CrowdOut Capital announced the initial funding of a $20 million facility to Lane Gate Advisors. “We are thrilled to add a great borrower to our loan portfolio,” stated Alexander Schoenbaum, Chief Executive Officer of CrowdOut Capital. “Lane Gate has a team of experienced life settlement investors with a differentiated, niche strategy. CrowdOut is excited to be invested in such a quality, non-correlated asset space.”

Founded in 2015, CrowdOut utilizes both a traditional fund, as well its proprietary tech-enabled marketplace, to finance corporate loans that range from $4 million to $50 million. Individuals and institutions are given the opportunity to invest as little as $25,000 directly into a single deal. Companies rely on CrowdOut to help reduce lending costs by streamlining the underwriting process and drastically reducing fees; a stark contrast to financial institutions and other non-bank lenders. CrowdOut’s underwriting process includes extensive due diligence to ensure the company understands their borrowers' businesses and is consequently able to construct each loan accordingly.

“Life settlement investors are having a difficult time finding traditional financing,” said Bryan Cooper, Co-Founder, Managing Principal and Co-Chief Investment Officer of Lane Gate Advisors, LP. “CrowdOut has been a great partner and provided flexible growth capital that can scale with us as we grow our portfolio.”