Another SME lender joins the aussie fintech market
Fintech lender TruePillars has bagged A$5 million in a series A round, led by an unnamed Melbourne investor.
Aussie marketplace lender TruePillars has successfully completed an A$5 million series A funding round.
The round was led by a private investor whose name has been kept confidential. TruePillars expects to raise more money from additional investors over the next two months.
“This investment will give us the means to further innovate and build on our service, including our ground-breaking secondary marketplace which allows investors to liquidate their investments ahead of schedule by selling to another investor in real time,” said TruePillars CEO John Baini in a press release.
The company has indicated that it will use the money raised to hire more staff.
Launched June last year, TruePillars’ allows investors to fund small business loans with a minimum commitment of $50. It also allows investors to pick and choose which loans they’re investing in. According to TruePillars’ data, 13.0 percent is the net average return of the company’s loan portfolio to date.
The SME loans the company offers can have a maximum five-year tenure. The company says it does not insist on small business owners providing property as collateral to secure the loan.
“Since launching last year, we have helped fund dozens of businesses that may not otherwise have secured a loan,” Mr Baini said.
“If you’re a profitable business with an established track record, don’t be fooled into paying two to three times more than you have to. We have a growing community of fair-minded investors who are ready and waiting to help Australian businesses succeed.”