On Thursday, peer-to-peer lending platform Landbay announced it was granted full authorization from the FCA for peer to peer lending. The lender stated the new authorization is paving the way for the launch of its Innovative Finance ISA in the upcoming year.
John Goodall and Gray Stern launched Landbay with the help of Seedrs. Prior to their website even going live, Goodall and Stern raised seed capital on the crowdfunding platform for their vision of mortgage finance. Their first funding round was for only £50,000 in SEIS eligible seed funding. The round closed in December 2013 at £71,590 with a pre-money valuation of £616,667.
Sharing his thoughts about the FCA authorization, Goodall stated:
“We are pleased to confirm that the FCA has granted Landbay its full authorization for peer-to-peer lending. For the past 14 months we have worked hard, in collaboration with the regulator. As our industry continues to grow and mature, it is only right that regulation should evolve in line, and we welcome the detailed approach the regulator has taken throughout the process. This is a significant milestone for Landbay and we look forward to launching our property-backed ISA before the end of the tax year.”