PALM BEACH, Fla, Nov. 3, 2022 /PRNewswire/ -- FinancialNewsMedia.com News Commentary - The Debt Financing market has been growing in recent years during the pandemic and is expected to continue to grow and thrive in the coming years at a substantially increasing pace. The Debt Financing is a technical term for borrowing money from an outside source with the promise to return the principal plus the agreed-upon. Debt Financing is offered by banks, financial institutions, NBFCs in form of secured and unsecured bonds, & loans. One of the biggest benefits of debt financing is that borrower won't be giving up his/her ownership of the business. Other advantage of debt financing are low interest rates, tax deduction benefits. A report from ResearchAndMarkets projected that the debt financing market is poised to grow by $16.17 bn during 2022-2026, accelerating at a CAGR of 9.66% during the forecast period. It added: "The market is driven by tax-deductible debt interest costs, preserves company ownership, and lower interest rates… This study identifies the increasing collaboration and mergers and acquisitions as one of the prime reasons driving the debt financing market growth during the next few years. Also, the availability of several ways to approach debt financing and surge in demand from APAC will lead to sizable demand in the market." Active companies in the markets this week include Mill City Ventures III, Ltd. (NASDAQ: MCVT), Affirm (NASDAQ: AFRM), LendingClub Corporation (NYSE: LC), OneMain Holdings, Inc. (NYSE: OMF), Goldman Sachs Group, Inc. (NYSE: GS).
Another report by Report Ocean on MarketWatch said: "The rising penetration of digital lending solutions and increasing adoption of debt financing due to low insurance cost as well as strategic initiatives from leading market players are factors that are accelerating the global market demand. For instance, according to Statista – in 2019, Digital lending in India was estimated at USD 110 billion, and the digital lending market is projected to grow to USD 350 billion by 2023. Furthermore, leading market players are working towards collaborations and co-lending agreements to capitalize the growing demand for Debt Financing. Also, growing emergence of NBFCs & Fintech Start-ups and increasing expansion of private lending sources are anticipated to act as a catalyzing factor for the market demand during the forecast period (of 2022-2028)."
Mill City Ventures III, Ltd. (NASDAQ: MCVT) BREAKING NEWS: Mill City Funds $855,000 Short-Term Insurance Settlement - Mill City Ventures III, Ltd. ("Mill City" or the "Company") announced today its funding of a settled insurance claim in the amount of $855,000. The related short-term note is expected to mature in 120 days and involve an annualized return of 33.5%.
Mill City Chief Executive Officer, Douglas M. Polinsky, said, "This latest closing is one more example of our ability to profitably service a growing need in the financing markets. With rising inflation and rapidly rising interest rates, borrowers are facing an increasing number of hurdles to clear in their efforts to access capital on a short-term basis. There continues to be a large funding gap between the needs of small- and medium-sized businesses and the institution-based financing available to them. Our ability to quickly create financing solutions for a variety of needs is proving to be a significant growth engine for Mill City Ventures." CONTINUED… Read the Mill City Ventures full press release by going to: https://www.millcityventures3.com/press-releases