Overview of Products

The company’s solution comprises three main modules. Together, these three modules serve as a comprehensive, one-stop solution leveraging initial data input throughout the loan's lifecycle. First, the core piece supports a wide range of loan processing and portfolio management tasks from underwriting to a tickler system for ongoing servicing tasks. Second, Gateway serves as a portal connecting lenders, borrowers, and third parties as needed throughout the application process - and soon to be servicing as well. Finally, Payments functions as a sub-ledger; it generates statements, applies payments, and tracks multiple participants. All clients begin with the underwriting and beginning tracking piece, and can opt to incorporate Gateway and Payments to create an end-to-end loan management platform. Cosmano emphasized that this approach aims to cater to even the smallest CDFIs - the low barrier to entry enables them to easily start using tech in their lending process, and the program can grow with them over time.

How does the product fit into the work cycle of a CDFI?

While CDFIs share a mission to promote economic growth in underserved communities, each one works a little differently. As Ventures grew into the CDFI sector, it designed its software to be customizable around CDFIs’ processes from custom task lists, custom fields throughout the underwriting and servicing process, custom financial statements, and even the option of generating the TLR report.

Are there other systems that your product works with? How does the product integrate with other platforms and systems?

Ventures is proud of being an end-to-end system, but no one solution can do everything. Ventures has built imports and exports for various outside niche vendors (tax transcripts, credit pulls, credit reporting), partnered with BeSmartee to incorporate Flashspread tax return spreading software within the system, a two-way Salesforce API, and an open API for more tech-forward CDFIs to build their own integrations.

What does onboarding generally look like?

Cosmano shared that the base system can be rolled out quickly and be up and running within two days with an “out of the box” version. Customizing loan products, reports, custom fields and financial statements etc. can take longer. For Gateway, Cosmano estimates that for CDFIs with fewer or more simple products, customization can take two to three weeks, and for more complex CDFIs using Gateway, it can take a few months. A lot of new lenders prefer to get used to the base system prior to onboarding Gateway.

What support and training are offered?

Ventures assigns an Implementation Specialist to clients to guide them through the process of customization, mapping custom fields throughout the system, and building out loan product specifics and workflows. The specialist works closely with clients on the front end to make sure things work smoothly and continue to be a point of contact throughout the onboarding process. Standard users are trained to navigate the systems and complete tasks based on their functionalities. Additional training is provided for the CDFI’s system administrators who can add customizations and manage user controls.

The Ventures interviewees noted that they have an excellent support team, which responds to most tickets within one hour and most are resolved within 24 hours. There is also an extensive knowledge base of articles and videos available, plus occasional webinars on specific topics.

What makes adoption successful? What do you wish CDFIs knew before they began an implementation?

Middleton urges CDFI to take a comprehensive look at what they need and what systems can support those needs. Since Ventures is an end-to-end loan management system, it can be used as the CDFI’s source of truth, with many APIs and integrations building off of it, including a Salesforce API. Having a clear vision of your loan products and what is needed for each, as well as desired reporting functionality, will make the process much smoother, but the implementation team is happy to help clarify your vision as needed.

Middleton notes that Salesforce can be a compelling tool as it can do many things and be customized, however it is very expensive and needs ongoing CDFI-internal support to shape it into what the organization needs. She notes that Ventures strives to have a flexible system so that clients can make updates themselves without having to wait for or pay for developer time, bringing down costs of customization.

What types of CDFIs use Ventures – are there some that are a better fit?

Ventures has worked with CDFIs of all sizes, ranging from teams of one or two up through 300-user teams. Typically, CDFIs focus on business financing and commercial real estate financing, but they do have users that focus on multi-family housing lending. Ventures isn’t the best fit for CDFIs who do all or a majority of consumer lending.

What integrations or reports does your tech solution allow for in terms of CDFI reporting, CDFI certification, or other data requirements?

Ventures has 133 default reports built into its systems, including the CDFI Fund’s Transaction Level Report (TLR). Some included reports are: technical assistance, SBA reporting, job tracking and impact investing, and many more. In addition to this wide range of pre-built reports, the platform allows for customized fields and reports to track exactly what may be needed.

How has the CDFI industry changed in recent years and where do you think the industry is going, in terms of technology?

Middleton observes that there are many different players in the space, which can create complexities as every CDFI is unique. These CDFIs need an affordable level of customization to keep up with their peers in terms of technology. In terms of larger scale trends, Middleton notes that artificial intelligence is a hot topic today, but she sees it having limited usage in the CDFI industry in the short-term: some of the benefit of CDFI lending is being able to move beyond calculations and understand a client’s story as part of the loan decisioning process.