Able is financial technology company that serves the Fortune 5 Million – the 5 million small businesses in the United States that create two-thirds of all jobs and employ over 50% of the workforce. Yet since 2008 our economy has pulled the rug out from under them—such that three-fourths can’t access credit they need to grow their business.
We solve this problem with a novel loan structure. At Able we make 1- to 5-year term loans up to $500,000 starting at a low-interest rate of 8%–but with a twist. Borrowers raise the first 25% of the loan from friends and family, who we call Backers. Those Backers join with us, Able, as being lenders in the loan to the small business. Backers not only help the borrowers get the lowest interest rate, but they also help with origination and risk assessment. Able then manages the loan of the borrower’s behalf and Backers earn payments over the life of the loan.