Pepper Advantage and Clay launch white-label lending platform

By Gloria Methri

Clay Technologies and Pepper Advantage have teamed up to form a strategic joint venture that will create an end-to-end credit platform for companies to launch bespoke lending offerings to their customers.

Many businesses, including FinTechs, start-ups, and large corporate enterprises, are looking to launch lending programmes to drive business growth.

Clay is a SaaS platform and API that empowers any company to launch their own Brandable Credit™ programme. A standout feature of Clay’s offering is its Debt-as-a-Service, which provides clients with integrated access to funding for their loans. This eliminates the need to seek external debt capital providers and significantly reduces the complexity and time involved in launching a lending offering.

With just a few lines of code, Clay manages origination, underwriting, compliance, and servicing, all within a client’s app, without the need to redirect users to a third party.

This capability is realised through Clay’s work with Pepper Advantage. Under a new joint venture, Clay’s platform is being integrated with Pepper Advantage’s Loan Management Platform, which will be the driving force behind Clay’s loan servicing APIs. It will ensure loans are successfully managed from the moment of disbursement through to final repayment.

Pepper Advantage will also provide advanced credit data analytics, offering Clay clients stronger insights and risk analysis across their entire credit portfolio.

With over $55 billion in assets across nine jurisdictions spanning the UK, Europe, and Asia Pacific, Pepper Advantage adds market credibility and loan servicing abilities to Clay’s platform. Customers of Clay will have confidence that the loans they originate will be effectively managed by Pepper Advantage, even if their loan book reaches several billion dollars.

David Yalland, Founder and Chief Executive Officer at Clay, said, “We understand the hurdles companies of all sizes face in offering embedded credit products — from dealing with fragmented service providers to navigating the tough road of accessing debt capital markets, particularly as banks and debt funds often shy away from early-stage lenders. Our joint venture with Pepper Advantage, forming the foundation of our comprehensive platform, will significantly streamline the process for these companies to introduce their own branded offerings.”

Fraser Gemmell, Chief Executive Officer at Pepper Advantage, said, “Our joint venture with Clay fits Pepper Advantage’s strategy of driving innovation within the lending sector. We continue to develop proprietary credit management technologies and advanced data and analytics to increase efficiency and expand credit access to clients underserved by traditional lenders. Clay’s platform will help companies access the capital, technology, and service offerings they need to provide smart credit to their customers. We are proud to be part of this transformative offering.”