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.

Rob McCorquodale