I had the opportunity to meet with Paul Rosen, Chief Sales Officer for OnDeck, during SleeterCon last week. We discuss the market, their products and their partner program. This
Paul Rosen
article is a combination of the conversation and a look at their Partner Program which offers an opportunity for accounting professionals to earn some pretty hefty commissions and referral fees, if you choose to do so.
Alternative lending companies came on to the scene around 7 or 8 years ago to fill the void left by the banks. The alternative lenders typically offer quick decisions, rates that are higher than a traditional bank but lower than many credit card fees (which is how many SMB's manage cash flow) and they actually write loans, which many banks seem to be afraid of doing.
The online lending market has become more mainstream and the products are evolving with each of the various lenders having its own unique products and criteria. Accounting professionals are in a unique position to serve as the conduit between client and lender, and to help the client understand the true costs of the various loan types available.
According to Paul, On Deck which is publicly traded on the NYSE (ONDK) is the only small business lender with a full credit solution- 3 month- 36 month terms, true loan (not based off of receivables or credit card sales) and line of credit for a customer in any stage of their life cycle. Further, credit decisions can be made in as little as 5 minutes.
About Their Partner Program
Products
- Line of Credit- available when customers need it. Good for newer businesses to help build business credit. Lines of credit range from 5,000 -100,000.
OnDeck Logo
- Short term loan- 3 months- 12 months- typically for inventory, hiring, and short term cash crunches. Short term loans range from 5,000-250,000.
- Long term loan- up to 36 months and an annualized interest rate as low as 6%. Long term loans can go up to 500,000.
Accountant Referral program (What is in it for YOU?)
Each accountant/advisor/Enrolled Agent/Consultant/CPA will receive a dedicated account manager who will work with them on all of their opportunities as well as provide education on our industry.
With a referral the accountant can either get:
- A discount for their customer (which is 2 points lower than a customer can get on their own). The discount applies to all future loans.
- A one time 5 point commission on our core product- average loan is 50,000 and average referral fee is $2,500. We will handle the entire process. Accountant only needs to provide a lead. Line of Credit is paid at $100 and our “Select” product (lower rates and longer terms for Premium customers) is paid a 2.5 point referral fee.
Want to learn more or speak with a representative? Contact Paul Rosen at prosen@ondeck.com.