Over the years Google for Work has amassed a network of more than 10,000 partners which help distribute Google products and services. As they grow that network Google has created a system of incentives to reward top performers and to attract new ones.
The latest perk in their system is a partnership with Lending Club allowing companies associated with Google to have access to low-cost loans designed to help grow their business.
The program, currently in the pilot phase, utilizes Lending Club’s efficiencies in attracting lenders and screening borrowers to allow Google to purchase loans which will be provided to eligible recipients at low interest rates with no fees. Lending Club services the loans.
“This first of its kind program enables Google to invest its own capital in the growth of its partners,” said Renaud Laplanche, founder and CEO of Lending Club. “This is a new delivery model for financial services; this program opens up many possibilities for Lending Club partners to enable credit for consumers and business owners.”
Eligible companies can receive two-year loans of up to $600,000. An interest-only structure in the first year followed by a fully amortizing second year creates a loan payback schedule designed to match the cash-flow profile of growth investments.