What is Alternative Finance Market?
Alternative finance is the product that excludes traditional banking such as banks, stocks and bond. It includes fundraising from online platforms and other sources. Various reasons related to the company does not allow them to opt for traditional banking options. Therefore, these companies have to find other sources such as crowd funding, grants, Mezzanine leaders, private equity and others. These type of financing provides benefits such as mentorship, customer validation, advice, and buy in.
The market study is being classified by Type (Crowd Funding, Grants, Mezzanine leaders, Private equity, Peer to peer lending and Others) and major geographies with country level break-up.
Revolut (United Kingdom), Mintos (Latvia), Funding circle (United Kingdom), Coinbase (United States), Prodigy finance (United Kingdom), Thinknum (United States), Equity Zen (United States), Tradeshift (United States), Workday (United States) and Trulioo (Canada) are some of the key players profiled in the study. Additionally, the Players which are also part of the research are Seeders (United Kingdom), Siemens (Germany), Transferwise (United Kingdom), Klarna (Sweden), SoFi (United States) and Affirm (United States).
The market of Alternative finance is concentrated as it consists of major players. Due to availability of many large the companies are trying to gain a competitive edge in the market through strategic partnership, acquisition, expansion, and collaboration. Research Analyst at AMA predicts that United Kingdom Players will contribute to the maximum growth of Global Alternative Finance market throughout the predicted period.
Segment Analysis
Analyst at AMA have segmented the market study of Global Alternative Finance market by Type, Application and Region.
On the basis of geography, the market of Alternative Finance has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth.
Market Drivers
- Additional Benefits Such as Advice, Buy in, and Mentorship are Fuelling the Growth
- Improved Access to Finance Due To Technology Led Approach
Market Trend
- Emergence of Large Number of Alternative Finance Models
- Growing Number of Tech Startups
Restraints
- Risks Associated With the Finance Models
Opportunities
- Growing Popularity of Alternative Finance Source Such As Crowd Funding and Community Shares
Challenges
- Lack of Individuals about the Individuals and Businesses they would be Funding
Market Leaders and some development strategies
On 9th December 2019, Workday Inc. has announced the acquisition of Scout RFP. This acquisition will provide a modern source to pay solution to the procurement teams.
Key Target Audience
Alternative finance companies, Government Regulatory Bodies, Government Research Organisations, Private Research Organisations and Others