We’ve launched in Europe! | Weekly Lending Review
Week 43: 19 – 23 October 2015
We’re excited to announce that Funding Circle has expanded into Germany, Spain and the Netherlands to help millions of businesses across Europe access finance. You can read about the news here or watch this short video.
We’re excited to help more businesses access finance, although due to regulatory differences in each country, lending for UK investors is currently restricted to UK businesses.
New loans available to you
The total value of new loans listed on the Funding Circle marketplace was £11,709,360 averaging at £73,656 per loan. The largest loan value was £460,000 and the smallest loan value was £5,000.
Business loans available to bid on:
- Transport business in West Yorkshire needs £138,840 to purchase new equipment
- Property developer is looking for £325,000 to build 13 new homes in Northamptonshire
- Catering equipment company requires £180,000 for working capital
Loan parts available for you to buy:
- Contact Centre in London is expanding. Gross interest rates from 6.8 – 9.5%
- Restaurant in Lincoln has opened a second venue. Gross interest rates from 9.7 – 11.0%
- Production company in Manchester is buying new filming equipment. Gross interest rates from 16.7 – 17.6%
Your actual return may be higher or lower as by lending to businesses, your capital is at risk.
Weekly marketplace trends
These graphs show the most recent activity on the marketplace. The dates on the graph should be read as ‘week beginning’, for example: 19-Oct represents the week of 19th – 23rd October 2015.
The average gross yield graph is reported weekly and shows a rolling two week average of gross yields. This calculation assumes you reinvest your interest each month and therefore includes the compound interest you earn (The calculation is AGY = (1 + (two week rolling weighted average rate/12))^12 – 1). You can view the latest gross interest rates accepted on the marketplace on our statistics page.
Weekly average gross yield (2 weeks rolling)
Number of loans, value of loans and amount lent are reported weekly.
Number of listed loans per week
Total amount lent
Loan parts available to buy from other investors
News you should know
Updates to how Autobid works
Over the coming weeks we will make a change to how Autobid works, helping to provide more time for those who want to research a business before placing a bid. No action is needed if you are a current Autobid user.
Going forward, Autobid will fund up to 50% of the available loan after a loan is listed, and if the loan does not reach 100% within the first 2 days the Autobid cap will be removed completely.
Things we’re talking about
We’re on-hand to talk about the move to fixed rates on the forum. You can join the conversation here.
Loans defaulted last week
Ground source heating supplier. Loan 5535. Risk band C
This Stafford business has been running since 2007 and is likely to enter a formal insolvency process in the coming weeks.
Aerospace specialists. Loan 10159. Risk band A
This Monmouthshire business was established in 2006 and has ceased trading.
Engineering consultancy. Loan 4478. Risk band A+
This Cumbria business has been running since 2004 and is consulting a debt charity.
Project management company. Loan 11517. Risk band C
This Country Durham business was established in 2003 and has been unable to make repayments since June.
Legal practice. Loan 5940. Risk band A
This Devon business has been running since 2009 and has been unable to repay the agreed three-month payment plan.
Our collections and recoveries team are working to recover the outstanding amounts for all of these loans and they will provide you with updates in the loan comments section on your summary page. Read more about how our collections and recoveries process works on our blog.
Enjoy lending, The Funding Circle Team