The consumer lending space has seen a great deal of innovation in the past decade or more. But the number of completely new lending concepts that cross my desk has reduced to a trickle in the past couple of years. That is why I was excited to see an idea that was completely original and compelling.

My next guest on the Fintech One-on-One podcast is Veetahl Eilat-Raichel, the CEO and Co-Founder of Sorbet. While you could think about Sorbet as an unsecured consumer lender, because that broadly defines them, they have discovered a completely untapped niche: PTO (Paid Time Off). Most employees accrue PTO that has real value and Sorbet has figured out how to tap into that value to create a lending product.

In this podcast you will learn:

The founding story of Sorbet.
The size of the unused PTO marked in this country.
The percentage of employees that accrue PTO.
How their PTO advances work.
How they integrate with payroll systems.
When the issued their first loan.
Their unique capabilities to underwrite PTO.
What they consider to be their technological moat.
What happens if someone uses all their PTO and then leaves their job.
The two types of personas that uses Sorbet.
The average loan size and the range of interest rates charged.
What they have learned in the data so far.
How they are going to market.
How they are educating the market on the concept.
What they learned from the earned wage access space.
The three revenue streams they have.
Their biggest challenge in growing the business today.
How they are funding their loans.
The early pivot they made that transformed the company.

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Find previous Fintech One-on-One episodes

Veetahl Eilat-Raichel of Sorbet on creating a lending business built around Paid Time Off

Fintech One-On-One