Archive for 2019

When Merchants Defraud Lenders

April 17, 2019
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Back when lenders used to visit the site of a merchant’s business, a “doctor” once hired actors to play nurses and patients to give the illusion of a thriving medical practice when the lender came to check in on the business before financing it. The doctor’s office looked legitimate, it got funded and the fraudster […]

Small Businesses Rank Online Lenders More Transparent Than Big Banks

April 16, 2019
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When it comes to business loans, small businesses say online lenders are more transparent than big banks. Specifically, 15% of respondents to a Federal Reserve survey reported challenges with transparency experienced at big banks versus only 12% with online lenders. Small businesses also ranked big banks worse on credit decision wait times, application process difficulty, […]

Merchant Cash Advances Surpass Leasing As Goto Financing Option for Small Businesses

April 16, 2019
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2018 vs 2017

Financing products sought (of those that applied for any kind of financing in 2018) More small business applied for merchant cash advances in 2018 than they did leasing, factoring, or equity investments. That’s according to a recent Federal Reserve study of small businesses with less than 500 employees. Nine percent of applicants applied for merchant […]

Direct Lending Investments Had Over 950 Investors

April 16, 2019
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lawyer going to the courthouse

Documents filed in a New York Supreme Court case by the receiver managing Direct Lending Investments (DLI), revealed that DLI had more than 950 investors worldwide with collective investments on the books totaling over $780 million. For those wondering what’s happened since word of the hedge fund’s shocking demise, Bradley D. Sharp of Development Specialists, […]

Online Loans You Can Take To The Bank

April 16, 2019
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Loans you can take to the bank

This story appeared in deBanked’s Mar/Apr 2019 magazine issue. To receive copies in print, SUBSCRIBE FREE OnDeck, the reigning king of small business lending among U.S. financial technology companies, is sharpening its business strategies. Among its new initiatives: the company is launching an equipment-finance product this year, targeting loans of $5,000 to $100,000 with two-to-five […]

Learn From Josh Feinberg and Will Murphy in Person at Broker Fair

April 16, 2019
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Josh Will Everlasting Capital

You’ve seen them on social media. Now you can see them in person. Josh Feinberg and Will Murphy of Everlasting Capital will be doing a joint presentation on how to scale your broker shop at Broker Fair on May 6th at The Roosevelt Hotel in New York City. Limited tickets are still available. Register now […]

Lots of Tech Buzzwords, Scary Problems

April 16, 2019
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End of the word fintech?

advanced machine-learning, algorithms, big data, streamlined, technology, consumer-friendly A federal regulator cut through the shield of fintech buzzwords on Monday when it announced that a darling of online lending valued at $2 billion, failed to properly handle rudimentary loan practices. The lender is Chicago-based Avant, who reportedly settled with the FTC for $3.85 million. According […]

OnDeck Takes Advantage of New Same-Day ACH Technology

April 12, 2019
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OnDeck NYSE

Same-day ACH is here, thanks to NACHA’s planned upgrade, and OnDeck, a small business lender, has already incorporated it into its platform. Shaleen Prakash, OnDeck’s Vice-President of Product Management, told deBanked: “We are hyper-focused to get customers faster access to funding that’s already been approved for them.” Small business owners can now access up to […]

Online Lenders Square Off, Offer The Kabbage In Brooklyn Food Court

April 10, 2019
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square pos

In a fast gentrifying section of Downtown Brooklyn, online lenders are waging a silent turf war. Each day, hungry consumers flock to DeKalb Market, a subterranean hipster food court where lunch and a drink can cost $17. The maze-like space with retro neon signs and rustic wood countertops offers a dizzying array of cuisines, and […]

Kabbage Could Be Neck and Neck with OnDeck for Originations This Year

April 8, 2019
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OnDeck Square Kabbage

Kabbage funded $600 million in the first quarter of the year, putting it on pace to potentially overtake OnDeck in originations for 2019. OnDeck reported $658 million in originations just a quarter earlier to finish 2018. The two companies have been among the top three funders by origination volume on deBanked’s leaderboard since 2014. OnDeck […]