SoLo Funds operates a community-based marketplace connecting borrowers and individual lenders, allowing borrowers to set repayment terms and lenders to earn returns. The platform aims to replace predatory payday lending with a market-driven alternative. It is financing tens of thousands of loans per month and reports loan-volume growth of about 40% month over month. Management says its default rate is roughly three times better than the payday-lending industry average and that a lender default-insurance product rolled out in April helped drive growth, including 2,000% growth in 2020. SoLo has seen the most activity in Texas, Illinois, California and New York. Borrowers often include teachers and social workers, while many lenders are "power lenders" who are college-educated and higher earners looking to diversify capital; the company plans to use new funding to expand its U.S. business.

Total raised

$10M

Funding rounds

1

Latest round

Equity

Latest activity

Feb 2021