3 Ways Marketplace Lenders Can Expand Internationally
Originally @ Lending Times The most successful online lenders frequently reach a point where they are faced with a question: Continue developing domain expertise over one’s geography or expand internationally? Last year, we covered in-depth the kinds of markets that online lenders can expand into in a three-part series ( part 1 , part 2 , part 3 . ) Yet, when a company makes a decision to expand, this still leaves a big question open: How will they do it? Most marketplace lenders come to a three-pronged fork in the road: Expand by partnership, by acquisition, or by colonization. Partnering into a Market The first type of expansion is the most low-risk and the fastest to successfully undertake. A successful online lender looking at new geographies also faces a significant slate of new risks should they choose to expand without fully understanding the new market. If they partner with an existing player – whether another lender or an established financial institution – they mitig