Weekly Lending Review: week 38

Week 38: 16 – 22 September 2013

Last week was our best week ever for lending as £3.5 million made its way to businesses across the UK. The Midlands and the South East of England were the two most popular areas for loan requests, with working capital cited as the loan purpose for the majority of loans.

New loans

There were 56 new business loans listed last week and there are currently 30 auctions on the marketplace.

The total value of the new listed loans was £3,109,500; that’s an average of £55,527 per loan. The largest loan value was £150,000 and the smallest loan value was £5,000.

Business loans still available for bidding on for the next 3 days or more:

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 16-Sep represents the week of 16th – 22nd September.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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News you should know

We’ve started a feature on our blog which will showcase some of the great products that you, our investor community, have helped create by lending to British businesses. This month, we’re with Balm Balm; an organic skincare manufacturer from London. If you have an upcoming birthday or housewarming to go to, these products are unique and make ideal gifts.

Community Discussions

This week we’re talking about taxation of bad debts. Have your say on our community forum.

Have you seen the new Funding Circle blog?  Be sure to subscribe to it with your email address to get regular updates: https://www.fundingcircle.com/blog/.

Loans defaulted last week

Burnley Bakery. Loan 2495

This family-run business had been trading since 1946 and was put into liquidation last month. We have made a full recovery on this loan and all 592 investors have been notified.

Logistical solutions provider. Loan 1469

This Cardiff-based business has been trading for 12 years and specialises in freight management. After experiencing cash-flow difficulties a meeting of creditors was called. The original loan amount was £100,000 and all 1,020 investors have been notified.

Enjoy lending, The Funding Circle Team

You can read last week’s weekly lending review here.

 

Weekly Lending Review: week 37

Week 37: 9 – 15 September 2013

Last week, the majority of loan requests were from businesses located in the Midlands and the most common loan size was £100,000. There were a variety of businesses listed on the marketplace including an award-winning culinary school and a sports clothing retailer.

New loans

There were 49 new business loans listed last week and there are currently 34 auctions on the marketplace.

The total value of the new listed loans was £3,040,900; that’s an average of £62,059 per loan. The largest loan value was £150,000 and the smallest loan value was £10,000.

Business loans still available for bidding on for the next 3 days or more:

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 9-Sep represents the week of 9th – 15th September.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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Change to minimum bid rates

We committed to a monthly review of the minimum bid rates, with two weeks’ notice before they are adjusted. A number of factors were considered when reviewing the rates, including general economic conditions and costs of alternative borrowing products. The outcome of the second review is a 0.1% increase in the A, B and C risk bands. The new rates will come into effect for loan requests listed after 9am on Tuesday 1st October. The new rates are as follows:

A+: 6% (no change)

A: 7.3% (+0.1%)

B: 8.3% (+0.1%)

C: 9.3% (+0.1%)

C-: 11.5% (no change)

News you should know

Did you help an adventure experience company buy a new engine for a jet boat? Take a look at the new boat in action in this picture story told by Simeon Penn, director of Saber Powersports.

Community Discussions

This week we’re talking about buying and selling loan parts from other investors. Have your say on our community forum.

Have you seen the new Funding Circle blog?  Be sure to subscribe to it with your email address to get regular updates: https://www.fundingcircle.com/blog/.

Loans defaulted last week

No loans were defaulted last week.

Enjoy lending, The Funding Circle Team

Weekly Lending Review: week 36

Week 36: 2 – 8 September 2013

Last week, one of the largest business loans we have ever listed appeared on the marketplace. An IT company based in Buckinghamshire is looking for a £450,000 loan, which is still available to bid on. Most businesses were located in the South East and the majority of business owners cited expansion and growth capital as the reason for needing finance.

New loans

There were 50 new business loans listed last week and there are currently 29 auctions on the marketplace.

The total value of the new listed loans was £3,042,500; that’s an average of £60,850 per loan. The largest loan value was £450,000 and the smallest loan value was £10,000.

