Mike Glanz, chief executive of HireAHelper, a website for finding help with moving, wanted to hire additional computer programmers to work on an important project. The problem was that he didn’t have money to pay their salaries.
Glanz’s options seemed limited. No bank would make a loan to someone whose company wasn’t profitable and who didn’t have collateral. Angel investors would demand too big a stake for a relatively small infusion of cash. The project, he thought, would have to wait.