Friday, February 06, 2015

Alibaba.com partners to offer loans in U.S.

News this week: The Alibaba Group’s B2B e-commerce arm, Alibaba.com, announced the formation of a partnership with the Lending Club, a San Francisco-based lending company listed on the New York Stock Exchange, to provide credit loans to small- and medium-sized businesses (SMEs) in the U.S.

U.S.-based SMEs can now apply for credit lines from US$5,000 to US$300,000 through Alibaba.com to finance purchases of goods from Chinese suppliers. Named Alibaba.com e-Credit Line, the new service is provided by Lending Club and aims to provide efficient supply-chain financing at lower costs than banks and conventional lenders.

Lending Club’s founder and CEO, Renaud Laplanche, said, “The hope is over time, as we continue to work together, we will collect more and more data on the Alibaba marketplace and on transactions between specific suppliers in China and buyers in the U.S. This will enhance underwriting and help us make decisions faster, at lower risk, and at lower interest rates.”

This post is excerpted from BSG's weekly e-newsletter which is part of our subscription research service, BSG Tracker. Visit our website to find out more about this service. You can also follow us on Twitter for all the latest updates.

1 comment:

Amela Jones said...

Is there any further reading you would recommend on this?

Amela
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