Lender funding refers to the capital provided by financial institutions, banks, NBFCs, or private lenders to individuals or businesses in return for future repayment with interest. It fuels everything from personal loans to business expansion. Lender funding can be secured (with collateral) or unsecured, depending on the borrower’s creditworthiness. The amount, interest rate, and repayment period are agreed upon during approval. Crowdfunding and peer-to-peer lending are newer models of lender funding. Whether you're a startup or an established firm, understanding lender funding options ensures you choose the best financial partner and avoid unfavorable terms.