Lend to businesses on us | Weekly Lending Review

Week 4: 18 – 22 January

Are you taking advantage of our refer a friend promotion? If you recommend a friend to Funding Circle, and they lend £1,000 to businesses by the end of February, you could lend to British businesses on us as you’ll both earn £50 cashback paid into your accounts. Terms and conditions apply.

New loans available to you

There are currently 38 loan requests on the marketplace, and thousands of loan parts available for you to buy.

The total value of new loans listed on the Funding Circle marketplace was £18,624,860 averaging at £71,089 per loan. The largest loan value was £500,000 and the smallest loan value was £5,220.

Business loans available to bid on:

Gross interest rates are before fees and bad debts. Your actual return may be higher or lower as 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: 18-Jan represents the week of 18th – 22nd January.

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)

WLR 4-16 Yield

Number of loans, value of loans and amount lent are reported weekly.

Number of listed loans per week

WLR 4-16 Loans listed

Listed loan value per week

WLR 4-16 loan value

Total amount lent

WLR 4-16 amount lent

Loan parts available to buy from other investors

WLR 4-16 loan parts

Loans defaulted last week

Interior design business. Loan 4574. Risk band D

This Warwickshire business was established in 2014 and has become unresponsive.

Vocational training specialist. Loan 5609. Risk band B

This Worcestershire business has been running since 2010 and is two months in arrears.

Yoga studio. Loan 2515. Risk band C

This Leicestershire business was established in 2009 and is being placed into insolvent liquidation.

Pizza delivery service. Loan 9208. Risk band D

This London business has been running since 2009 and is late in making repayments.

Kitchen design business. Loan 9072. Risk band D

This Nottinghamshire business was established in 2006 and is being placed into insolvent liquidation.

Printers. Loan 3749. Risk band A

This Nottinghamshire business has been running since 1982 and was placed into administration during November 2016.

Online retailer. Loan 5067. Risk band A

This Oxfordshire business was established in 2010 and has ceased trading.

Car sales showroom. Loan 5763. Risk band A

This Cheshire business has been running since 2003 and is being placed into creditors’ voluntary liquidation.

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 how our collections and recoveries process works (part one and part two) on our blog.

Enjoy lending, The Funding Circle Team

Take a tour of 2 new family homes | Weekly Lending Review

Week 3: 11 – 15 January

In November 2014, we visited Funding Circle borrower Medina Capital Investments at a demolition site in West London. Just over a year later, we returned to the site to see the final touches being made to two new family homes. There’s a short video on the blog where you can meet business owner Nidal, take a quick tour round the new homes, and hear how, thanks to your lending, he’s been able to expand his business twofold in the past 8 months.

New loans available to you

There are currently 30 loan requests on the marketplace, and thousands of loan parts available for you to buy.

The total value of new loans listed on the Funding Circle marketplace was £15,413,760 averaging at £60,327 per loan. The largest loan value was £500,000 and the smallest loan value was £5,000.

Business loans available to bid on:

Gross interest rates are before fees and bad debts. Your actual return may be higher or lower as 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: 11-Jan represents the week of 11th – 15th January.

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)

WLR 3-16 yield

Number of loans, value of loans and amount lent are reported weekly.

Number of listed loans per week

WLR 3-16 loans listed

Listed loan value per week

WLR 3-16 loan value

Total amount lent

WLR 3-16 amount lent

Loan parts available to buy from other investors

WLR 3-16 loan parts

New forum

To start the new year in style we’ve moved to an easier to use forum. Your existing usernames are still in place and if you’re new, come join the conversation here.

Loans defaulted last week

Kitchen specialist. Loan 2399. Risk band C

This London business was established in 1975 and entered into a Company Voluntary Arrangement in May 2014.

Cookery school. Loan 13233. Risk band D

This Leicestershire business has been running since 2011 and is late in making repayments.

Design agency. Loan 4304. Risk band D

This London business was established in 2000 and has become unresponsive.

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 how our collections and recoveries process works (part one and part two) on our blog.

Enjoy lending, The Funding Circle Team

From demolition to delivery: you’ve helped build two new family homes

In November 2014, we visited Funding Circle borrower Medina Capital Investments at a demolition site in West London. Just over a year later we returned to the site, with Funding Circle CEO Samir Desai and investor Maureen, to see the final touches being made to two new family homes. The properties, which have just been signed off by building control, consist of one four bedroom and one five bedroom house and benefit from off-street parking.

Business owner Nidal Al-Khail, who has borrowed £1,690,000 since September 2014 to carry out the project, describes marketplace lending as “a breath of fresh air for his business.” He already has two parties interested in purchasing the properties.

Maureen has been lending to hundreds of UK businesses through the Funding Circle marketplace, including Medina, since 2012. While looking around the properties, Maureen said, “It feels like my investment has come to life.”