Business loans still available for bidding on for the next 3 days or more:

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 2-Sep represents the week of 2nd – 8th September.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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News you should know

If you follow our regular video updates, you’ll know that there are some amazing independent British businesses using Funding Circle so we thought we’d feature some of the great products and services that come out of you supporting them. The first up is Saber Powersports in Southampton, who have offered up to 75% off their water-based adventure experiences to the Funding Circle community.

Community Discussions

This week we’re talking about offsetting bad debt against tax liabilities. Have your say on our community forum.

Have you seen the new Funding Circle blog?  Be sure to subscribe to it with your email address to get regular updates: https://www.fundingcircle.com/blog/.

Loans defaulted last week

Photographic equipment retailer. Loans 462 & 1555

This Leicester-based business has been trading since 2006 but encountered cash-flow difficulties this year. The original loan amounts were £75,000 and £45,000 and all 1,132 investors have been notified.

Cardiff bar operator. Loan 1718

This company runs 2 cafe/bars in Cardiff and following a downturn in trade, was put into administration in July. The original loan amount was £73,000 and all 784 investors have been notified.

Enjoy lending, The Funding Circle Team

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You can read last week’s Weekly Lending Review here.

75% off powerboating experiences from Funding Circle business Saber Powersports

Make the most of the end of summer with an exhilarating trip on a powerboat, discounted by up to 75%!

 

If you follow our regular video updates, you’ll know that there are some amazing independent British businesses using Funding Circle. The range and quality of products and experiences from the 2,500+ businesses you have helped fund is quite impressive, so we thought we’d feature some of the great products and services that come out of you supporting them. Hopefully, you’ll like what you see and spread the word, helping our borrowers do more business and helping you get great, independent products at an often reduced rate.

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This month we’re featuring Saber Powersports from Southampton; Europe’s largest Powerboating experience company. They have 7 powerboats, each offering different experiences from Shamrock Quay. With only a few weeks of summer left, now is a great time to get on the water and enjoy some high-speed boating! Their experience days promise speed, exhilaration and excitement, and you even get to drive some the boats yourself!

Their fleet includes the fastest powerboat in Europe which is sure to get the adrenaline pumping. You can choose from a range of outings like their two and a half hour ‘Drive the Hypercat’ experience or the ‘007 Powerboat Adventure,’ so you can take to the seas on one of James Bond’s favourite ways to travel.

Saber Powersports has a secret page on their website with some great deals for their friends and family that they would love to share with Funding Circle investors to say thank you, as well as fellow Funding Circle business owners and employees. Click here to see some of the great deals they have, which could save you as much as 75% on experiences*!

Saber Powersports came to Funding Circle in May looking for a loan to buy a new engine for one of their jet boats. You can watch their new boat in action in our video.

Some terms and conditions:

*Please note: The offer described above is an invitation to treat made by the Borrower to the Funding Circle community. The publication of this offer by Funding Circle is not, and shall not be construed in any way as, a recommendation or approval by Funding Circle of the offer (or of any other goods or services of the Borrower). For the avoidance of doubt, Funding Circle accepts no responsibility or liability whatsoever for any goods or services provided by the Borrower to any person at any time.

 

Weekly Lending Review: week 35

Week 35: 26 August – 1 September 2013

In this week’s Weekly Lending Review we have a roundup of all of the latest news from the marketplace, as well as the pre-announced update to Minimum Bid Rates which take effect today.

Due to the August Bank Holiday we saw a slight drop in loan listings last week, which did include 3 loans for £150,000 and 3 loans for £100,000. The majority of loan requests were from businesses located in the South East, followed closely by those from the North West. The most common loan purpose was for expansion.

New loans

There were 41 new business loans listed last week and there are currently 31 auctions on the marketplace.

The total value of the new listed loans was £2,190,000; that’s an average of £53,415 per loan. The largest loan value was £150,000 and the smallest loan value was £5,000.

