CashNews.co
AFC leadership interview with Chris Whitcombe, Managing Director & CIO at LDMS
Founded in 2018, LDMS is a fintech company built on the success of its sister company, Link Financial Outsourcing. Led by Managing Director and CIO, Chris Whitcombe, LDMS is driving transformation in the asset and auto finance industries through innovative software solutions and strategic partnerships.
In this exclusive interview with Asset Finance Connect, Whitcombe sheds light on the company’s journey, its role in the broader asset finance landscape, and the future of financial technology.
The birth of LDMS: From in-house solution to market leader
The story of LDMS begins with Link Financial Outsourcing, a company that developed an in-house software solution over two decades to meet its specific needs in the consumer and commercial loan management space. When off-the-shelf software options proved inadequate, Link simply built its own. As this internal solution matured as the business developed into new products and European geographies, the company recognised an opportunity to spin out the intellectual property into a separate entity, leading to the creation of LDMS.
In 2018, Whitcombe joined LDMS to lead this new venture, with two clear objectives: to market the software as a standalone product and to continue refining it to meet the needs of both Link and a wider customer base.
As Whitcombe explains, “We believed in the product and knew it could bring value to other organisations. By creating LDMS, we could focus on growing and enhancing the technology, while Link could benefit from more specific investment and attention.”
The company’s platform is used internally, allowing them to rigorously test and refine the product in real-world environments before offering it to customers. Whitcombe sees this as a testament to LDMS’s confidence in their solutions: “It shows we believe in what we build, and it also acts as a powerful quality control measure.”
LDMS in the asset finance landscape
LDMS has carved out a niche in the asset finance sector by focusing on efficiency and integration. “Our heritage is in efficiency,” says Whitcombe. “Link Financial built a system that agents used day in, day out, and that principle of a unified, efficient system carries through to LDMS.” The company’s platform is designed to be a central hub that seamlessly connects with other systems via APIs, allowing for enhanced functionality and scalability.
Whitcombe is quick to note that LDMS does not operate in isolation. “We’re aware that we are not the only software provider in this space, and connectivity is key. We draw a line between where our product excels and where we can integrate with third parties who are best in their field. This collaborative approach allows us to deliver comprehensive solutions.”
Differentiating in a competitive market
What sets LDMS apart in the asset and auto finance sectors is its ability to bring together technology, people, and capital. As part of a larger group, LDMS can offer more than just software; it can also leverage its relationships with servicing entities and investment arms to provide a broader solution to its customers. “We offer an efficient approach to software, but we also bring a wider focus on people and capital. That’s what really differentiates us,” Whitcombe explains.
Moreover, LDMS is building its reputation through steady, organic growth. While the company may not always be the loudest in the room, its focus on long-term success and collaboration with clients speaks for itself.
Success stories: Delivering value in asset finance
One of LDMS’s most significant recent achievements is the migration and onboarding of a large asset finance portfolio for a Tier 1 European investment bank. This project was a partnership with one of LDMS’s sister companies, combining technology and people to deliver results. This collaboration exemplifies the company’s belief that technology alone is not enough- it must be paired with strong human expertise to succeed.
Trends shaping the future of asset finance
According to Whitcombe, two major trends are shaping the future of asset and auto finance: efficiency and customer focus. In difficult economic times, there is an increasing push for automation and integration to drive down costs and streamline operations. Additionally, customers are demanding faster, more digital experiences. “The challenge we face is delivering better products, faster and more consistently, while also meeting regulatory requirements,” he says.
Whitcombe also acknowledges the transformative potential of artificial intelligence (AI), though he approaches it with caution. While AI has the potential to drive efficiency, issues like explainability and hallucinations (misleading results from the use of AI) must be carefully managed. “There is a hype cycle right now, but as AI becomes more prevalent, our understanding and appreciation of its applications will grow,” he predicts.
The role of regulation and the future of the industry
Regulatory change is another critical factor in the asset finance space, and LDMS is well-prepared to adapt. Operating in 10 countries, LDMS has built an architecture that allows for rapid adjustments to regulatory changes while keeping the core system stable. “It’s about having the flexibility to adapt to new regulations quickly without disrupting the whole system,” says Whitcombe.
Over the next decade, Whitcombe expects the asset finance industry to continue evolving towards digitalisation and increased connectivity. “Customers are moving from a ‘build versus buy’ mentality to a ‘build and buy’ approach, where they buy a platform that solves standard issues and then build on top of it to differentiate themselves,” he explains.
Opportunities for growth and strategic priorities
Looking ahead, Whitcombe sees tremendous growth opportunities in the digitalisation and self-service capabilities of asset finance systems. “There is a real demand for more efficient systems that allow customers to self-serve and work faster,” he says. LDMS is capitalising on this trend by building a platform that integrates with a variety of third-party systems, creating an ecosystem that delivers the best possible solutions.
For the next three to five years, LDMS’s focus will be on expanding its client offerings beyond asset and auto finance to include mortgage, consumer lending, collections and origination. Whitcombe emphasizes the importance of partnerships in this strategy: “If something is heavy lifting but doesn’t differentiate our product, we’ll partner with someone who excels in that area.”
Final thoughts: Sustainability and long-term partnerships
LDMS is also committed to sustainability, with its software hosted on 100% renewable energy. Whitcombe is proud of the company’s progress, saying, “We’re not just delivering the right software, but delivering it in the right way.”
At its core, LDMS is built on a philosophy of partnership and mutual success. “We want to work with our customers for the long term, helping them succeed on our platform,” Whitcombe concludes.