Stepex

stepex is a p2p marketplace for a new type of finance – angel investment in people. start-ups have variable and uncertain future incomes. they rarely raise debt financing because investors would demand prohibitively high interest rates. this is because debt provides exposure to downside but capped exposure to potential success. people in the early stage of their career and financing a qualification are a lot like start-ups. their future income is uncertain and variable, and they need money for an intangible asset. however, people traditionally only had access to debt. this is not effective for financing education for three key reasons: 1) fixed repayments are at odds with an uncertain and upward trending future income stream; 2) investors are not compensated for borrower risk through participation in borrower upside success; 3) risk to loan performance is hard to assess as borrowers usually have limited collateral or credit history. stepex provides a legal framework and marketplace to