The Funding Circle property product was launched in April 2014, and has since facilitated over £100 million in loans to experienced property developers, helping to build over 600 new homes across the UK. Samir Desai commented “Funding Circle is making a big difference now in the UK in terms of new homes. It’s really pretty rewarding.”

Medina business owner

In the short video below meet Nidal, look around the properties, and hear how, thanks to your lending, he’s been able to expand his business twofold in the past 8 months.

Property development loans were available between April 2014 and April 2017. If you work in the property industry and are looking for finance, we may still be able to help you with an unsecured loan up to £350,000 with a personal guarantee, or a secured loan up to £1 million.

Get an instant quote online or speak to our dedicated team today on 0800 048 8747.

Did you help 146 businesses access finance last week? | Weekly Lending Review

Week 2: 4 – 8 January

Last week, you and others investors helped 146 businesses across the UK access £8.4 million through the Funding Circle marketplace. Of the new loans listed, the South East was the most popular business location, and property & construction was the most popular sector.

New loans available to you

There are currently 29 loan requests on the marketplace, and thousands of loan parts available for you to buy.

The total value of new loans listed on the Funding Circle marketplace was £12,841,520 averaging at £57,490 per loan. The largest loan value was £286,120 and the smallest loan value was £5,120.

Business loans available to bid on:

Gross interest rates are before fees and bad debts. Your actual return may be higher or lower as 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: 4-Jan represents the week of 4th – 8th January.

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)

WLR 2-16 yield

Number of loans, value of loans and amount lent are reported weekly.

Number of listed loans per week

WLR 2-16 loans listed

Listed loan value per week

WLR 2-16 loan value

Total amount lent

WLR 2-16 amount lent

Loan parts available to buy from other investors

WLR 2-16 loan parts

Loans defaulted last week

Sports events business. Loan 9587. Risk band C

This Wiltshire business was established in 2011 and is being placed into liquidation.

Biomass specialist. Loan 10563. Risk band B

This Lincolnshire business has been running since 2008 and was placed into liquidation during October 2015.

Vehicle recovery management. Loan 1829. Risk band C

This Surrey business was established in 1996 and was placed into liquidation during July 2015.

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 how our collections and recoveries process works (part one and part two) on our blog.

Enjoy lending, The Funding Circle Team

2015, a revolutionary year for marketplace lending. December industry news.

Newspapers - Copy

Funding Circle passes £1 billion lending milestone 

What an amazing way to end the year! In just over 5 years, your lending has helped over 12,000 small business in the UK access finance through the Funding Circle marketplace. More than £500 million was lent in 2015 alone. Thank you for all your continued support, we couldn’t have reached this major milestone without you! Further coverage can be found in the Financial Times, Business Insider and Altfi. Check out our blog for more information, and you can listen to co-founder Andrew Mullinger discussing the implications of rapid growth in a recent podcast published in the Financial Times.

Lending services revolution piles pressure on banks as fintech sector grows

From banking to investment, financial technology has revolutionised the way investors and businesses can access financial services. Warren Mead, head of alternative finance at KPMG, expects that investment in fintech will grow to more than $30 billion over the coming year, up from $20 billion in 2015. As the disruption of the fintech sector continues, traditional lenders have started to work with these innovative companies, providing more exposure to marketplace lending for investors. Read more on this topic in the Financial Times, CityAM, and watch Sam Hodges, Funding Circle’s US Managing Director, on Bloomberg discussing the future of marketplace lending.

Property tech sector is battling inertia to shake up Britain’s housing industry

The UK property technology sector has seen significant growth over the past 18 months, with marketplace lending platforms playing an important role. The emergence of platforms has enabled access to property loans as an investment class, helping to build thousands of much needed homes across the UK.

How P2P can take the strain of tighter bank capital rules

As the industry continues to grow, different types of investors such as hedge funds, pension funds and the Government are now lending alongside individuals. At Funding Circle, we believe that a diverse range of investors, big and small, will make the marketplace more sustainable in the future. At a recent investor evening, Funding Circle co-founder James Meekings talked about what this means for you. Watch the full video on our blog.

Why 2016 will be the year that peer-to-peer lending finally enters the financial mainstream

By the end of 2015, UK marketplace lending platforms facilitated  around £3 billion of lending, and by the end of this year lending volumes are on target to double. In just 10 years, marketplace lending platforms have developed immensely and form a significant part of the wider financial landscape. With such rapid growth in the sector, fair regulation becomes increasingly important. Britain is currently the only place in the world with a dedicated regulatory regime for the UK marketplace industry, and platforms plan to become fully regulated by the FCA in 2016. Read the CityAm piece here.

