Private lending syndication platform CrowdOut Capital recently announced it closed a $20 million facility to Lane Gate Advisors.
Founded in 2015, CrowdOut claims it offers middle market and lower middle market companies ($10MM+ revenue) a better way to raise debt. The company noted it partners with credit funds to underwrite and fund loans, while also offering accredited investors the opportunity to earn 8-12% yields with investments as little as $1,000. Individuals and institutions are given the opportunity to invest as little as $25,000 directly into a single deal.
Speaking about the facility, Alexander Schoenbaum, CEO of CrowdOut Capital, stated:
“Lane Gate has a team of experienced life settlement investors with a differentiated, niche strategy. CrowdOut is excited to be invested in such a quality, non-correlated asset space.”
Bryan Cooper, Co-Founder, Managing Principal and Co-Chief Investment Officer of Lane Gate Advisors, further commented;
“Life settlement investors are having a difficult time finding traditional financing,” said LP. “CrowdOut has been a great partner and provided flexible growth capital that can scale with us as we grow our portfolio.”
CrowdOut went on to add that companies rely on CrowdOut to help reduce lending costs by streamlining the underwriting process and drastically reducing fees; a stark contrast to financial institutions and other non-bank lenders.