Scalability of the Marketplace

As we enter Q2 and brace for the flood of debt from the 2025 tax season—both commercial and consumer—we’ve been able to put together a compounded growth forecast that highlights just how quickly our marketplace is scaling. The convergence of several key trends—rising consumer delinquencies, increased charge-offs from small business lenders, and tighter lending standards—has positioned our platform as the go-to marketplace for institutions looking to offload bad debt efficiently and for buyers to acquire quality paper at below-market rates.

We’ve observed a 30% increase in listings quarter-over-quarter, with the average portfolio size jumping from $450K in Q1 to $675K in early Q2. This momentum isn’t just tied to macroeconomic headwinds—it’s driven by growing trust & engagement in our bidding engine, better pricing transparency, and a highly engaged buyer network.

Looking ahead, our internal modeling projects that total debt volume listed on the platform will exceed $150M by the end of Q2, a 2.5x increase compared to the same period last year. More importantly, the velocity of deals is accelerating: what used to take 3 weeks to close is now averaging under 7 days with the help of Kaizen's AI architecture.

We’re also rolling out new features to capitalize on this growth—automated diligence reports, expanded buyer categories, and dynamic pricing tools to ensure sellers extract maximum value from their listings.

This tax season might be the spark, but our marketplace is built for the long haul. We believe that by Q4, debt sellers will see our platform not as an alternative channel, but as the primary engine for liquidating portfolios and accessing the most competitive buyer pool in the country.

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For more questions and to learn more about we do here at Kaizen, please contact sales@kaizen-payments.com

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