Bricks Financial, founded in 2014, has opened up operations in Exeter as they seek to offer investors the opportunity to “high quality projects” in the region for borrowers who are “local businesses, individuals and friends where banks are unable or unwilling to help”. The new peer to peer lending platform is designed “to build a community of investors to help those looking for development finance. Our aim is to improve the return on investors’ cash by earning excellent interest on their deposited funds, with a secured investment that brings benefits to the South West,”, this according to co-founder Clive Banks.
According to a report in the Western Morning News, Bricks financial was set up by four entrepreneurs looking to “fill a gap in the market” to match individuals with money to invest and viable businesses in need of capital
The new direct lender was founded by Banks, Will Michelmore, Jerry Rihll and Nick Sprague. The foursome each possess diverse experience as successful businessmen.
“We are looking to build a community of investors to help those looking for development finance. Our aim is to improve the return on investors’ cash by earning excellent interest on their deposited funds, with a secured investment that brings benefits to the South West.”
According the the report, their process is simple and straightforward and in most cases, loans can be turned around in 24 hours.
Loans are available from 6 months or up to 10 years at “sensible rates” according to their site. Loans are secured by a property to protect investors. The borrowing process incorporates an extensive credit screening including a personal interview and an independent valuation of the security. Reportedly the first two transactions raised over £1 million in funding.
Bricks Financial is not the first localized peer to peer lending platform. Folk2Folk set up shop in Devonshire and loaned over £20 million in 2013. In 2014 that number doubled, with a zero percent rate of default. Earlier this year, Folk2Folk discussed plans to take their regional strategy and expand it nationally. The lending model now honed, Folk2Folk is pushing forward with an initiative to “deliver a robust growth program”.
Brick Financial is focusing on their roots for now but co-founder Rihll revealed they have eyes on the future;
“We expect the service we offer will evolve and expand in time but for now we are focussing on the South West as a region and the Exeter catchment in particular where we all live and work.”