Prosper Marketplace

lendingp2p lendingwealthtech-retailpersonal finance management

FOUNDING YEAR: 2005
LOCATION: United States
Last Update: 17/07/2020

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About

Prospers mission is to advance financial well-being. The companys online lending platform connects people who want to borrow money with individuals and institutions that want to invest in consumer credit. Borrowers get access to affordable fixed-rate, fixed-term personal loans. Investors have the opportunity to earn solid returns via a data-driven underwriting model.To date, over $17 billion in personal loans have been originated through the Prosper platform for debt consolidation and large purchases such as home improvement projects, medical expenses and special occasions.For more information visit:www.prosper.comand follow Prosper on Twitter @ProsperLoans.(Notes by Prospectus: https://prosper.com/prospectus/)

MEDICI Analysis

Prosper is a peer-to-peer lending platform that connects people who want to borrow money with individuals and institutions that want to invest in consumer credit. Borrowers get access to affordable fixed-rate, fixed-term personal loans, and investors have the opportunity to earn attractive returns via a data-driven underwriting model. The company offers personal loans in the range of $2,000 to $35,000 for fixed term of 3-5 years for borrowers and retail investors can invest as little as $25 per loan. Recently, the company started Prosper daily service for personal financial solutions for consumers. It is a mobile app that offers consumers a suite of tools to make better financial decisions, including viewing all their financial accounts in one place, budgeting and tracking spending by category, identifying questionable charges, and monitoring their free credit score, which is updated monthly.

Focus

PRODUCTS & SERVICES

P2P lending marketplace and financial tools providers. The company offers products are: Lending service: It is a platform that provides the different type of loan products such as Debt Consolidation Loans, Home Improvement Loans, Special Occasion Loans, Personal Loans for Business, Auto & Vehicle Loans, Short Term & Bridge Loans, Green Loans, Millitary Loans, Friends & Family Loans, Baby & Adoption Loans. Credit card optimizer: It is a mobile app that manages all credit cards at one place and helps customers to minimize the interest fees with early payment reminders.

REVENUE MODEL

The company generates revenue by charging fee on both lender & borrower. Lender fee is 1% annual loan serving fee & Borrower fee is closing fee which varies from (0.5% to 4.95%) and it depends upon total loan & Prosper rating. Other fees are Late payment & failed payment fee etc.

MAIN CLIENTS

Retail Consumers

EXISTING PARTNERSHIPS

Partnered with HomeAdvisor to make it easier for homeowners to find financing and a contractor in one place. Some of the other partners Radius Bank

OnDeck

Free Credit Score

Credit Karma

Credit.com

SavvyMoney

LendingTree

COMMENT

Unlike traditional lending, Prosper provides a convenient and superior customer service with lower interest rates. Prosper Marketplace has evolved into a personal finance company that offers products and services beyond personal loans to help people get on top of their finances. New features include a redesigned automatic investment tool and a dashboard to see portfolio performance.

Traction

VALUATION / MARKET CAP:

$1.7 B in 2015

COMPANY TYPE:

For Profit

TRANSACTIONS COMMENT:

The company has disbursed funds close to $8.9 B for borrowers to date (May 2017).

OTHER INFO:

To date, over $10 billion in personal loans have been originated through the Prosper platform for debt consolidation and large purchases such as home improvement projects, medical expenses and special occasions. (Sept 2017)

TRACTION COMMENT:

In 2014, Prosper generated $81 million in revenue on $1.6 billion in loan origination, up from $357 million in the prior year. Most significantly, the company declared its first quarterly profit in the third quarter of 2014. Its growth spurt attracted new financial backing, which has boosted its valuation to nearly $2 billion. Prosper’s unexpected growth rate had many analysts convinced the company would seek an IPO in 2017. Prosper launched credit card optimizer to help consumers make better financial decisions in Dec. 2016. Prosper also relaunched an online platform for retail investors in recent days to improve the experience for loan buyers. In Feb 2017, Prosper Marketplace announced that it has closed a deal with a consortium of institutional investors to purchase up to $5 billion worth of loans through the Prosper platform over the next 24 months.

Momentum

FUNDED

YES

NUMBER OF FUNDING ROUNDS

9

TOTAL FUNDING

$358.14 M

DATE OF LAST FUNDING

Sep 2017

IPO STATUS

Private

TOTAL FUNDING COMMENT

An undisclosed amount raised in secondary market in 2016.

ESTIMETED REVENUE RANGE

$100M to $500M

FUNDING SERIES

SERIES A  · $20 M  · Jan 2013

SERIES B  · $25 M  · Sep 2013

SERIES C  · $70 M  · May 2014

SERIES D  · $165 M  · Apr 2015

SERIES E  · $17.2 M  · Jun 2011

SERIES F  · $8.94 M  · Nov 2011

SERIES G  · $50 M  · Sep 2017

OTHERS  · $2 M · Feb 2010

SECONDARY MARKET  · $1.61 M · ---

LISTED

NO

COMMENT

Venture: $48 M(2013). Private Equity: $235 M(2015). Series G: $50 M (Sept 2017)

company provided insights

Acquisitions

ACQUIREE NAME

BillGuard

ANNOUNCED DATE

Sep 2015

PRICE

---

ACQUIREE NAME

American HealthCare Lending

ANNOUNCED DATE

Jan 2015

PRICE

$21 M

company provided insights
Web Traffic

Web Traffic

MONTHLY VISITS

751,427

AVERAGE VISITS (6 MONTHS)

884,401.76

MONTHLY VISITS GROWTH

-6.82%

VISIT DURATION

303

VISIT DURATION GROWTH

39.83%

PAGE VIEWS VISIT

6.11

PAGE VIEWS VISIT GROWTH

13.79%

BOUNCE RATE

30.23%

BOUNCE RATE GROWTH

1.78%

GLOBAL TRAFFIC RANK

45,844

MONTHLY RANK CHANGE

-5,895

MONTHLY RANK GROWTH

-11.39%

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