GoodLeap,formerlyLoanpal,[2]is afinance technologycompany headquartered inSan Francisco,[3]that provides financing options for the residentialsolar energyindustry.
 | |
| Formerly |
|
|---|---|
| Company type | Private |
| Industry | FinanceandMortgage |
| Founded | 2003 |
| Founders |
|
| Headquarters | San Francisco, California,U.S. |
Key people | Hayes Barnard (ChairmanandCEO) John Shrewsberry (CFO) Daniel Lotano (CSO) |
| Services |
|
| Revenue | US$361 million (2020)[1] |
Number of employees | 1,300 |
| Website | goodleap |
The company employs about 1,300 people.[4]It has locations inRoseville,San Francisco,Irvine,Phoenix,Kansas City,andBentonville, Arkansas.
History
editParamount Equity Mortgage,founded in 2003 by Hayes Barnard, Jason Walker and Matt Dawson.[5][6]The company was incorporated in California to provide residential mortgage loans.[7]Although they launched in California'sSacramento Valley,the company lends nationwide.[8]
In 2006, the founders launched an insurance company focused on auto and home insurance. After over ten years offering insurance services, the company sold its insurance company to Brown and Brown.[year needed][citation needed]
In 2009, Paramount Solar was established.[7]In 2013, Paramount Solar was sold toSolarCity(nowTesla Energy) in a transaction valued at approximately $120 million.[9]In 2011, the company took on an equity investment fromGuthy-Renker.[10]
In December 2017, Paramount began originating residential solar loans and later rebranded as Loanpal.[7]
In 2019, Loanpal announced a partnership withPenFed Credit Union.[11]In 2019, Loanpal was responsible for 30% of all new residential loans in the U.S.[11][12]
In 2020, they launched their online platform.[13][14]
In June 2020,Goldman Sachssecuritized $459 million worth of Loanpal loans they had previously purchased and expanded their warehouse facility to $300 million with Loanpal. Goldman Sachs also committed to buying $320 million in loans from Loanpal.[15]By October 2020, the company had funded over $4.5 billion in solar loans[16]and closed a securitization of $434 million worth of Loanpal loans in November 2020[17]and was responsible for 41% of the solar loan market in the U.S. and was the top solar lender in the country.[18]
In January 2021, Loanpal raised $800 million in a funding round led byNew Enterprise Associates,West Cap Group,Brookfield Asset Management,andRiverstone Holdings.[19][20]The company received an additional $800 million in funding from MSD Partners,BDT Capital PartnersandDavidson Kempnerin October 2021.[21]Between January and October 2021 the company had raised a total of over $1 billion in funding.[22]
In June 2021, Loanpal rebranded to GoodLeap.[2]
Leadership
editHayes Barnardis currently the Chairman and CEO.[23][24]
In December 2022, GoodLeap formed an advisory council made up of celebrities and business veterans, includingTony Gonzalez,Edward Norton,Shailene Woodley,andJeff Immelt.[25]
As of December 2023 John Shrewsberry, former CFO ofWells Fargo,is chief financial officer.[26][27]And Daniel Lotano, former president of EverBright, as chief strategy officer.[28]
Ownership structure
editThe company offers consumers access to a variety of residential lending products including mortgages, solar financing and home improvement loans.[29]As of 2023, the company has loaned more than $23 billion to over 380,000 households upgrading to sustainable power across 50 states. The default rate on their loans is less than 1%. The company is an approved seller-servicer of both government sponsored entities,Fannie MaeandFreddie Mac,and has raised over $2.25 billion in funding for its consumer finance loans.[30]
Controversy
editAs of 2024, dozens of litigation and arbitration cases are in process in which GoodLeap customers have alleged they were tricked into taking out onerous loans, were misled about the terms of the loans, or were signed up for a loan without their knowledge.[31]
On March 8, 2024 the Minnesota Attorney General filed suit against GoodLeap and three other lending companies (Sunlight Financial,Solar Mosaic,and Dividend Solar Finance—a subsidiary ofFifth Third Bank), the lawsuit alleges the lenders violated Minnesota state laws against deceptive trade practices, deceptive lending, and illegally high rates of interest.[32][33]
See also
editReferences
edit- ^"GoodLeap Overview".bizjournals.2021.
- ^ab"Solar Financier Loanpal Eyes Home-Greening Market With New Name".bloomberg.Retrieved2021-06-03.
- ^Brown, Mike (May 4, 2019)."The 3 Main Trends Driving the Imminent Solar Energy Revolution".Inverse.RetrievedAugust 23,2024.
