Today we are thrilled to announce that we received $100 million in debt financing from Community Investment Management (“CIM”), the first impact investment firm focused on marketplace lending. This investment allows us to make more low-cost loans to growing small businesses.
“We are excited about CIM’s investment so that we can fund more deserving small businesses,” Able’s CEO and Cofounder Will Davis said. “During a time when investors’ confidence in alternative lending has plunged, this investment is a vote of confidence in our loan model and our team.”
“Able’s unique loan structure, where friends and family contribute a portion of the loan, allows small businesses to access more capital at lower rates,” CIM Managing Partner, Jacob Haar, said. “We believe Able’s tight-knit peer-to-peer model, responsible rates, and transparent approach is a big win for small businesses, and we are pleased to partner with them.”
The $100 million is available to fund approximately 500 small businesses in the United States. Able lends to growing small businesses who have been operating for at least one year and with at least $100,000 in revenue. Term loans range from $25,000 up to $1 million with rates starting at 8 percent. The more businesses raise from friends and family, who act as co-lenders alongside Able, the more they save on their loan rate.
Able lends to consumer products, tech, and main street businesses of all types. Loan recipients look to Able for working capital and to purchase inventory, open a new location, hire employees, invest in marketing, or as a bridge round to retain more equity. Able also helps small businesses get out of high-interest, short-term debt by refinancing cash advances and credit cards, which saves entrepreneurs $5,000 a month on average.
Interested in funding? Get pre-approved in 1 minute here