Lending spare cash rather than putting on deposit?

Hi, we're in a seasonal business that generates a cash surplus during sales season and we are looking at putting this on deposit until it is needed early next year.

Just listening to the discussions on the dysfunctional short term bank credit at the moment squeezing SMEs, even those with 'good' business models.

Is there a market for small businesses to lend to each other at better return than deposit rates and take up some of the slack from the banks?

If the risk/return worth it? Due diligence effort worth it?

H

Run fast in the opposite direction. God, no.