Private Credit & Lending strategies
7 plays in this category. Each one covers the mechanics, who it fits, and the estimated impact — then generates a deep dive against your own numbers.
- Private Credit & Lending
Private Mortgage Lending (Trust Deed Investing) — 8–14% Secured Yield
Lend directly to real estate investors on 1st-lien trust deeds — 8–14% yield secured by real property at 60–70% LTV.
8–14% secured yield vs 4–5% bonds/HYSA - Private Credit & Lending
Invoice Factoring / Purchase Order Financing
Buy B2B invoices at 90–95% face — collect full value 30–90 days later. Effective yield 25–60% annualized.
25–60% annualized on active capital - Private Credit & Lending
Merchant Cash Advance / Revenue-Based Financing (Ethical Version)
Fund small businesses at 1.15–1.35× via receivables purchase — 30–90 day payback, 25–50% IRR (ethical caps).
25–50% IRR on well-underwritten portfolio - Private Credit & Lending
Gap Funding for Fix-and-Flip Investors (2nd-Lien Bridge)
Provide the down-payment + rehab gap to fix-and-flip investors — 12–18% + 2–4 points on 4–6 month bridge.
30–50% IRR on short-duration deals - Private Credit & Lending
Interval Fund / BDC Investing (Institutional Private Credit)
Invest as LP in interval funds and BDCs — 9–12% yield on institutional private-credit portfolios.
9–12% yield vs 4–5% traditional fixed income - Private Credit & Lending
Peer-to-Peer Lending at Scale (LendingClub, Prosper, Upstart Whole Loans)
Buy whole-loan portfolios directly from P2P platforms — 6–12% net yield with algorithmic underwriting.
6–12% net yield with true diversification - Private Credit & Lending
Life Settlement Investing (Buy Others' Life Insurance Policies)
Buy in-force life insurance policies from seniors — pay premiums, collect death benefit. 8–12% IRR uncorrelated.
8–12% uncorrelated IRR + longevity portfolio hedge