Colektivo
It's still lending though, and that being so it is likely to fall fall of the Canadian banking/deposit-taking regime unless they make their peace with the regualators first (at huge cost in time and legal fees etc etc).
My approach would be similar "Pooling" but instead of lending to use a quasi Equity revenue-sharing approach through "unitising" gross revenues (if there are any).
Quite recently Prosper.com - the online Peer to Peer "social" lending operation - was obliged by the US SEC to
Cease and Desist "Any economic unit can emit money. The serious problem is to get it accepted" Hyman Minsky
Prosper assigns borrowers [Why not creditors?! ] a credit grade ['mark-to-model'] based on a commercial credit obtained from a credit bureau [FICO, 'mark-to-market' for a fee], but Prosper does not verify personal information, such as employment and income [materially irrelevant: that verification is the purportedly the 'value-added' to payment reports, collected by FICO marketers]. ... After an auction closes and a loan is fully bid upon, the borrower receives the requested loan with the interest rate fixed by Prosper at the lowest rate acceptable to all winning bidders. Individuals do not actually lend mone directly to the borrower; rather, the borrower receives a loan from a bank with which Prosper has contracted. The interests in that loan are then sold and assigned through Prosper to the lenders, with each lender receiving an individual non-recourse promissory note [a security] ... Prosper collects an origination fee from each borrower of one to three percent of loan proceeds and collects servicing fees from each lender from loan payments at an anual rate of one percent of the outstanding principal balance of the notes.
Prosper collects an origination fee from each borrower of one to three percent of loan proceeds and collects servicing fees from each lender from loan payments at an anual rate of one percent of the outstanding principal balance of the notes.
A poor example of "peer-to-peer" lending, postulated: Not only does Prosper function as an "intermediary," Prosper resells "intermediary" capital, and Prosper "lenders" risk no capital other than continuous payment of Prosper fees.
An excellent example of buzzword-gone-wild.
pdf, at sec.gov where one need not register to obtain a public record. Diversity is the key to economic and political evolution.
