Abdulbasit: My Vision is to Democratise Access to Capital

The Product Manager (Loans)  Fairmoney, Sulaiman Abdulbasit talks about his journey into product management, Revolutionising Business Loans, AI-Powered Risk Management, and Fraud Detection Strategies. Esther Oluku presents the excerpts:

Can you walk us through your experience in product management, what are some of the key achievements or challenges you have faced in this role?

My journey in product management started as an intern and progressed to a role as a Business Associate at Firas Microcredit Scheme. This experience provided valuable insights into credit workings, distribution models, and crafting profitable credit products. At Firas, we offered small loans to business proprietors, giving me a firsthand education in business lending nuances.

Subsequently, I transitioned to a Product Manager role at Specta, an innovative quick loan platform by Sterling Bank. I led an initiative that revolutionised loan approval times to just five minutes, setting a new industry standard. Despite rapid distribution, we faced challenges in mitigating default risks, leading to the development of a robust credit scoring algorithm.

After a successful tenure at Sterling Bank, I joined Carbon to launch Carbon Zero, a buy now, pay later product. At Migo, I refined the Migo loans product and spearheaded the Migo loans API, empowering businesses with sophisticated credit scoring mechanisms.

This interface empowered businesses to extend credit to their customers leveraging Migo’s advanced credit scoring mechanism. Also, my involvement in the rollout of Migo Embedded loans in Brazil underscored my ability to navigate diverse markets and spearhead impactful product launches. 

Now, as Senior Product Manager of Business Lending at Fairmoney, I focus on providing access to capital by disbursing business loans in under five minutes—a feat previously unseen in Nigeria. Starting with Minimum Viable products (MVPs) for internal customers, we iterated and unveiled Fairmoney Business Loans 2.0, streamlining the lending process.

My product management journey has been marked by innovation, overcoming challenges, and delivering tangible value to businesses and consumers. Each chapter has enriched my skills and understanding of financial services, propelling me to greater achievements and impact.

What strategies do you use to prioritise features and enhancements for business loan products based on client needs, market trends, and business goals?

Prioritising features and enhancements for business loan products requires a multifaceted approach that aligns with client needs, market trends, and overarching business objectives. Drawing from my experience in product management across various financial institutions, I employ several key strategies to ensure effective prioritisation.

One crucial strategy is adopting a Customer-Centric Approach, where understanding the needs and pain points of customers is paramount. This involves conducting thorough market research, gathering customer feedback, and analysing usage patterns to determine which features are most valuable to our clientele. By incorporating direct input and requirements from our target audience, our product roadmap reflects their needs accurately.

Additionally, I emphasise Data-Driven Decision Making by leveraging data analytics and performance metrics. Monitoring key performance indicators (KPIs) such as customer acquisition costs, conversion rates, and customer satisfaction scores helps identify areas for improvement and prioritise features that offer the highest return on investment (ROI).

Furthermore, I embrace the Agile Methodology, allowing for iterative feedback loops and rapid adaptation. Breaking down larger initiatives into smaller, manageable increments enables us to prioritise features based on their immediate impact and feasibility. This agile mindset fosters flexibility, enabling swift responses to evolving market dynamics and client needs.

Can you describe a time when you successfully launched a new business loan product or significantly improved an existing one. What was your role in the process, and what were the outcomes?

An exemplary instance of successfully introducing a new business loan product was my involvement in the launch of Fairmoney Business Loans. As the Product Manager and Business Unit Owner, I played a crucial role in overseeing every aspect of the product’s journey, from conception to implementation.

At the outset, I led the strategic planning phase by conducting extensive market research and competitor analysis. This allowed us to identify market gaps and understand the needs of our target audience, forming a clear vision for Fairmoney Business Loans. Working closely with cross-functional teams like engineering, design, and marketing, we brainstormed innovative features and value propositions to set our product apart in a competitive market.

With a solid roadmap established, I managed the product development process, collaborating closely with our engineering team to actualise our vision. We adopted agile methodologies, releasing MVPs to gather feedback and iterate based on user insights. This iterative approach enabled us to refine the product iteratively, addressing pain points and optimising the user experience throughout.

