Grameen America Extends Partnership with Mambu
Micro-financing institution leverages modern lending platform to quickly scale operations and provide a seamless end-user experience
10 June, 2021 – Grameen America, the leading microfinance nonprofit organisation focused on low-income minority women in the United States, has extended their partnership with Mambu, an SaaS banking and financial services platform, for an additional five years to meet Grameen America’s aggressive growth plans. This includes scaling its operations to invest $12 billion in loans to more than 500,000 minority small business owners across 49 branch locations.
Currently, Grameen America has invested over $1.8 billion in more than 135,000 low-income women entrepreneurs since opening in January 2008. The partnership has seen significant outcomes, including:
- Loan transaction time reduced by 50%
- Caseload benchmark grew by 25%
- Grameen America moved to 100% digital disbursements and repayments
- The organisation became more than 100% financially sustainable
In 2013, Grameen America and Mambu partnered to replace the lender’s custom-built legacy system with a modern, cloud-native platform that would enable the organisation to rapidly scale and streamline operations. This also allowed easy access from a mobile device and provided an enhanced user experience. Over the course of nine short months, Grameen America strategically rolled out Mambu’s platform region by region.
“We are pleased to extend our partnership with Mambu, given the important role they continue to play in enabling our capacity to scale,” said Andrea Jung, President and CEO of Grameen America. “Mambu shares our commitment to constant innovation, leveraging technology to empower individuals, while streamlining and improving operating efficiency and effectiveness. Mambu’s platform has enabled Grameen America to transform our member experience and provide powerful digital solutions to further accelerate our organisation’s growth and impact for women entrepreneurs nationwide.”
Mambu is changing the market through its composable approach, which is the quick and flexible assembly of independent best-of-breed vendors. Through open APIs, Mambu seamlessly integrates with other off-the-shelf software solutions, providing customers an even greater user experience, as well as sophisticated digital tools and services. For example, Grameen America implemented compliance-related software and disbursement cards for loans quickly and easily. Mambu’s solution is more agile and cost-effective than its previous legacy platform, enabling Grameen America to build a modern lending system offering in the cloud by composing the best product for its specific needs.
Elliott Limb, Mambu’s Chief Customer Officer said, “Grameen America has made an incredible impact across numerous communities by playing a key role in their economic recoveries, and we are proud to be a part of this movement. As we continue to see demand for more agile and digital solutions for every facet of the population globally, this partnership reinforces our mission to bring innovative technology into the digital first-world to help create better financial services and experiences for millions of individuals.”
Grameen America launched in New York in 2008 to provide small loans, credit and asset building, and financial education programs to women entrepreneurs who live below the poverty line. The strength of Grameen America’s model is its focus on community lending where the peer support and monitoring system serves as a strong motivator for each borrower to repay their loan.