Toronto’s CommunityLend raises $1.5 Million to scale operations

The Toronto startup community is having a great day. CoverItLive got acquired by Demand Media and now CommunityLend has announced that they have closed a $1.5 million private placement from several individual angel investors and an institutional investment fund.

According to the CommunityLend blog, the proceeds of this private placement will go to scaling up their loan origination, loan adjudication, and loan servicing operations.

This investment comes on the heels of a successful year since CommunityLend’s launch as Canada’s 1st (and only) online consumer loan marketplace. Monthly loan volume has more than doubled each of the last 3 months and we are projecting this pace of growth to continue throughout 2011.

In late 2010, CommunityLend has attracted several major partners which prompted Techvibes to include co-founder Michael Garrity on our 2011 Digital Media People to Watch list for Ontario.

CommunityLend signed several strategic channel partnerships recently, including one with Canada’s $6B used car marketplace, announced in December. They have also partnered with over 30 home renovation companies through their subsidiary to provide sales financing to that $30B industry. In the few months since launch, they have aligned with HomeStars and StrengthFinance to serve more home improvement companies.