Your August Review – Insight and Analysis
Each month we bring you a column by Simon Read, a personal finance expert with extensive experience in helping people make the most of their money. Last time, Simon looked at the effect rising inflation can have on your funds.
This month, fresh from filming the BBC’s Right on the Money Simon discusses how to look after the pennies with savvy financial planning. Also included in this month’s post, find out about our historic partnership with JustEat. Dive in below.
July industry news
Included in last month’s industry news, The Times interview Funding Circle borrower Yilmaz Guney, who runs a Turkish Restaurant in North London, to understand how he’s benefited from Funding Circle & JustEat’s recent tie-up.
These graphs show the most recent activity on our platform.
You’ve helped more than 8,700 small businesses access finance in the last 6 months…
Totalling over £617 million lent
July 2017 sector breakdown
Amount lent to each sector
July 2017 regional breakdown
Amount lent to each UK region
As part of lending to businesses, a small percentage will not be able to fully repay their loan. This is known as bad debt and is a normal part of business lending. We believe diversification, where you lend no more than 1% of your total to each business, is the best way to reduce the impact this has on your return. You can diversify automatically using our Autobid tool.
Each week, we publish a list of the loans being defaulted on the Customer support section of our website under ‘Announcements.’ To see a breakdown of the loans defaulted last week simply click on loans defaulted 3rd August 2017. For further information on why Funding Circle defaults loans you can read our FAQ here.
Up next in September, we’ll be looking at the impact your lending is having on the UK economy and bringing to life some of the businesses you’ve helped access finance.
Enjoy lending, the Funding Circle team
*The current estimated return is a weighted estimate of the annual return after fees and bad debts that investors could earn from lending money to businesses seeking loans today. It is calculated by taking the gross interest rate less fees and estimated bad debts that will occur in the future for each of the last 3000 loans accepted on the marketplace. The average return is weighted by loan amount, compounded and before tax. The return is updated daily. See the full calculation here.
This blog is a general summary, and should not replace financial advice tailored to your specific circumstances. Funding Circle is not authorised to, and does not, provide investment, tax, legal or regulatory advice. If you have any questions, please speak to your professional advisor or seek independent specialist advice.