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Russian Businessmen Actively Invest in Online Loan Companies

Online loan  companies are going  beyond the CIS markets and   began developing on the global markets. In addition, Russian businessmen express their  interest in  investing in  this business.

Similar to vivus.ge, the  Russian capital in Georgia is represented  in one of the famous online loan  companies moneyman.ge. The company’s co -investor  is a Russian businessman Vadim Dimov i who established the Dymov company that produces more than 170 items of sausages and deli meats, and book shops “Republic” in Russia. Russian media reports  about the entry of the remote consumer lending company into  the Spanish market.

As of the figures for the past year, Spanish online-lending market was estimated at  300-400 million Euros. Dimov carried out  another investment in MoneyMan in  May, but Emery Capital  with 6 million dollar investment has become the project’s  leading investor. The company invests in the international technology startups  which have  a  significant growth potential. MoneyMan  has been operating  in  Kazakhstan and Georgia. However, its global growth begins from  Spain.

The company notes that doing  business in  the post-Soviet markets, where the population speaks Russian and  have Russian-like behavior model, is  significantly different from doing business in Western European countries. The company is studying European and South American markets for future expansion. In Europe, Bulgaria and Romania are of its  interest, the company is  searching  for partners in Brazil.

MoneyMan was founded in 2011 by professional financiers Boris Batin and Alexander Dunayev, who worked for more than 10 years in the financial sector in the leading international banks. A few months ago, “CBW” wrote  that the Russian billionaire Oleg Boyko who founded online loans company  vivus.ge  planned to turn his company into  the world leader in this field in 2015. In early  2012 he bought 75% of the Latvian company 4finance . Vivus.ge is an international brand of 4Finance Group.

“Banking and Finance” editor  Zurab  Kukuladze says that  in Georgia online lending  has become popular  for  several reasons. First of all, we are talking about quite low culture of  the financial services consumption  when people undertake  certain obligations and are not aware of the liability conditions. Another important factor is the country’s acute social background, which is why people are forced to use expensive products; the third and equally important factor is  the financial services disadvantages, which is  primarily relatively mild regulations  towards financial institutions.

In contrast to banks and microfinance institutions, online companies give out loans under simplified  conditions and methods making this market more attractive. Online loan  organizations are legally registered as limited liability companies  and  do not fall under  the National Bank’s regulatory space.