New Year honours: six key figures to be recognised

And finally, to wrap up the year, it was a proud moment for Funding Circle as CEO and co-founder Samir Desai was given a CBE  in the New Year’s Honours list for his contribution to the financial services sector. He’s quoted, “This honour is testament to the hard work of the team who have helped originate £1.25 billion of loans from thousands of investors to small businesses in the last five years, creating over 50,000 new jobs globally.”

LendIt 2015: find out how marketplace lending could help your business expand

Last year Funding Circle sponsored LendIt Europe, which is the largest conference dedicated to marketplace lending, bringing together the leading platforms, investors, and service providers in the industry. The conference, which took place over two days in Central London, had more than 800 attendees from 45 different countries.

It was a proud moment for Funding Circle as CEO Samir Desai gave the keynote speech announcing that we’d launched in Germany, Spain and the Netherlands. You can read more about how Funding Circle is helping businesses across Europe access finance on the blog.

During the conference, we invited Funding Circle borrowers Maria and David to discuss their experience of taking out a business loan through the marketplace. Find out what they think is the key to running a fast moving successful business in the two videos below.

Lendit Maria fabric specialist

Maria Hopwood runs an online striped fabric business in Chester called The Stripes Company and since 2011 has borrowed over £175,000 across 3 business loans. In the short video below Maria explains how accessing finance quickly has been key to the success of her business as it has enabled her to service demand.

Watch Maria’s Small Business Success Story.

David Ambic furniture manufacturer

David Potter is a Director at school furniture manufacturer Ambic Ltd based in County Durham. The business, which has been operating for over 30 years, needed finance to help with working capital. In the short video below David explains how receiving £100,000 within two weeks through the Funding Circle marketplace was a lifeline for his business.

Watch David’s Small Business Success Story.

We’d like to say a huge thank you to both Maria and David for taking the time to travel to London and speak – it was truly inspiring!

Do you need a business loan?

More than 12,000 businesses in the UK have accessed finance through the marketplace for a wide range of purposes, including cashflow, investing in extra staff and much much more. Check your eligibility online in just 30 seconds.

Are you interested in lending to businesses like Ambic and The Stripes Company?

Support small businesses across the UK and you can earn a great return. It takes minutes to sign up online and you can use our investor information guide to help you get started. We have thousands of loans which you can be a part of, making it quick and easy to build a diversified portfolio. Remember, by lending to businesses your capital is at risk.

New year, new lending opportunities | Weekly Lending Review

Week 1: 28 December – 1 January 2016

Happy New Year! Thanks to your lending, the Funding Circle marketplace has reached £1 billion lent to small business across the UK helping create an estimated 46,000 new jobs*. This major milestone is testament to the impact your lending is having on UK economic growth. Thanks to everyone for your continued support.

Looking ahead to 2016, the pipeline is looking healthy so keep your eye on the marketplace over the coming days and weeks for lots more lending opportunities.

New loans available to you

There are currently 19 loan requests on the marketplace, and thousands of loan parts available for you to buy.

The total value of new loans listed on the Funding Circle marketplace was £2,074,120 averaging at £72,340 per loan. The largest loan value was £331,520 and the smallest loan value was £6,000.

Business loans available to bid on:

Gross interest rates are before fees and bad debts. Your actual return may be higher or lower as 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: 28-Dec represents the week of 28th December – 1st January 2016 (please note 28th December and 1st January were bank holidays).

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)

WLR 1-16 yield

Number of loans, value of loans and amount lent are reported weekly.

Number of listed loans per week

WLR 1-16 loans listed

Listed loan value per week

WLR 1-16 loan value

Total amount lent

WLR 1-16 amount lent

Loan parts available to buy from other investors

WLR 1-16 loan parts

News you should know

New Year’s Honours list 2016

It was a proud moment for the Funding CIrcle team as CEO Samir Desai was made a CBE in the New Year’s Honours list 2016 for his contribution to the financial services sector. The list recognises the achievements and service of people across the UK. You can download the full New Year’s Honours list 2016 here.

Loans defaulted last week

Reinforced concrete specialists. Loan 7388. Risk band B

This Suffolk business was established in 2006 and has proposed a Company Voluntary Arrangement.

Model manufacturer. Loan 6625. Risk band A

This Dorset business has been running since 2004 and has fallen late in their repayments.

General maintenance contractor. Loan 9174. Risk band C

This Caerphilly business, which was started in 2005, ceased trading in October 2015.

Construction business. Loan 4835. Risk band D

This Kent business has been running since 2011 and is formalising a nominal payment plan.

Fashion focused consumer electronics. Loan 8192. Risk band B

This Birmingham business, established in 2007, was placed into liquidation during November 2015.

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
* Independent research by government think tank, Nesta, found that an average business borrowing through Funding Circle employs ~10 people and increases headcount by ~30% within 12 months of taking a loan. Nesta, Banking on Each Other, 2013.