Unsecured
Crowdfunding
Term Loans
Eligibility
Annual Revenue:
- Positive annual revenue ($100,000+)
Time in Business:
- 1+ years
Other:
- Good personal credit score (approximately 610+ )
Typical Range
No limit but usually up to $200,000
Average amount raised of $13,000
Features
Payment Schedule:
- Terms up to 24 months, with bi-weekly payments
Timeliness to Fund:
- Online application takes 5 minutes to receive a free quote – funding can be completed within 48 hours
Origination & Interaction Model:
- Online origination and interactions. 24/7 online support
Other Features:
Most crowdfunding platforms offer additional reach of early adopters and a location to build business awareness
3 main types of lending-based crowdfunding exist in Canada:
- Traditional lending: standard lending terms, expectation of reimbursement of loan plus interest
- Forgivable loans: loans reimbursed if or when the borrower generates revenue, or generates profit
- Pre-sales: lender expects to receive a copy of the crowdfunded product