- ^"Life at GoodLeap".GoodLeap.
- ^"Paramount Equity Mortgage grows by staying focused on core business".The Business Journals Sacramento.2017-09-22.Retrieved2020-02-27.
- ^"California Lender Paramount Equity Pairs with Infomercial Creator Guthy-Renker".American Banker.2011-03-08.Retrieved2020-02-27.
- ^abc"Tesla's solar retreat provides opening for Loanpal's return".Asset Securitization Report.2019-03-07.Retrieved2020-03-02.
- ^"Loanpal, LLC".NMLS Consumer Access.Retrieved2020-03-17.
- ^"SolarCity Buys Paramount Solar To Boost Homeowner Outreach".Forbes.Retrieved2020-03-17.
- ^"Infomercial Icon Guthy-Renker to Enter the Mortgage Business".National Mortgage Professional Magazine.2011-03-08.Retrieved2020-03-25.
- ^ab"PenFed Credit Union, Loanpal partner on residential solar financing options".Solar Power World.2019-12-02.Retrieved2020-03-03.
- ^"Ex-SolarCity Execs Are Baking Solar Loans Into Mortgages".Bloomberg.Retrieved2020-03-03.
- ^"Loanpal secures more funding for residential solar loans".Solar Power World.2020-01-13.
- ^Misbrener, Kelsey (13 January 2020)."Loanpal secures more funding for residential solar loans".Solar Power World.Retrieved2020-04-23.
- ^"Goldman to Buy $320 Million of Loans From Solar Lender Loanpal".bloomberg.Retrieved2020-06-11.
- ^"In a Year of Turmoil, Residential Solar Assets Are a Safe-Haven Investment".greentechmedia.Retrieved2020-12-16.
- ^"Loanpal completes largest securitization of residential solar loans | Solar Builder".Solar Builder Magazine.2020-11-30.Retrieved2020-12-16.
- ^Levy, Ari (2021-01-27)."Exec who quit SolarCity now runs the leading lender for solar installations".CNBC.Retrieved2021-01-29.
- ^"Renewable investment wave continues as solar lending company Loanpal raises $800 million".TechCrunch.Retrieved2021-02-03.
- ^"Loanpal raises $800 million to grow home efficiency financing".Sacramento Business Journal.2021-01-27.Retrieved2021-02-03.
- ^Wade, Will (13 October 2021)."GoodLeap Gets $800 Million Funding for Sustainable Home Push".Bloomberg.
- ^Matt, Wirz; Driebusch, Corrie (13 October 2021)."Tech Moguls Back GoodLeap's Green Housing Push With $12 Billion Valuation".Wall Street Journal.
- ^"This former SolarCity exec is trying to reinvent 2 parts of the solar business".Business Insider.Retrieved2020-03-25.
- ^"PenFed Credit Union Teams With Loanpal on Solar Installation Loans".NMP.2019-12-02.Retrieved2020-04-08.
- ^Boudreau, Catherine (December 28, 2022)."These Hollywood celebs and an NFL Hall of Famer want you to electrify your home to help solve the climate crisis".Business Insider.
- ^Jackson, Amber (2023-11-22)."Top 10 CFOs in the USA".fintechmagazine.Retrieved2024-08-13.
- ^Broughton, Kristin (June 4, 2024)."Wells Fargo Ex-CFO John Shrewsberry Readies GoodLeap for Next Growth Phase".Wall Street Journal.RetrievedAugust 12,2024.
- ^"People on the move: Omnidian, kWh Analytics, Kore Power and more".pv magazine USA.2023-12-06.Retrieved2024-08-23.
- ^"Loanpal Rockets to Second-Largest Solar Loan Provider in the US".Green Tech Media.2019-04-22.
- ^Edgecliffe-Johnson, Andrew (11 June 2023)."Fintech founder Hayes Barnard: half the organization thought 'this guy's out of his mind'".Financial Times.
- ^Semuels, Alana (25 January 2024)."The Rooftop Solar Industry Could Be On the Verge of Collapse".Time.
- ^Office of the Attorney General of Minnesota (5 April 2024)."Minnesota v. GoodLeap LLC, Sunlight Financial LLC, Solar Mosaic LLC, and Dividend Solar Finance LLC"(PDF).US District Court for the District of Minnesota.Archived(PDF)from the original on 27 May 2024.Retrieved27 May2024.
- ^Weaver, John Fitzgerald (26 April 2024)."Minnesota sues GoodLeap, Sunlight, Mosaic and Dividend over dealer fees".PV Magazine.Archivedfrom the original on 30 April 2024.Retrieved27 May2024.