CommunityLend Indeed to Launch Sometime

CommunityLend just raised $1 million from Stone. Stone doesn't appear to a be a traditional VC, this may be a good or a bad sign. Good for CommunityLend anyway, because hey, money is money. Perhaps they'll need the money for finishing off technical aspects or marketing (hopefully). I have other negative hypotheses, but I'll keep those to myself :)

Oh, and CommunityLend says themselves that they are planning on launching soon. Nary a mention of the (likely) requirement to be an accredited investor in order to lend, shutting out the lending side of the business to anyone that doesn't have $$$ (and I really mean $$$$$$) in their bank accounts. You would've been able to predict both of these aspects based on my article here: CommunityLend Person-To-Person Lending Preview Details! Canadian Prosper.com on its way!

According to a comment here, apparently there's another person-to-person lending company launching in Canada.

Welcome to Peer to Peer Canada

Their comment: "There has always been a third player .Small , low key and has been around for years.We just wanted to be sure we were up to speed on compliance.The other two guys have made lots of waves with the regulators.Our approach is a little more simple,more conservative and we feel structured in a more secured way.Have a look.There will be a press release next week!!!!"

I believe they've been involved in the subprime (though, I'm sure they hate being called "subprime") auto-loan market for a while now. Again, they require accredited investors, so only if you have $$$$$$ will you be able to take part in the party.

Welcome to the space, I'll be sure to write a more comprehensive article when I get the chance.

grrrrr, Accredited Investor Requirements

Unfortunately, Microlending (ie: the lending part of it) will continue to be out of reach for the average Canadian with some spare money to invest. This is a regulatory issue, and not a corporate decision on the part of either of these companies to be clear (for the most part).  If any of the big players want me to help start a grassroots-type campaign to try to get this changed, I'm game.