Funding Circle, a leading peer-to-peer lending portal in the UK, just celebrated their 4th birthday - blog post here.
To date, Funding Circle has faciliated over £330 million to over 5,500 small businesses across the country, creating an estimated 16,500 jobs. To celebrate, we’re publishing an infographic which tracks the rise of peer-to-peer business lending right up to this year, when the industry became formally regulated.
Infographic Highlights:
2008 - 2010
Financial collapse of Leman Brothers -> banks retrenched and tightening lending
Created huge financial gap with small businesses negatively impacting their ability to hire and grow
Struggling businesses start seeking alternative sources of finance triggering a P2P lending boom in the UK and US
More than £60 million loans were facilitated through Funding Circle in the first 30 months
UK government invests £100 million in non-traditional lending channels of which £20 million was lent out through Funding Circle's marketplace within a 10 month period
5 local councils sign up to Funding Circle to lend small businesses to boost economic growth
Universities start lending with all interest put towards the creation of student scholarships
Funding Circle's marketplace grows to 30,000 lenders including government, councils and universities
2014
FCA publishes peer to peer lending rules to provide additional consumer protections signalling the maturity of the industry
Announced in the budget that ISA eligibility will be extended to P2P lending, making P2P a savvy option for seasoned investors
UK government reaffirms its commitment to the peer-to-peer lending industry and loans an additional £40 million (out of a total £300 million to alternative lending channels)
Independent research by NESTA reports that businesses borrowing through Funding Circle on average increase employment by 27%, with the portal creating a total of 16,500 jobs across the UK
The National Crowdfunding Association of Canada (NCFA Canada) is a cross-Canada crowdfunding hub providing education, advocacy and networking opportunities in the rapidly evolving crowdfunding industry. NCFA Canada is a community-based, membership-driven entity that was formed at the grass roots level to fill a national need in the market place. Join our growing network of industry stakeholders, fundraisers and investors. Increase your organization’s profile and gain access to a dynamic group of industry front runners. Learn more About Us | About Crowdfunding or contact us at casano@ncfacanada.org.
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