Suvarna Garge (Editor)

Zencap

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Type
  
Private

Products
  
Peer-to-peer lending

Founded
  
2014

Headquarters
  
Berlin, Germany

Number of employees
  
65

Parent organization
  
Rocket Internet

Zencap httpsrescloudinarycomcrunchbaseproductioni

Industry
  
Financial Services, Software

Area served
  
Germany, Spain, The Netherlands

Founders
  
Dr. Christian Grobe, Dr. Matthias Knecht

Ict spring 2014 startup pitch zencap


Zencap is a multinational company, operating a peer-to-peer lending platform, which allows private savers to lend money directly to small and medium sized businesses in Germany, Spain, and the Netherlands. Using the crowdfunding model, the company based in Berlin, Germany aims to create a direct link between private lenders and small businesses seeking loans. As of December 2014, Zencap had facilitated 5 million Euro in loans to small and medium sized firms.

Contents

Recently, the company was merged with Funding Circle, being active on UK and US.

Origin

The company, based in Berlin, was founded in March 2014 by Christian Grobe and Matthias Knecht, with support from Rocket Internet.

Lending

The business model resembles the US peer-to-peer lending platform Lending Club and UK-based company Funding Circle. Zencap facilitates small business loans from 10,000 to 250,000 euros. Zencap determines whether the borrower is creditworthy and assigns a credit grade that determines the payable interest rate and the fees. Zencap itself charges borrowers a 1% to 4.5% origination fee. The loan period can range between 6 and 60 months while the loan can be repaid without an early repayment fee at any time. Conditions vary between countries.

Der Tagesspiegel quoted founder Christian Grobe, "We are very strict with the risk assessment." Once approved, businesses post their loan request on the Zencap marketplace, where private lenders are able to choose which businesses they want to lend money to.

References

Zencap Wikipedia