Honeycomb Credit, Upstart Co-Lab to Allow Institutional Money to Participate in Crowd Loans
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Honeycomb Credit, a bank replacement regulated Funding Portal, has announced a partnership with Upstart Co-Lab, to offer a “first-of-its kind loan crowdfunding platform.” The new platform will enable institutional investors to participate in crowdfunded loan offerings for small businesses in creative industries across the US.
According to Honeycomb, three foundations have committed $600,000 for the launch, including the Jessie Ball duPont Fund, the A.L. Mailman Foundation, and Souls Grown Deep Foundation and Community Partnership.
The new lending vehicle will be known as a Loan Participation Fund. Operational support for the foundations is provided by the nonprofit FJC – A Foundation of Philanthropic Funds, which is acting as a Loan Participation Fund intermediary.
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