During the week I share the latest p2p lending news on Twitter as it happens. Then every Saturday I take the most interesting news items and blog posts from the past week and share them here.
The big news of the week was Lending Club’s acquisition of Springstone Financial and there was a lot of coverage on that story. I lead this edition of my weekly roundup with some of the major articling covering this big story.
LendingClub Value Jumps to $3.8 Billion as It Buys Springstone from Businessweek.
Lending Club Raises $115M In Debt And Equity, Buys Financing Company Springstone Financial For $140M from Techcrunch.
Lending Club buys traditional lender to finance private school tuition and medical procedures from San Francisco Business Times.
Direct Lending in Europe – Progress & Opportunity from Orchard - A look at the European p2p lending models and how they differ from the US.
Overview of Red Rock Assets – Social Lending for Mining Projects from Peer & Social Lending – Interesting new entrant in the p2p lending space – who would have thought mining projects could be funded by individual investors?
Peer-to-Peer Lending Club Moves Closer to IPO from Nasdaq (video) – I was interviewed yesterday by Paul Vigne of the Wall Street Journal for their Moneybeat program.
Peer Lending Lures Yield-Hungry Investors from The Street – Lend Academy readers know very well the yields that p2p lending provides and more and more people are seeing it as well.
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Alex Tonelli is the Founder and Managing Director of Funding Circle USA. He started Endurance Lending Network with Sam Hodges back in 2012, which I profiled here last summer, and this company merged with Funding Circle UK in October last year.
This discussion is all about small business lending. In the online space, small business lending is several years behind consumer lending and there are no players with long track records like Lending Club and Prosper. But the longest track record belongs to Funding Circle, who have been in business since 2010. With the merger last year, the small business lending space in this country gets to benefit from the knowledge and history of this leading player.
In this podcast you will learn:
- How the merger with Funding Circle UK has been going.
- How close the underwriting model and metrics are between the UK and US markets.
- An explanation of their business model.
- The biggest difference between Funding Circle USA and their UK counterpart.
- The interest from investors in both markets.
- The type of small businesses applying for a loan at Funding Circle.
- Why banks are not doing their job when it comes to small business lending.
- The loans terms and interest rates that are available at Funding Circle.
- Why the loan sharks are so bad for small business lending.
- The two main ways that Funding Circle attracts borrowers.
- How banks and Funding Circle are going to start working together.
- The tiny fraction of loans that have gone delinquent at Funding Circle.
- What their investor marketplace will look like when it launches for accredited investors.
- The importance of growing predictably and responsibly.
- Their loan volume projections for 2014.
- How they feel about Lending Club entering the small business lending space.
- The differences between the Funding Circle and Lending Club offerings.
- Who the real Goliath is in the lending industry today.
You can subscribe to the Lend Academy Podcast via iTunes or Stitcher. There is an audio player directly below or you can download the MP3 file here.
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