Zencap is a German company, operating a peer-to-peer lending platform, which allows private savers to lend money directly to small and medium sized businesses in Germany, Spain, and the Netherlands. Using the crowdfunding model, the company based in Berlin, Germany aims to create a direct link between private lenders and small businesses seeking loans. As of December 2014, Zencap had facilitated 5 million Euro in loans to small and medium sized firms.
Recently, the company was merged with Funding Circle, being active on UK and US.
Video Zencap
Origin
The company, based in Berlin, was founded in March 2014 by Christian Grobe and Matthias Knecht, with support from Rocket Internet.
Maps Zencap
Lending
The business model resembles the US peer-to-peer lending platform Lending Club and UK-based company Funding Circle. Zencap facilitates small business loans from 10,000 to 250,000 euros. Zencap determines whether the borrower is creditworthy and assigns a credit grade that determines the payable interest rate and the fees. Zencap itself charges borrowers a 1% to 4.5% origination fee. The loan period can range between 6 and 60 months while the loan can be repaid without an early repayment fee at any time. Conditions vary between countries.
Der Tagesspiegel quoted founder Christian Grobe, "We are very strict with the risk assessment." Once approved, businesses post their loan request on the Zencap marketplace, where private lenders are able to choose which businesses they want to lend money to.
See also
- Debt-to-income ratio
- Comparison of crowd funding services
- Disintermediation
References
External links
- Official website
Source of the article : Wikipedia
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