Marketlend – A Peer to Peer lender to small and medium enterprises in Australia – offering working capital solutions.
Offering investors, secure and robust investment in business with loss protection and insurance.
A typical SME borrower will apply, its credit is checked through external agencies, the risk is rated, then the loan application is placed on their marketplace for investors to select in parts or all of it.
In certain cases, insurance will cover the credit risk and loss provision for expected loss is provided for all loans.
Investors buy a tradeable note that secures part or all of the loan, and it is managed by a trust manager with the trustee handling all cash collections.
Rates of return vary between 3-4% or more about the bank rate.
Using securitisation methods implemented by banks as well as other financial institutions the debts is secure and tradeable on their trading platform.