News

News

 Westpac: Cash flow now more important than assets in SME lending

Westpac: Cash flow now more important than assets in SME lending

Westpac is increasingly assessing cash flow rather than hard assets when providing funding to small businesses, as technological disruption and shorter business cycles create new challenges for bank lending.

Lyn Cobley, chief executive of Westpac's Institutional Bank, said the group was being forced to look beyond industry fundamentals and traditional measures of growth to understand business life cycles, and decide where and how the bank should lend and invest.

 

RELATED