Payment solutions giant PayPal has also made a name for itself in the loans and credit industry, and offers loans to small businesses around the world.
Now, the company has announced it has lent more than $10bn to businesses. Since 2014, the technology giant has lent to 225,000 small businesses across the US as well as the UK, Australia, Germany and Mexico (the latter through a partnership program).
Darrell Esch, Vice President of Global Credit, PayPal, commented according to Forbes: “It took PayPal 23 months to get to the first $1bn in lending and now we’re hitting more than $1bn per quarter. Demand has never been in shortage.”
He added that since the global financial crisis beginning in 2008, larger banks have pulled back on lending and the environment still remains tough for smaller businesses to get loans. This has created a gap in the market for PayPal, as well as challenger banks such as OakNorth.
PayPal currently provides loans of between $1,000 and $500,000 to businesses.