Peer-to-peer lender FOLK2FOLK has topped £700 million in lending, according to a note from the firm. The company claims to be the largest P2P lender to small businesses in the UK.
Launched in 2013, FOLK2FOLK is one of the few remaining P2P lenders. The unique model combines physical locations to match investors with borrowers, providing business loans starting at £100,000. Lending decisions are “made by people” and not tech stacks. For investors, the credit is secured and currently generates an 8.75% per year return. To date, the company reports no capital loss for lenders.
Roy Warren, Managing Director of FOLK2FOLK, said the milestone is a testament to the trust and support of both investors and borrowers. Warren said they remain committed to providing fast and flexible loans to support smaller firms.
FOLK2FOLK has highlighted some of the financing provided in the past twelve months, including:
- A startup creating custom handmade cricket bats
- A Community Interest Company establishing shared community workspace
- The purchase and operation of local village stores with post offices
- The acquisition and improvement of a golf course
- A multi-million-pound renewable energy project
Over the past year, FOLK2FOLK reports that it has paid out £15.78 million in interest to investors.