Given the stringent regulatory environment of the financial services industry, ensuring compliance and risk mitigation were top priorities. I worked closely with legal and compliance teams to navigate regulatory requirements and implement robust risk management protocols, ensuring the protection of our customers’ interests and the organisation’s reputation.

As the launch date approached, I played a pivotal role in crafting a comprehensive go-to-market strategy. This involved developing targeted marketing campaigns, crafting compelling messaging, and coordinating with sales and customer support teams for a seamless rollout. Leveraging a multi-channel approach, including digital marketing, partnerships, and direct outreach, we generated significant buzz and anticipation surrounding the launch of Fairmoney Business Loans.

How do you collaborate with cross-functional teams, such as technology, sales, marketing, and risk management to ensure successful product development and delivery?

Effective collaboration with cross-functional teams is crucial for successful product development and delivery. As a Product Manager, I implement various strategies to promote collaboration and alignment across departments.

One key strategy is establishing Clear Communication Channels. This involves ensuring that all team members have access to necessary information and resources through regular team meetings, project management tools, and dedicated communication platforms. Transparent communication fosters cross-functional collaboration and ensures alignment towards common goals.

I also organise regular workshops and meetings involving members from different departments to facilitate collaboration and brainstorming. These sessions allow stakeholders to share insights, exchange ideas, and align on priorities, fostering a collaborative environment where diverse perspectives are valued.

Collaborating with cross-functional teams requires aligning on common goals and objectives. I work closely with stakeholders from technology, sales, marketing, and risk management to define clear goals and develop a shared roadmap. Involving all relevant parties in the planning process ensures that everyone is invested in the product’s success and committed to its development and delivery.

What role do you believe Artificial Intelligence (AI) and Machine learning (ML)play in the future of product management? How would you leverage these technologies in your product strategies?

AI and ML technologies are poised to revolutionise product management, especially in the lending industry. They enable more personalised, efficient, and data-driven approaches to product development and strategy. Effectively leveraging these technologies can unlock significant opportunities for enhancing customer experience, optimising risk management, and driving business growth.

In Credit Risk Assessment, AI and ML algorithms can analyse vast amounts of data to assess credit risk more accurately and efficiently. By incorporating alternative data sources like social media activity, transaction history, and behavioural patterns into credit scoring models, lenders can better evaluate the creditworthiness of borrowers, especially those with limited credit histories or unconventional profiles. I would use these technologies to develop more robust and adaptive credit scoring models, enabling more precise risk assessment and better-informed lending decisions.

Similarly, AI can play a crucial role in Fraud Detection and Prevention. AI-powered fraud detection systems can identify suspicious patterns and anomalies in real-time, helping lenders mitigate fraud risks and protect against fraudulent loan applications. By analysing historical transaction data and detecting deviations from typical behaviour, these systems can flag potential fraud attempts early in the application process. I would integrate AI-driven fraud detection mechanisms into our lending platform to enhance security and safeguard against fraudulent activities, thereby protecting both lenders and borrowers.

Can you share your approach to managing and mitigating risks associated with business loan products, such as credit risk, fraud, and compliance issues?

Effectively managing and mitigating risks associated with business loan products requires a comprehensive and proactive approach, involving various strategies and measures to tackle credit risk, fraud, and compliance issues. Drawing from my experience in product management within the lending industry, I believe that implementing a robust credit risk assessment process is crucial for mitigating credit risk.

This involves leveraging data analytics and predictive modelling techniques to accurately evaluate the creditworthiness of borrowers. By analysing factors like credit history, financial statements, and cash flow projections, lenders can assess the likelihood of repayment and make informed lending decisions. Additionally, diversifying the loan portfolio across different industries and geographies can help mitigate concentration risk.

Furthermore, utilising AI-powered fraud detection tools such as Credolab and SEO can assist in identifying and preventing fraudulent activities in business loan applications. These software solutions analyse various data points, including transaction patterns, biometric data, and behavioural analytics, to detect anomalies and flag suspicious activities in real-time. Implementing multi-factor authentication and identity verification measures can also enhance security and reduce the risk of identity theft and fraudulent transactions.