OnDeck Capital Scored 7.21 – Triton Research Dossier Published
The Triton Research Dossier on OnDeck Capital, Inc. has been published. According to the Dossier, OnDeck makes loans to small businesses using its online platform and proprietary credit scoring. This market has historically been characterized by fragmented providers, shady practices and astonishingly high interest rates. OnDeck has high growth rates, significant repeat business, and is able to charge high interest rates due to the nature of their SMB clients. In addition, customer acquisition cost trends are positive. However, unlike Lending Club and other P2P marketplaces, OnDeck takes capital risk. The Company’s high interest rates may create vulnerability to competition from lower-rate providers. OnDeck also operates in a regulatory grey area and is potentially subject to regulation from numerous agencies and states. OnDeck represents a better solution than traditional small business lending options, but is structurally a completely different animal than Lending Club and may face obstacles to scale.
Triton Research has published a 59-page report on OnDeck Capital, Inc. containing a bottom-up financial model, product analysis, business model analysis, bull vs. bear case scenarios, comparative analyses, questions for management, historical capitalizations, historical valuations, and more. For pricing information please contact Kaylan Tildsley at (212) 804-6151.