Peer-to-peer business lending is becoming a disruptive force in the business financing sector.
Companies in need of business capital are seeking out p2p lenders for loans more and more. And with success.
Why are people and businesses in need of financing turning to the crowdfunding? InvestNextDoor, a Seattle-based crowdlending platform, put together the infographic you'll find below, giving some of the primary reasons for why peer-to-business lending is becoming so popular lately.
If you are looking to raise capital for your business you'll likely find these illustrated points informative.
Small Businesses Use Peer-to-Peer Business Lending Infographic
As you can see, peer-to-peer lending serves borrowers just as much as p2p investors. If you are interested in growing your business and have never considered applying for a loan with one of the leading peer-to-peer lending sites you may want to put more thought into how you proceed from this point forward.
Peer-to-peer business loans offer advantages that traditional banks simply cannot match, the banks try to hit you with prepayment penalties, stack a ton of paperwork on you and make you jump through hoops and if you get approved after all of that, you will pay exorbitant interest rates.
To be fair, there are some major banks changing their business model in order to not get left behind by peer-to business lending companies and that also makes this a great environment to try for small business financing form companies like Prosper Marketplace and Lending Club.