New peer-to-peer provider of funding launches in Yorkshire
A NEW peer-to-peer provider of funding that seeks to introduce wealthy investors to UK businesses and property developers has been launched in Yorkshire.
The Funding Club says it has identified the need for a network aimed specifically at very high and ultra-high net worth individuals, who are well-informed, sophisticated and capable of making quick decisions.
It aims to create a data base of around 60 HNWIs and present opportunities to them based upon their own skill sets, experience or stated preferences.
The Funding Club held a launch event last night at Angelica’s, Trinity Leeds.
Founder and director Mark Hales said: “Many of you will be familiar with some of our competitors such as Fincats, Funding Circle and Crowdcube – all of whom offer services similar to those that The Funding Club will offer. But, where we seek to differentiate ourselves is by working with a very small group of entrepreneurial very high and ultra-high net worth’s to provide solution based funding between £300,000 and around £10m.
“The other main area where we seek to differentiate ourselves is by offering more complex solutions. Complexity can be a factor of time, ie the speed with which funding is required, security available, track record, or any number of factors that mean it is unsuitable for the existing platforms.”
The founding six funders of The Funding Club have a combined net worth of around £1.2bn and it is seeking to recruit around 10 new funders from each region.
“We are seeking individuals or families with a net worth of at least £10m,” Hales added.
Funding Club has been created by four experienced and successful entrepreneurs: Steve Smith, the founder of Poundland who sold out in 2002 for just short of £50m; Rodger Danks, who now owns and runs a substantial property portfolio; Darren Beech, who has worked in the insurance/finance industry since 1989; and Mark Hales, who having built one of the UK’s largest social care providers and sold it for £40m, now owns and runs a number of health care and tech-related businesses.
Hales added: “Between us, we bring a wealth of knowledge and contacts that mean we can think outside the box.
“We are able to tailor funding to suit the specific needs of our clients through a combination of debt and or equity instruments.”
Although The Funding Club has identified the property sector as a key focus for the business, it intends to offer funding to other business sectors, subject to available security.
