funding circle

Small Business Banking: Lending Continues to Fall

Today the Bank of England released its quarterly Trends in Lending statistics. The report revealed that the stock of lending to UK businesses contracted by around £5 billion in the three months to November. However, a contraction in September and October 2010 was partially offset by an increase in November, the first positive net figure for lending since February 2010. James Meekings, co-founder of Funding Circle, the innovative online social lending marketplace, had this to say about the latest figures: “These figures are another deafening blow to the banks’ claims that they are lending. Look even closer and you will see how situation is getting worse for small businesses – the stock of lending is falling faster and the interest rates being charged are putting them off applying for ... »

Funding Circle Cuts the Cost of Business Borrowing

Small Business News – 20th August 2010 An innovative online lending service that enables low-level private investors to lend to small firms could significantly reduce the cost of borrowing, its founder has claimed. Funding Circle claims to be able to cut the cost of a business loan by up to 25%. It does this by bypassing banks and inviting small private investors – including other businesses – to lend to small firms. The scheme, set up with business credit reference company Experian, will offer loans of between £5,000 and £50,000, to be repaid monthly over one or three years. Each loan will consist of multiple loans from a number of lenders, who will compete to lend to the business. Lenders can charge different rates on the same loan, so the borrower ends up repaying at a... »