Small Business Online Lender Biz2Credit Receives $250M
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Biz2Credit, an online lending marketplace geared toward small businesses, has received a $250 million investment capital agreement from Direct Lending Investments, a fund that purchases small business loans through online and peer-to-peer lending platforms.
As part of the deal, Biz2Credit will receive the full investment amount over the next three years.
"Teaming with Biz2Credit underscores our commitment to helping entrepreneurs succeed by giving them fast access to the funds they need to start, grow, and manage their businesses," Brendan Ross, president of Direct Lending Investments, said in a press release.
Biz2Credit facilitates short-term, higher interest rate loans to small businesses that need temporary infusions of cash. Its platform matches borrowers to financial institutions based on company profiles. It has arranged more than $1.2 billion in small business funding.
The company becomes the latest alternative finance lending platform to receive an influx of capital this month. Lending Club and fellow small business-specific lender OnDeck Capital both raised hundreds of millions of dollars in their initial public stock offerings earlier this month.