A perfect storm for alternative lending
In this article, Eamon notes: “Raising interest rates from traditional banks and the collapse of two leading US Banks have seen cash-strapped companies turn to private lenders for liquidity”
Navigating market volatility and finding alternative finance solutions
He continues, “In 2022, global markets saw increased market volatility, inflation, and the inevitable rise of interest rates that have led investment managers to seek fixed returns. Similarly, over-reliance on traditional banks for sector-specific lending, like tech startups with Silicon Valley Bank and real estate and private equity lenders with Signature bank, has seen SMEs look for alternative sources of finance at competitive rates”
“Through legislative change, the European Commission (EC) and the Central Bank of Ireland (CBI) have already put the wheels in motion for a framework to create alternative sources of finance”.