Minister for Small Business Bruce Billson endorses peer-to-peer crowdfunding
The Hon. Bruce Billson the Federal Minister of Small Business reinforced the government’s commitment to supporting peer-to-peer crowdfunding at a presentation at the Australian Stock Exchange (ASX) on 30th April 2015, whilst launching an independent report titled:-
“Alternative Finance in Australia – Private investment, disruption, fintechs & crowdfunding”.
The Federal government sees crowdfunding as a way forward into breaking the stranglehold of the major banks in the provision of finance to small businesses, and will introduce new legislation in the Budget Session to make the process easier for lenders and borrowers.
The peer-to-peer crowdfunding industry rose to prominence in the USA & UK during the onset of the Global Financial Crisis in 2008, plugging a hole left by the reluctance of banks to lend to small businesses. Securing finance from the banks in Australia today is no different.
However, the arrival of crowdfunding on-line marketplaces in Australia and New Zealand is providing a viable alternative to small businesses who are seeking business loans. It enables them to explore alternative sources of funding and bypass the banks and middlemen.
With true peer-to-peer crowdfunding there are no banks and no middlemen, and the Internet based marketplaces enables farmers and rural businesses borrowers to connect to lenders and investors directly, by searching and matching on appropriate investing and borrowing criteria.
Once a suitable match is identified, the business borrowers and lenders/investors can optionally exchange contact details, discuss and potentially negotiate the terms and conditions of a possible loan or investment on mutually acceptable terms.
funding4business is one such peer-to-peer marketplace and lists business requiring loans, start-ups requiring seed or equity funding, investors and private lenders seeking secure investments for their available funds.
We are not a bank nor a finance company and we do not lend and or administer loans.
We operate the marketplace and facilitate introductions.
funding4business allows lenders and investors to achieve better returns on their investment funds, while potentially offering lower than bank interest rates for borrowers. Investors choose the risk they want to take and the borrowers with whom they feel comfortable and secure and visa versa.
Listing in funding4business marketplace is simple, quick and free.