Business loans still available for bidding on for the next 3 days or more:

Award-winning digital agency is looking for a £40,000 loan

O2 mobile franchise needs a £150,000 loan

Web-hosters in Scotland require a £15,000 loan

Personalised-music product supplier is looking for a £40,000 loan

London-based manufactures are looking for an £80,000 loan

Somerset country house hotel needs a £60,000 loan

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 26-Aug represents the week of 26th August – 1st September..

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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Change to Minimum Bid Rates

Following our announcement on 19th August, the following Minimum Bid Rates will take effect today:

A+: 6% (no change)

A: 7.2% (+0.2%)

B: 8.2% (+0.2%)

C: 9.2% (+0.2%)

C-: 11.5% (no change)

News you should know

Saber Powersports borrowed £20k from 168 people in May and they operate a fleet of powerboats, on which they offer adventure experiences to the public. We went to visit them in Southampton where they took us out on one of their jet boats, having bought a new engine for it with their business loan. You can take a look at their business story in pictures here.

Today, news broke that Government’s Funding for Lending Scheme saw lending to small businesses fall by £900 million in July. Read CEO Samir Desai’s response to this on our blog.

Community Discussions

This week we’re talking about how the order of loan parts is generated on the secondary market. Have your say on our community forum.

Have you seen the new Funding Circle blog?  Be sure to subscribe to it with your email address to get regular updates: https://www.fundingcircle.com/blog/.

Loans defaulted last week

Middlesbrough engineers. Loan 2454

This business has been trading since 1988 but administrators were appointed last week following unforeseen cash-flow issues. The original loan amount was £300,000 and all 2,328 investors have been notified.

Enjoy lending, The Funding Circle team

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You can read last week’s Weekly Lending Review here.

Weekly Lending Review: week 34

Week 34: 19 – 25 August 2013

It was another £3 million+ week for new lending opportunities on the marketplace, including a drinks manufacturer and a Dorset beauty salon chain. The retail and property & construction sectors had the most number of loans and the majority of businesses were located in the South East.

New loans

There were 51 new business loans listed last week and there are currently 34 auctions on the marketplace.

The total value of the new listed loans was £3,135,720; that’s an average of £61,485 per loan. The largest loan value was £200,000 and the smallest loan value was £10,000.

Business loans still available for bidding on for the next 3 days or more:

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 19-Aug represents the week of 19th – 25th August.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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News you should know

We’ve compiled a list of the nine biggest peer-to-peer lending stories from August, including a Financial Times article which reviews data that suggests peer-to-peer lending will be worth £1 billion by 2016.

Community Discussions

Have you seen the new Funding Circle blog?  Be sure to subscribe to it with your email address to get regular updates: https://www.fundingcircle.com/blog/.

This week we’re discussing the new minimum bid rates which will come into play on Monday 2nd September. Have your say on our community forum.

Loans defaulted last week

Computer retailer from Plymouth. Loan 492

This business has been trading since 1995 but went into liquidation this month. The original loan amount was £30,000 and all 337 investors have been notified.

Enjoy lending, The Funding Circle Team

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You can read last week’s Weekly Lending Review here.

Weekly Lending Review: week 33

Week 33: 12 – 18 August 2013

There were nearly £3.5 million worth of new lending opportunities on the marketplace last week and the majority of loans were allocated to the C risk band. 11 of the new loans were in the property and construction sector and most businesses were located in the South East.

New loans

There were 46 new business loans listed last week and there are currently 28 auctions on the marketplace.

The total value of the new listed loans was £3,472,300; that’s an average of £75,485 per loan. The largest loan value was £235,000 and the smallest loan value was £10,000.

