The entrepreneurial life is not for the faint of heart. The journey is fraught with challenges and unforeseen obstacles are often encountered along the way. It can also take a lot longer than the entrepreneur anticipates to create a successful startup.
Such is the case with Jerry Nemorin, the CEO and Founder of LendStreet. I have known Jerry a long time, in fact I first wrote about his company on Lend Academy way back in 2011 when LendStreet was nothing more than an idea. We have kept in touch over the years and I was really pleased when I read last week that LendStreet had closed its Series A and secured a significant round of debt funding.
So, I reached out to Jerry to discuss this news and get an update on his company. First, we need to understand what LendStreet does because it is very different than most companies I profile. LendStreet is a lender that works with consumers who are experiencing financial difficulties. These are people who have taken on too much debt and find themselves in a hole, unable to pay it all back. But rather than declaring bankruptcy, these people want to work things out and reduce their debt through a debt settlement.
This is the point when the debt settlement companies come in. LendStreet lends only to customers whose debt is being or will be negotiated by a debt settlement company. Most of LendStreet’s customers are already enrolled with debt settlement companies before getting to LendStreet. Those who come directly to LendStreet are paired with a debt settlement company to negotiate down their debt, which will be funded by a LendStreet loan.