Avant

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“Borrow better, faster”

Founded: 2012 in Chicago, Illinois, USA

Category: Financial Technology / Artificial Intelligence

Primary office: Chicago, IL

Core technical team: Chicago, IL

Status: Private

Employees: 500

Amount raised: $1.6 billion (12 rounds – March 2018)

OVERVIEW

Provides 100% online access to loan at below-prime rate, to low-to-middle income earners, eliminating paperwork, time and other challenges inherent in traditional lending.
Provides technology solutions that enables financial institutions to lend money more efficiently online through its fraud detection – enabled online lending platform.

PERFORMANCE METRICS

Valuation: $2 billion (2019)
Annual Revenue: $400 million (2019)

ACHIEVEMENTS

Over $6.5 billion loaned
800,000+ customers
Substantial venture capital

Sells

Online personal loan for Individuals
Avant Credit cards – providing access to individuals who do not have access to installment loans
Amount – proprietary integrable online lending platform for third-party lending institutions
Loan amounts range from $2,000 to $35,000 with an annual percentage rate ranging from 9.95% to 35.99% and loan lengths ranging from 24 to 60 months

Channels

User-friendly Online and Mobile Apps (iOS & Android)
Partnership with banks and local financial service companies
Affiliate marketing

Competencies

Founder-led Management team
Artificial Intelligence, Data Analytics
Cybersecurity – Fraud detection, highly secured and encrypted platforms

Resources

Assets

Top Corporate clientele includes TD Bank, HSBC, etc.
Proprietary lending platform
Partners with Amazon Web services for secure cloud server technologies

Processes

Data driven – customer analytics inform all product decisions
Build, test and learn – learn quickly to find out what works, without sacrificing bottom line
User-friendly omni-channel platform
100% online applications with speedy approval processes
Credit cards offers theft and fraud protection
Flexible repayment system – online, mobile, available 24/7

Priorities

Continuously raise funds – Launch Initial Public Offering (IPO)
Grow highly skilled and diversify workforce
Increase product diversity

Assertions That Best Describe What the Company Did to Scale Early, Rapidly & Securely

Increase market share by applying digital technology to brand, market, sell, and service customers more cost-effectively than competitors
Access resources required to scale at relatively low cost or for free by creating benefits for the resource owners that they cannot create alone
Apply processes that make products and services easier to understand, produce and deliver
Develop and sell products that address a problem, job to be done or a need that is shared by a large and growing number of individuals and organizations in various regions to increase sales.
Increase the company’s value by continuously seeking and receiving funding to support the company’s plan to scale and improve its image in the marketplace
Continuously improve the user interfaces and applications that directly influence the entirety of the customer experience including personalized content, quality messaging, and the delivery and returns process to increase sales
Continuously improve value propositions based on results and feedback

References

Avant website. https://www.avant.com/about-us/

Craft. 2019.Avant. https://craft.co/avantcredit/metrics

Crunchbase. 2019. Avant. https://www.crunchbase.com/organization/avant-credit

Daniels, S. 2020. Avant splits into two companies with potential IPO eyed for one. [online]. Crain’s Chicago Business. https://www.chicagobusiness.com/finance-banking/avant-splits-two-companies-potential-ipo-eyed-one

Owler. 2019. Avant. https://www.owler.com/company/avant

Contributors

Yinka Olanrewaju-Olawepo