Business loans still available for bidding on for the next 3 days or more:

Recycling equipment manufacturer is looking for a £100,000 loan

Haulage company needs a £150,000 loan

Dorset-based chain of beauty salons requires a £65,000 loan

Property company is looking for a £150,000 loan

Construction company needs a £50,000 loan

Medical equipment supplier requires a £20,000 loan

Windscreen wiper manufacturer is looking for a £100,000 loan

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 12-Aug represents the week of 12th – 18th August.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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Change to minimum bid rates

We committed to a monthly review of the minimum bid rates, with two weeks’ notice before they are adjusted. A number of factors were considered when reviewing the rates, including general economic conditions and costs of alternative borrowing products. The outcome of the first review is a 0.2% increase in the A, B and C risk bands. The new rates will come into effect for loan requests listed after 9am on Monday 2nd September. The new rates are as follows:

A+: 6% (no change)

A: 7.2% (+0.2%)

B: 8.2% (+0.2%)

C: 9.2% (+0.2%)

C-: 11.5% (no change)

News you should know

Following feedback from you, our investor community, we have improved the information provided in the loan book which can be downloaded from the statistics page.

For our latest success story video we visited Saber Powersports in Southampton; a powerboating company who borrowed £20k to buy a new engine for one of their jet boats in May. You can watch the video, packed with action shots from the boat on our blog.

Community Discussions

Have you seen the new Funding Circle blog?  Be sure to subscribe to the blog with your email address to get regular updates: https://www.fundingcircle.com/blog/.

This week we’re welcoming more users to the community forum. You can introduce yourself or welcome new people to the community here.

Loans defaulted last week

No loans were defaulted.

You can read last week’s Weekly Lending Review here.

Enjoy lending, The Funding Circle team

Providing you with more information about the businesses you lend to

From today, all registered investors will be able to download a new and improved version of the loan book from the statistics page. Having received feedback from you, our investor community, about making borrower information more accessible after auctions close, we have added the following categories to the loan book:

  1. Business type

  2. Loans outstanding

  3. Turnover

  4. Profit after tax

  5. Total assets

  6. Shareholder funds

  7. Credit score (n.b this is not applicable for non-limited companies)

  8. Year incorporated

  9. Asset security

This information will be displayed in bands, eg. in the case of turnover, the 4 bands are as follows: £1.5M+, £700k-£1.5M, £350k-£700k and £0-£350k.

It’s important to remember that this information is taken from when the business took out a loan and is not updated over time. The financials are from the latest filed accounts (at the time of application) in the case of limited companies, and the equivalent in the case of non-limited companies.

We hope that by becoming more transparent and providing you with easy access to this information, investors will have the tools to make more informed lending decisions going forward.

The Funding Circle team

 

Weekly Lending Review: week 32

Week 32: 5 – 11 August 2013

Over £3 million worth of lending opportunities were listed on the marketplace last week and the majority of new loans were allocated to the A risk band. Businesses looking for funding included a travel company specialising in yacht holidays and a Brighton deli.

New loans

There were 60 new business loans listed last week and there are currently 41 auctions on the marketplace.

The total value of the new listed loans was £3,084,500; that’s an average of £51,408 per loan. The largest loan value was £100,000 and the smallest loan value was £10,000.

Business loans still available for bidding on for the next 3 days or more:

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 5-Aug represents the week of 5th – 11th August.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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News you should know

The Mail on Sunday wrote about the success of the Local Business Partnership; an initiative between Lancashire County Council and Funding Circle. They featured one of our great business borrowers, Ark Consultants and you can read the article here. If you want to see what Ark Consultants have done with their loan you can watch this video case study about them on our blog.

Community Discussions

This week we’re talking about improving the filters on the marketplace and you can have your say in our community forum.

Loans defaulted last week

Software and IT services provider. Loans 34 and 521
This Hertfordshire-based business provides speciality software to the NHS but was put into administration in June. The original loan amounts were £30,000 and £75,000 and all 781 investors have been notified.

Countryside maintenance company. Loans 263 and 1016
This Oxfordshire business had been trading for over 10 years but went into liquidation in November last year. The original loan amounts were £20,000 and £10,000 and all 272 investors have been notified.

