With stocks and shares falling sharply today on Coronavirus fears, we thought we’d remind readers that platform lending or peer-to-peer (P2P) lending as its risks, but can be a lucrative activity. The average yield achieved by our registered lenders over more than five years and over £20 million of loan facilitation on this platform is […]
The alternative-finance industry is holding its breath. Well, our equity-raising cousins on the other side of the crowdfunding fence certainly seem to be, ahead of the Budget later this month. As we’ve often stated, peer-to-peer (P2P) lending is a viable asset class with a high yield and low risk, relative to equity crowdfunding. P2P is […]
An updated consumer guide to equity crowdfunding from the European Commission offers some expert (yes, expert) commentary on the differences between equity and debt crowdfunding. As a specialist peer-to-peer (P2P) business lending platform, we are on the debt side of the fence. We strongly believe that equity and debt assets are not competitive. Which is […]
Here’s a quick overall health check on the equity and peer-to-peer (P2P) lending sub-sectors of crowdfunding. A blog in Business Zone, from the co-founder of Off3r, a comparison site, reports good figures from the equity sector. Here’s an excerpt: “The latest equity crowdfunding statistics released by OFF3R last month revealed that the first half of 2017 was the strongest […]
Today’s news stories focus on recent calls for change in the equity and our own peer-to-peer (P2P) crowdfunding sectors. Change is inevitable in a young industry. But is it good? Here are our modest, tentative proposals for equity and debt crowdfunding. The Peer-to-Peer Finance Association (P2PFA) has said it wants tighter regulation. Some believe the […]
Today is the BBC’s Brexit day. Our CEO, Nicola Horlick has made her views clear on Radio 5’s Wake Up To Money and on Radio 4’s Today programme. For peer-to-peer (P2P) lenders, she argues the overall effect of Brexit is not good. But what about the effects of Brexit on the other side of the crowdfunding […]
A recurring theme of our coverage of the alternative-finance sector is commentary on what’s happening on the equity side of the crowdfunding fence. As providers of debt funding for more mature small and medium-sized businesses (average age of our borrowers, 12 years-plus), we see equity crowdfunders as cousins, not competitors. Equity raises tend to come […]
Crowdfunding works. The auction closing of the B+ rated loan offering from cafe operator, JFG Limited, which closed last night, clearly demonstrates a worthwhile outcome for borrower and lender. The offer received bids via the Money&Co. platform for 100 per cent of the £307,000 sought by the borrower a day and a half before close. […]
Today we bring you news from our colleagues on the equity side of the crowdfunding fence, a brief comparison between equity and debt financing (bringing small-company borrowers together with individual lenders so as to fund growth and provide good returns, known as peer-to-peer [P2P] business lending), and the latest on our current offering. Our friends […]
The Financial Times offers food for thought today. It reports on a large failure, following an equity raise on Crowdcube. “A claims management group that targeted investors who had been mis-sold financial products has gone into administration, in the biggest failure to date of a UK crowdfunded company. “Rebus Group raised £816,790 via crowdfunding platform Crowdcube last […]