International comparison of corporate loans in Switzerland

Person who wrote the post admin Dec 17, 2019
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Crowdlending has grown significantly in recent years, but is still relatively insignificant in relation to the overall market. In 2018, a volume of CHF 261.9 million was refinanced from all crowdlending platforms in Switzerland. The total credit market, measured in terms of bank balance sheets, is around CHF 1,200 billion, of which CHF 310 billion alone is granted to SMEs (more details here).

If we look at the numbers of the Anglo-Saxon countries, the situation is very different. In contrast to Switzerland, «alternative lending» (crowdlending) has already established itself in the area of corporate credit.

In the UK (1), 9.5% of all new SME loan deals are processed through crowdlending platforms. For small businesses (sales <2m) the value is even between 20-30% (in 2017).

In the United States (2), 32% of all SMEs (<499 employees) made a loan application to an online loan provider in 2018.

Of course, this relatively high proportion cannot be transferred one-to-one to Switzerland. Swiss banks have traditionally been strong and finance corporate loans to a greater extent than in other countries. Nevertheless, the difference between Switzerland and the Anglo-Saxon countries is still very high if we look at the market share of alternative lending.

Market share «alternative lending» in 2018 (consumption and SMEs):
- USA 34.30%
- UK 9.53%
- CH 0.06%

As a platform provider, these figures naturally make us very optimistic about the future. We look forward to you discovering and promoting the world of «alternative lending» in Switzerland with us.

Sources: (1) The 5th UK Alternative Finance Industry Report; (2) Small Business Credit Survey, Federal Reserves.