DBS today announced it has deepened its relationship with Xero, the global small business platform, to simplify the loan application process and increase access to working capital for SMEs in Singapore and Hong Kong.

Both companies will collaborate on availing to Xero customers the option to share their transactional records from Xero’s platform with DBS. By doing so, customers will be able to present a more holistic picture of their cashflow which in turn enables the bank to offer SMEs hyper-personalised credit terms and working capital limits tailored to their needs.

Joyce Tee, Group Head of SME Banking, DBS, said, “Our regular engagement with SMEs has consistently shown that cashflow needs continue to be top of mind for our clients, even as business owners seek new growth opportunities.”

Tee added, “We will continue to integrate our touchpoints seamlessly into the customer journey, so as to offer our SMEs more intelligent and intuitive lending solutions. DBS has been sharpening our digital lending capabilities by leveraging ecosystem partnerships and advanced data analytics to roll out solutions that are hyper-personalised to each businesses’ needs. DBS is pleased to take our long-standing partnership with Xero to the next level as we double down on our commitment to helping SMEs accelerate their growth.”

Despite the economy showing tentative signs of recovery, business owners are looking to shore up their balance sheets in anticipation of higher cost pressures going forward. According to the DBS SME Pulse Check Survey published in March this year^[1], over 85% of SMEs indicated that ensuring consistent cashflow and managing costs was a key business priority in 2022.

Over the course of the Covid-19 pandemic, DBS has engaged SMEs in Singapore to extend working capital and cashflow support to them. Since 2020, DBS has approved over 14,000 collateral-free loans totalling more than SGD 6.4 billion to SMEs in Singapore, with over 90% of these loans going to micro and small enterprises.

“The expansion of our partnership with DBS is an incredible milestone for Xero in Asia. Digital tools and solutions have been a significant driver in empowering SMEs to become more resilient and competitive, but working capital is the lifeblood of small businesses everywhere,” said Joseph Lyons, Managing Director Australia & Asia, Xero.

“With DBS – our first banking partner in Singapore to offer API integrated bank feeds – we are excited to extend new offerings to our shared customers through SME financing. We look forward to continuing our work to further support SMEs with their financing needs, particularly in ensuring small businesses have the support they need to thrive.”

DBS and Xero began their partnership in 2017 with a bank feed integration to give SMEs greater visibility and control over their finances with automatic bank updates. Xero is also a key partner of the bank’s DBS Start Digital Package, which is designed to help SMEs kickstart their digital transformation journey. To date, close to 400 SMEs in Singapore have tapped on Xero’s all-in-one solution to digitalise their accounting function through the DBS Start Digital Package.

^[1] DBS survey finds that most SMEs in Singapore continue to keep a close eye on cashflow, despite confidence in coping with cost pressures

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About DBS
DBS is a leading financial services group in Asia with a presence in 18 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.

Recognised for its global leadership, DBS has been named “World’s Best Bank” by Euromoney, “Global Bank of the Year” by The Banker and “Best Bank in the World” by Global Finance. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia” award by Global Finance for 13 consecutive years from 2009 to 2021.

DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.

With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com.

About Xero
Xero is a cloud-based accounting software platform for small businesses with over 3 million subscribers globally. Through Xero, small business owners and their advisors have access to real-time financial data any time, anywhere and on any device. Xero offers an ecosystem of over 1,000 third-party apps and 300 plus connections to banks and other financial partners. For three consecutive years (2020-2022), Xero has been included in the Bloomberg Gender-Equality Index. In 2021, Xero was included in the Dow Jones Sustainability Index (DJSI), powered by the S&P Global Corporate Sustainability Assessment and in 2020, Xero was recognised by IDC MarketScape as a leader in its worldwide SaaS and cloud-enabled small business finance and accounting applications vendor assessment.

DBS and Xero make it easier for SMEs to access working capital with hyper-personalised lending solutions