By Cecilia Nasmith

With great pleasure, the Business and Entrepreneurship Centre Northumberland announces the signing of a Memorandum of Understanding with financial-technology leader Lending Loop in support of local entrepreneurship.

Lending Loop is a peer-to-peer lender, the announcement explained, connecting businesses seeking capital with interested lenders through its on-line platform.

“BECN is thrilled to be engaging Lending Loop as a key referral partner for entrepreneurs seeking capital to launch of expand their business,” it said.

Director of Economic Development, Land-Use Planning and Tourism Dan Borowec said in the press release that this partnership is a response to needs identified by clients for better access to capital in order to grow their businesses.

“The BECN is a leader in small-business development, providing consultation, coaching, education and other services designed to support local entrepreneurs in achieving their business goals,” Borowec said.

“Rather than attempting to acquire public funds to create our own fintech to achieve this particular identified client need, we appreciate the opportunity to work with Lending Loop as a well-established and successful fintech entity.

“This is about doing what we do best and, in turn, working with partners who do what they do best. Together, we will expand opportunities for Northumberland start-ups.”

Lending Loop helps bridge the divide between start-up funding and financing for mature operations, with eligible entrepreneurs able to borrow from $1,000 to $500,000 to help brow their businesses. To date, Lending Loop has lent more than $65-million to Canadian small businesses and has attracted more than 10,500 investors.

Under the Memorandum of Understanding, Lending Loop will be included in the list of key referral partners that BECN shares with clients requiring capital as part of their business plan. As Lending Loop provides a fully digital on-line application, Northumberland's many rural-based entrepreneurs will benefit from enhanced access to financing.

Lending Loop chief executive officer Cato Pastoll said in the announcement that this partnership continues their mission of supporting businesses across Canada.

“By working with BECN in Northumberland, we can help increase access to financing in the region, providing an alternative to traditional lenders and helping its great entrepreneurs to spur economic growth.”

An official launch of the new partnership will be held for BECN clients Jan. 28.