30 April, 2024
Scorify has developed and brought to market an innovative factored risk assessment system that, using advanced scientific methods, will increase the accuracy of factored corporate customer behavior predictions.
Scorify project was implemented with the help of the practical knowledge, competence and experience of the factoring company Faktoro and a team of data scientists. The solution will help companies strengthen customer service, increase their competitiveness and sales to customers, and minimize potential losses due to company insolvency.
The new risk assessment system will ensure that factoring companies can assess not only the overall risk of the client, but also micro-risks, i.e. at the level of each specific funded account. The solution integrates both traditional and alternative data – currently, data analytics for such a broad and multifaceted solution has not been developed either in Lithuania or in the surrounding regions.
“Innovative solutions developed at Scorify, which combine traditional risk assessment models with artificial intelligence and machine learning solutions, enable our partners to more accurately assess their customers and predict their behavior. This means that they can allocate their internal resources more efficiently, devote more time and attention to customer service, their good experience, create or improve other internal processes. This decision is no exception – it will increase the competitiveness of the entire factoring market in relation to other financing instruments. The solution implemented in the market will create a better infrastructure for financing small and medium-sized enterprises, providing both factoring and other financial services. We offer this solution to other Lithuanian companies as well, and it is also easily adapted to the needs of other markets and will be offered to financial institutions in other countries”, says Scorify CEO Andrius Bogdanovicius.
According to Algirdas Gutauskas, CEO at Faktoro, the new risk assessment model will improve the competitiveness of factoring companies, and at the same time help their clients to get better quality of services provided, to carry out active development in domestic and foreign markets. “Our clients expect a quick response regarding credit. Therefore, the new risk assessment system will significantly shorten the decision-making time for crediting small and medium-sized enterprises”, says A. Gutauskas.
According to the CEO of Faktoro, being able to get financing in a few minutes will give companies even more opportunities for rapid growth, and artificial intelligence and machine learning methods will reduce the risk of the transaction, which will reduce the final cost of financing for companies. “For us, such a decision will allow us to expand our activities in other countries faster, to have an advantage over other companies operating in the field of financing,” says Algirdas Gutauskas.
The project is partially financed by the Norwegian Financial Mechanism program “Business development, innovation and SMEs” in the field of information and communication technologies. The project is implemented together with partners Taurus Fund (operating under the brand name Faktoro), International Development Norway AS and Smart Finance solutions AS. More information about the MITA project can be found at this link, the Norwegian financial mechanism at this link.