Posts Tagged: alternative funding

The Blockchain Revolution – Will ICOs Change the Alternative Finance Game?

In December 2017, the Financial Conduct Authority issued a statement warning that Initial Coin Offerings (ICOs) should be considered as high risk and highly speculative investments, suitable only for sophisticated investors.   To support its statement, the Authority cited a number of risk factors that should be flashing warning lights. These included the fact that…

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Fintech’s Success Story – The Secret is Better Service

Financial technology – more colloquially referred to as Fintech – has become one of the hottest corners of the UK’s startup universe.   Evidence of the sector’s strength is provided, at least in part, by the growing interest of investors. In 2017, British tech startups attracted £2.99bn in equity investment, according to figures published by…

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P2P Lenders Retreat from Unsecured Market

The UK’s alternative finance industry is experiencing a period of retrenchment as major players pull back from unsecured lending. While some analysts see this as a positive step to lenders focusing in on their specialist or niche sectors, this doesn’t help the UK’s 5.7 million small businesses, many of whom have no other option than…

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Open Banking Set to Boost Fintech

New Open Banking rules are set to boost the UK’s fintech sector.From January 13, 2018 new rules come into force meaning that all of Britain’s banks will be required to make customer account data available to approved rivals.   If Open Banking proves a success, it could mean a wider range of financial services for…

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Startups and Small Businesses Drive Growth in Alternative Finance

The Cambridge Centre for Alternative Finance (CCAF) has published new data which shows the UK’s alternative finance market grew by 43 percent in 2016, and researchers are pointing to startups and small businesses as the key driver for that expansion.   Last year, £4.6 billion was raised through alternative channels, up from £3.2 billion in…

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2018, the Year P2P Comes of Age

Analysts believe that 2018 will be the year Peer-to-peer (P2P) comes of age as the major platforms gear up to launch their new innovative finance ISA’s (IFISA) in the new year. According to data from research provider Intelligent Partnership, P2P consumer lending platforms said they expected the new products to boost their annual lending volumes…

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SMEs’ Search for the Fastest Route to Finance

SME’s Are Losing Out Leaving Cash in the Bank Small businesses are benefiting from an increase in bank approval rates, according to research from BiZ2Credit. It reports that 25 per cent of SME loan applications at large banks were approved in October.   This is an improvement from the dismal post-recession statistics when the large banks…

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Small Businesses Spurn Loans For Cash Advances

  More and more lenders are offering small businesses cash advances, a product that offers increased flexibility than traditional loans because the repayments are linked to the business’s turnover.   Nucleus Commercial Finance, this week, became the latest lender to roll out a cash advance product and chief executive Chirag Shah, said it’s because “Fixed…

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Wealth Managers Will Fill “Financing Gap” With P2P

The asset management sector is set to dramatically increase its involvement in peer-to-peer (P2P) lending, according to a new report from PwC.     The report, titled ‘Asset & Wealth Management Revolution: Embracing Exponential Change’, says asset and wealth managers will need to seek investment opportunities in niche areas such as P2P if they are…

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