World Business Lenders

World Business Lenders, LLC is an American financial company headquartered in Jersey City, New Jersey with locations in Georgia, California, Connecticut, Florida and Texas. It is a bank service provider and a private direct lender specializing in short-term loans to small and medium-sized businesses. It has been described as a predatory lender.

History

World Business Lenders was founded in 2011 in Manhattan.[1] In 2016, the company moved its headquarters to Jersey City, New Jersey.[2][3] Doug Naidus, the founder, Chairman, and CEO, is a former Deutsche Bank Managing Director and Global Head of Residential Lending and Trade.[4][5] The firm has been described as a predatory lender.[6][7][8]

Operations

World Business Lenders originates and services short-term business loans, secured by real property, targeting U.S. Small and Medium Enterprise (“SME”) companies that agree to a daily or weekly repayment program. Bloomberg News described the company's business model as making sales calls to "truckers, contractors and florists across the country." loans with interest rates starting at 13% percent.

Controversies

World Business Lenders has been criticized for charging interest rates that exceed caps on usury.[9][10][11]

References

  1. ^ Somerville, Heather; Oran, Olivia; Wiltermuth, Joy. "Latest threat to online lenders: 'stacking' of multiple loans". Reuters. Retrieved 2018-10-29.
  2. ^ "Lending firm leaves Manhattan, cuts ribbon on new Jersey City headquarters | NJBIZ". NJBIZ. Retrieved 2018-10-29.
  3. ^ "2 N.Y. companies awarded $22 million in tax breaks to move to Jersey City". NJ.com. Retrieved 2018-10-29.
  4. ^ Faux, Zeke (2014-05-21). "Wall Street Finds New Subprime With 125% Business Loans". Bloomberg News. Retrieved 2018-10-29.
  5. ^ "Small business lender opens HQ in Jersey City (PHOTOS)". NJ.com. Retrieved 2018-10-29.
  6. ^ "World Business Lenders". The Record. 25 May 2014. pp. B1.
  7. ^ "The Naples Daily News 24 May 2014, page 30".
  8. ^ "World business leders predatory loans subprime loans doug naidus". The Atlanta Constitution. 9 October 2020. pp. A8.
  9. ^ "A Family Fell for a Rent-A-Bank Scheme. Now They Are Facing Foreclosure". 2025-11-16. Retrieved 2025-11-17.
  10. ^ "Repeal the OCC's Fake Lender Predatory Lending Rule to Protect Small Businesses" (PDF). World Business Lenders (WBL) currently launders loans through OCC-supervised Axos Bank (fka BOFI Federal Bank) in states where WBL's high interest rates are prohibited. (In other states, WBL lends directly.) Though a bank's name is on the loan, borrowers deal only with WBL. Axos Bank also enables loans by another predatory small business lender, BFS Capital. Features of these rent-a-bank loans include: • Rates of 73% to 268% APR on loans of tens and even hundreds of thousands of dollars, in violation of state usury law;
  11. ^ "Warren Blasts Trump Administration Rule That Allows Lenders to Profit Off of Struggling Consumers and Urges Congress to Nullify the Rule in Coming Weeks | U.S. Senator Elizabeth Warren of Massachusetts". www.warren.senate.gov. Retrieved 2025-11-17. In 2018, Axos Bank rented itself out to a nonbank company called World Business Lenders to lend to a Massachusetts small business at a 92% interest, well above the Commonwealth's usury cap of 20%. The company arranged the loan, set the terms, collected the payments, but the name "Axos Bank" was on the loan document. The OCC took no enforcement actions against Axos Bank, even though it had the clear authority to do so.
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