Singapore-based peer-to-peer lending platform, Funding Societies, has recently secured a funding of USD 7.5 million from Norfund, the Norwegian Investment Fund for Developing Countries.
Funding Societies aims to bridge the SME financing gap in Southeast Asia by providing alternative funding options through its online platform. With this latest investment, Funding Societies plans to accelerate its growth in the region, further expanding its lending activities to support small businesses.
The funding comes as a great boost to Funding Societies, as it demonstrates Norfund’s confidence in the platform’s potential and its mission to promote financial inclusion in emerging markets. Norfund’s investment will provide the necessary capital for Funding Societies to continue its mission of empowering SMEs and unlocking their growth potential.
Why is this funding significant?
Norfund’s investment in Funding Societies not only adds credibility to the peer-to-peer lending space but also highlights the growing importance of alternative financing solutions for small businesses.
With traditional lenders often being reluctant to extend credit to SMEs due to various reasons such as lack of collateral or limited operating history, Funding Societies has stepped in to fill this void by offering accessible and flexible financing options. Its platform connects investors looking for attractive investment opportunities with deserving businesses in need of funding.
The funding received from Norfund will enable Funding Societies to expand its outreach and make financing more readily available to SMEs that are often overlooked by traditional financial institutions. This investment will help support job creation, foster economic growth, and accelerate development in various countries across Southeast Asia.
About Funding Societies
Funding Societies is Southeast Asia’s largest peer-to-peer lending platform that connects individual and institutional investors with SMEs looking for business loans.
Since its inception in 2015, Funding Societies has disbursed over USD 1.5 billion worth of loans to more than 6 million small businesses, supporting their growth and contributing to the overall development of the regional economy.
The platform offers an easy and efficient way for investors to diversify their portfolios and earn attractive returns while empowering SMEs to overcome financial obstacles and achieve their ambitions.
Conclusion
The investment raised by Funding Societies from Norfund is a testament to the platform’s success and its positive impact on the SME landscape in Southeast Asia. Smaller businesses, which often struggle to secure funding, can now rely on Funding Societies to fuel their growth and expansion plans.
With the support of Norfund, Funding Societies is well-positioned to further democratize access to financing, allowing more entrepreneurs to realize their dreams and contribute to the economic prosperity of their communities.