# Small and Medium Business Lending
source: https://developer.mastercard.com/open-finance-us/documentation/usecases/small-medium-business/index.md

Leverage real-time business account data, cash flow and balance analytics, and predictive insights to offer small and medium business (SMB) customers a seamless, convenient, and positive lending experience.

### Customers Using This Solution {#customers-using-this-solution}

Loanspark is a prime example of how owner-permissioned Open Finance data drives small business lending. They leverage up to 24 months of bank statement and transaction history to match business owners with lender profiles from their extensive network. The integration of Open Finance data is powering a digital borrower experience that has increased Loanspark's approved and closed loans by 10-15%.

## How It Works {#how-it-works}

After a loan applicant consents access to their accounts, analyze their account data, cash flow of credits, debits, historical balances and predict the probability of a small business missing a payment in the future.

Call the following APIs to provide your customers consolidated data from all their accounts in one place:

* Regardless of the API you want to call, you will first need to generate a URL to launch the [Mastercard Data Connect](https://developer.mastercard.com/open-finance-us/documentation/connect/index.md) application that allows your customers to link their accounts and provide you the permission to access their financial data through Mastercard Open Finance. The Data Connect application is the only way you can allow your customers to link their accounts and is mandatory for integrating with any Mastercard Open Finance APIs.

* [Webhooks](https://developer.mastercard.com/open-finance-us/documentation/webhooks/index.md) allow your app to receive notifications about Data Connect events and to listen for when reports have been generated.

* [Generate Balance Analytics - FCRA](https://developer.mastercard.com/open-finance-us/documentation/products/lend/reports/balance-analytics/index.md#request-balance-analytics) report to analyze information such as customer's average daily balance, current balance, daily ending balances, monthly rolling balances, quarterly averages, available balances, current and maximum running balances

* [Generate Cash Flow Analytics - FCRA](https://developer.mastercard.com/open-finance-us/documentation/products/lend/reports/cash-flow-analytics/index.md#generate-balance-analytics) report to analyze information such as customer's current balance, transaction data, debits/credits, estimated revenue, deposits, withdrawals, and non-sufficient funds (NSFs).

* [Generate Payment Risk Insights](https://developer.mastercard.com/open-finance-us/documentation/products/small-business/payment-history/index.md) report to analyze bank account transactions and predict the probability of the risk of a missed payment using a Risk Score. The Risk Score is generated based on the historical Open Finance information focusing on risk events such as Non-sufficient Funds(NSF), overdraft, and missed recurring payment.

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This solution uses the following services:

#### Balance Analytics {#balance-analytics}

Evaluates a loan applicant's bank account balances to help identify risks associated with approving a loan.


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[Documentation →](https://developer.mastercard.com/open-finance-us/documentation/products/lend/reports/balance-analytics/index.md)

#### Cash Flow Analytics {#cash-flow-analytics}

Evaluates a loan applicant's cash flows to help identify risks and provides insights to a lender approving a loan.

[Documentation →](https://developer.mastercard.com/open-finance-us/documentation/products/lend/reports/cash-flow-analytics/index.md)

#### Payment Risk Insights Report {#payment-risk-insights-report}

Analyzes transactions and predicts the probability of a business experiencing a payment risk event.


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[Documentation →](https://developer.mastercard.com/open-finance-us/documentation/products/small-business/payment-history/index.md)
Diagram usecase_smb

## Next Steps {#next-steps}

![Quick Start Guide](https://static.developer.mastercard.com/content/open-finance-us/uploads/usecases_nextsteps_quickstart.png)

### Quick Start Guide {#quick-start-guide}

Get started with using Mastercard Open Finance APIs in less than 30 minutes.


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[Get Started →](https://developer.mastercard.com/open-finance-us/documentation/quick-start-guide/index.md)
![API Reference](https://static.developer.mastercard.com/content/open-finance-us/uploads/usecases_nextsteps_apireference.png)

### API Reference {#api-reference}

Find detailed explanation of all resources available through Mastercard Open Finance API.


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[Learn More →](https://developer.mastercard.com/open-finance-us/documentation/api-reference/index.md)
![Postman](https://static.developer.mastercard.com/content/open-finance-us/uploads/usecases_nextsteps_postman.png)

### Postman {#postman}

Run the Postman Collection to start using Open Finance API without the need to write any code.


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[Learn More →](https://developer.mastercard.com/open-finance-us/documentation/quick-start-guide/index.md#4-run-the-postman-collection)