan are good for it (since it gets deducted from their paystub), Salary Finance may offer a more competitive interest rate to borrowers.
Talking to CNBC, Cobley believes this company may become a fabled Unicorn at some point in the future. Â Of course an enterprising employer could probably do this on their own but they would not be able to capture the scale of a provider.
Cobley states that an unsecured consumer loan for less than £5000 will cost a borrower a 20 to 25% interest rate. Pretty steep. If you can move that number to where you are paying 7.5% that is “compelling”.
SalaryFinance makes a small margin on the loans offered to customers. According to an earlier report, it takes only 30 minutes to load a new organization onto its platform.
Watch the video below.