Auditor KPMG is taking more steps to boost its standing in the alternative small business lending space. Reports in economia released Thursday (Sept. 17) said the company has made its second major stride in the industry through a new partnership with debt crowdfunding site InvestDen.
The collaboration follows just weeks after a separate deal inked with P2P enterprise lender MarketInvoice.
In a statement, KPMG Head of Enterprise for the London Region Ben McDonald said the auditor’s efforts in the alternative lending space are a reaction to the state of businesses and their struggle to access working capital.
“In our conversations with entrepreneurs, we hear time and time again that the funding landscape for small businesses can be complex and difficult to navigate,” he said, “something which is spurring the growth of alternative finance providers which are able to provide clarity and simplicity in their offerings.”
He added that KPMG considers crowdfunding “as one such alternative source of capital for ambitious businesses.”
[bctt tweet=”KPMG says crowdfunding is for “ambitious businesses.””]
Reports said the partnership, which coincided with KPMG rival PwC’s own tie-in with alternative lender Sage, gives validation to the crowdfunding space. “Crowdfunding is now a viable route of financing and plays a part in a balanced and diversified portfolio,” said InvestDen Chief Executive Matt Novak.
The U.K.’s alternative lending industry is one of the world’s largest. Some analysts have actually concluded that it may be too large, as small businesses are overwhelmed by the amount of choices they have when in search of financing.
But policymakers have embraced the market expansion through legislative efforts. Among these initiatives is the bank referral scheme, which requires traditional banks to refer small businesses to alternative lenders should they get rejected for a loan.
To check out what else is HOT in B2B, click here.