When I say that Mexican companies lack financing options, I am not finding the black thread of the national economy. We know, the banking system, besides being expensive, is complicated.
The limited information in the requirements and commitments is the main reason why companies do not get or are not interested in accessing a loan. To these variables, add the authorization delay, high interest rates, exaggerated commissions and poor quality in customer service.
The situation would not be so important if we did not compare it with the results obtained by the National Institute of Statistics and Geography (INEGI): in Mexico there are approximately 4 million 15 thousand companies, of which 99.8% are SMEs that generate 52% of the Internal Product Gross (GDP) and 72% of employment in the country.
However, only two out of 10 companies reach five years of life. What is the main problem? The lack of financing.
Given this situation, in The Duchess we were quite clear: We had to act.
That is why we are “cooking” an alternative: A loan platform for SMEs, where interested parties can access loans with low interest, at any time and practically without leaving their office.
Who will fund these projects?
This question reveals the most interesting of the model, because the credits will be granted by other companies and even people who are interested in obtaining high returns for lending money.
This model is known as Peer to Peer (P2P) Lending, and has been catapulted in the world as one of the most important alternatives to banking.
In the United States alone, the P2P loan industry handles more than one billion dollars a month. While in the United Kingdom the model has had exponential growth of more than 250%.
I want to lend Is there a risk of losing my money?
Yes, the chances that the company you are lending to will not pay are latent (as in any kind of loan). But so that this does not happen, P2P platforms have protection systems to minimize risk and inform you at all times what you are exposed to.
It is essential to inform you before deciding where to put your money. In the case of P2P Lending, those who do not know the system should start by familiarizing themselves with it. What platforms do they offer? How do they work in other countries? What problems have they generated?
Convinced? Now analyze the companies that are requesting: How much do they ask? What is your risk? What are they going to use money for?
DEFINE YOUR TOLERANCE AT RISK
Applicants for P2P platforms are classified by risk. That is, you can differentiate between those who are more likely to pay, those that may cost more work and even those that represent a high risk.
These classifications respond to a study of variables, so you should always keep in mind the relation profitability> risk. The higher profitability, the more risk.
How much money would you be willing to lose in case things don’t go as planned? Although the idea is always to obtain a return, it should be defined and fulfilled.
INCREASE RISKS LITTLE TO LITTLE
To familiarize yourself with a P2P platform, it is a good idea to focus only on “safe” loans, even if they are the ones that offer the lowest returns. Although in the long run, if you stay too long in these types of profiles, you may feel that the evolution of your finances is not as satisfactory as you had planned.
To avoid this, it is best to choose applicants with a higher risk and thus get more benefits. Of course, remember that the key to your security is diversification, so always keep a good balance between the safest loans and those that provide you with more profitability.
REINVERT YOUR ORIGINAL MONEY
Once the initial funding has been recovered, it is a good idea to let the interest earned continue to generate benefits, but also to reinvest the initial amount in a new loan. So you can expand and diversify your portfolio easier.
ORDER BEFORE EVERYTHING
As you have already verified by previous research, your funding may be subject to default on some occasion and that will impact the total benefits you expect to receive. Regularly controlling the management of your account can allow you to make decisions to compensate for profit and loss.