October lets 11 public companies borrow money on its platform – TechCrunch
French crowdlending platform October (formerly known as Lendix), wants to educate more people about new ways to borrow money. This is why the company is launching a project called Grow Together (grow together).
11 large companies borrow €100,000 each in October at an interest rate of 2.5%. October users will be able to lend as little as €20 to any of these companies.
If you look at the list of companies, all of these names will sound familiar to French readers and beyond. Most are public companies, most are from France — AccorHotels, Adecco Group, Allianz France, Arkéa, Edenred, Engie, Iliad, JCDecaux, Suez, Unibail-Rodamco-Westfield and Webhelp.
According to October, annual revenues for these companies range from €1.8 billion to €122 billion, with Allianz generating more revenue than anyone else.
During a press conference, the co-founder and CEO of October Olivier Goy explained the idea behind this project. These lines of credit will not change anything for large public companies. But many of these companies work with small and medium-sized businesses.
Partners today will be able to refer small businesses. October will waive application fees for these companies up to 11 million euros in loans.
Thanks to this vote of confidence, you can imagine small businesses applying to October because a large company they trust has already done so.
French Economy Minister Bruno Le Maire recorded a video message for the press conference, saying he supported October and today’s campaign.
One of the main advantages of October over borrowing money from the bank is that it’s much faster. You can apply for a line of credit and get a response a few days later. This is very useful if you need to move quickly to launch a new product, open a new office and more.
October currently operates in France, Spain, Italy and soon in the Netherlands. I already covered the company in depth in June if you want to know more.