Enjoy lending, The Funding Circle team

– See more at: https://www.fundingcircle.com/about-us/our-blog/weekly-lending-review-week-32#sthash.WybaAOoK.dpuf

Weekly Lending Review: week 31

Week 31: 29 July – 4 August 2013

It was another £3 million+ week with over £3.5 million worth of loans being listed on the marketplace with most loan requests being listed in the A risk band.

New loans

There were 51 new business loans listed last week and there are currently 39 auctions on the marketplace.

The total value of the new listed loans was £3,501,760; that’s an average of £68,661 per loan. The largest loan value was £250,000 and the smallest loan value was £8,500.

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 8-Jul represents the week of 22nd – 28th July.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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Loan parts currently available to buy from other investors

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Records and milestones

July was the biggest month ever on the marketplace with £14 million being lent out in total during the month. 210 loans were accepted in July which is also the highest amount ever in a month.

News you should know

After the launch of the new minimum bid rates at the end of June, we committed to a monthly review of the rates, with two weeks’ notice before they are adjusted. We will review the rates in the middle of each month and any adjustments to the minimum bid rates will be announced in the corresponding Weekly Lending Review email. The adjusted rates will come into play on the first day of the following month.

The first of these reviews will take place on 15th August and any resultant changes to the rates will be announced in the Weekly Lending Review on Monday 19th August.

Community Discussions

We’re talking about the addition of non-limited loans to the Funding Circle marketplace, have your say here.

Loans defaulted last week

Sacffolding provider. Loan 1273
This business provides commercial and domestic scaffolding from their base in Essex. They had difficulties with cashflow and the business entered into liquidation in July. The original loan amount was £50,000 and all 450 investors have been notified.

Scotland-based off-license. Loan 1433
This business owns two retail off-licences in Caithness and we received notice that the business was in liquidation in June. The orginal loan amount was £25,000 and all 237 investors have been notified.

Enjoy lending, The Funding Circle Team

– See more at: https://www.fundingcircle.com/about-us/our-blog/weekly-lending-review-week-31#sthash.3wXvPHS8.dpuf

Weekly Lending Review: week 26

Weekly Lending Review, week 26, 24 - 30 June 2013

Weekly Lending Review, week 26, 24 – 30 June 2013

£2.8 million worth of new lending opportunities were listed on the marketplace last week, including a Yorkshire-based hotel and a food flavouring manufacturer. The majority of the loan requests were allocated to the C risk band.

£11.6 million was lent to businesses across the UK in June alone; accounting for nearly 10% of the total amount ever lent.

New loans

There were 44 new business loans listed last week and there are currently 18 auctions on the marketplace.

The total value of the new listed loans was £2,792,500; that’s an average of £63,466 per loan. The largest loan value was £150,000 and the smallest loan value was £10,000.

Business loans still available for bidding on for the next 3 days or more:

Weekly marketplace trends

These graphs show the most recent activity on the marketplace. The average gross yield graph is reported weekly and shows a rolling two week average. Number of loans, value of loans and secondary market are reported weekly. The dates on the graph should be read as ‘week beginning’, for example: 24-Jun represents the week of 24th – 30th June.

Weekly average gross yield (2 weeks rolling)

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Number of listed loans per week

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Listed loan value per week

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News you should know

Were you one of the 1,211 people who lent £100k to Tatty Devine earlier this year? We visited their shop on Brick Lane to film them and to ask them more about their business. In the video, we explore how they started their unique jewellery business in 1999, which has lead both of the founders to receiving MBEs at the start of this year.

Community Discussions

This week we’re talking about the introduction of new minimum bid rates and you can join the discussion in our community forum.

Loans defaulted last week

No loans were defaulted last week.

Enjoy lending, The Funding Circle Team

– See more at: https://www.fundingcircle.com/about-us/our-blog/weekly-lending-review-week-26#sthash.zPFjgS3W.dpuf