Fintech Founded to Stop Abusive Lending Leaves Trail of Lawsuits
- SoLo Funds users, state officials have sued the startup
- Company has denied engaging in any deceptive practices
Rodney Williams and Travis Holoway co-founded peer-to-peer lending platform SoLo Funds Inc. in 2018 with a commitment to help the millions of Americans targeted by abusive lenders. One of the few Black-founded startups in venture capital – a demographic that secured only 0.48% of all venture dollars in 2023 – SoLo Funds positioned itself to be a lending solution for those who find themselves cash-strapped in emergency situations.
The founders branded the Los Angeles-based fintech firm as a third-party platform that connects borrowers to lenders with no mandatory fees or interest; users could request loans of up to $575, which then must be repaid to individual lenders within 35 days. SoLo’s business model quickly garnered attention and has helped many since launching. The company reached almost 2 million users earlier this year, nabbed a spot on CNBC’s 2023 Disruptor List and received financial support from the venture fund of tennis superstar Serena Williams.