| Informed Funding |
A warm welcome to this month's Altnerative Finance Network newsletter, which begins with a reminder that our next event is coming up very shortly and promises to be a fascinating opportunity to peer into the future of alternative finance. We're bringing together a group of platform founders on September 24 to look at how alternative and traditional finance are starting to work together - and to discuss how the relationship could develop in the years to come. You'll find details below on how to register so do join us for some high-level crystal ball gazing. It's going to be a great session and will form part of the next Funding Fair from Informed Funding, where there will be plenty more stars of the alternative finance world on stage. Full details are in this newsletter - don't miss it.
To find out more about membership click HERE or contact the team directly [email protected] I look forward to meeting you at one of our events soon.
Regards
Andy
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24th September 2015
Venue: Mercure Bridge Hotel: 71-79 Southwark Street, SE1 0JA
Timing: 17:20 – 18:20
We've assembled an outstanding expert panel to help explore the many ways for mainstream and alternative finance to work together in the future. There are signs all around that alternative and conventional finance are becoming ever more complementary so it promises to be a fascinating session.
Andy Davis (AFN Programme Director) will be hosting a roundtable discussionon where the market is heading. Which models are likely to succeed? What can we see emerging right now? What are the risks and opportunities for newer entrants? Thoughts and inputs will be sought from the audience, and a briefing paper will be widely circulated after the event, naming contributors where they are happy to go on the record. This is a chance for attendees to better understand the future direction of the industry and the opportunities to play a part in shaping it.
As part of the discussion we are going to discuss the implications of Landbay's deal in the P2P market for buy-to-let mortgages. In July, Landbay announced it had secured a large warehouse financing line from a UK bank and a European asset manager that would enable it to originate and fund far higher volumes of mortgages – potentially £20m a month or more by the end of this year. If you haven’t already seen it, you can read Andy's blog for the AFN on the Landbay deal HERE.
We will be joined by:
- Angus Dent, ArchOver
- David Turner, Invest & Fund
- Julian Cork, Landbay
- Tom Britton, Syndicateroom
- Lasse Mäkäle, Invesdor
- Jonathan Segal, Fox Williams
We will also be capturing insights from both the panel and attendees on their vision and the way they think the market will develop which we will then share in a report to our AFN members. This seminar is sponsored by Fox Williams LLP.
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This AFN Seminar is sponsored by Fox Williams LLP.
Fox Williams LLP are experts at advising entrepreneurs and FinTech businesses. For more information as to how Fox Williams can help you (including arranging a free consultation) visit their website at .
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This seminar will be part of our Funding Fair. Following this seminar we then welcome you to join us for drinks and canapés at the Metal Box Factory and the chance to listen to key note speakers, Barry Naisbitt, Santander’s Chief Economist and Kevin Green from the Secret Millionaire, who shares his ‘Rich Rules’ Further information on our Funding Fair can be found .
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Two data releases came out this week that deserve the attention of anyone interested in SME finance – and especially anyone who like me has been struck by the ongoing disappearance of the small business overdraft. The steady drop in the number of overdraft approvals is probably the clearest signal there is of the huge structural change now unfolding in the way smaller companies finance their working capital. And it is no coincidence that Adam Tyler, who heads the National Association of Commercial Finance Brokers, puts the fast-rising popularity of alternative finance among his members down to the gradual demise of the overdraft.
Both data releases this week – the Q2 reports from the SME Finance Monitor and the BBA’s stats on Bank Support for SMEs – shed interesting light on the question of what’s happening to SME overdraft borrowing.
Here’s my top-line take on what they reveal...
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Changes are afoot in the UK tax regime for participants in loans made via peer-to-peer (“P2P”) platforms. The government has recognised that existing tax rules are not fit for purpose when it comes to the new business model of lending P2P and so is consulting on standardising the rules regarding the deduction of income tax from interest paid on loans made through P2P lending platforms (the “P2P Consultation”).
How are the current rules applied?
Current legislation requires certain payment of interest to be paid subject to deduction of tax at source. The person paying the interest should deduct tax at the basic rate of income tax (20%) and pay it over to HMRC. The rules are complex to apply and depend on (i) the term of the loan (there is only a requirement to deduct tax at source for any payment if the interest is ‘yearly interest’, i.e. where the parties intend that the loan should last for at least 12 months), (ii) the identity of the borrower, (iii) the identity of the lender and (iv) the location of the lender...
Fox Williams LLP are experts at advising entrepreneurs and FinTech businesses. For more information as to how Fox Williams can help you (including arranging a free consultation) or for further information on the issues discussed in this article, please liaise with either Jonathan Segal or Hannah Sensecall.
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24th September 2015
Mercure Bridge Hotel: 71-79 Southwark Street, SE1 0JA
Timing: 17:20 – 18:20
Full afternoon and evening of informative sessions focused around "What works in new Finance for SMEs"
The aim of the fair is to provide you, business owners, PRACTICAL education and information on business finance. The sessions will be clearly focused on how SMEs can start to think differently about the way they might finance themselves.
Sessions will include:
- Is your business suitable for a Peer to Peer (P2P) loan?
- Crowd Equity – A realistic option for your business?
- Making the most of your Intellectual Property – recognising value and protecting it.
- The Financial Outlook session with Barry Naisbitt
Other features:
- Opportunity to speak directly to funders
- Attend FREE business advice clinics (Buzzacott, ABP, Business Growth Service)
- Guest speakers including:
- Kevin Green (Secret Millionaire)
- Lorne Vary (Brompton Bikes CFO)
- Networking over Drinks and Canapés
If you are interested in sponsoring the iF Funding Fair, please contact [email protected].
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The funding landscape for growing businesses is changing radically, and provides both opportunity and risk for those seeking to be active in the market. The Alternative Funding Network (AFN) provides its members with intelligence and industry insight on the developing issues that really matter. This is achieved through a mix of exclusive industry seminars, regular commentary, research and secure peer-to-peer networking.
We are pleased to announce that AFN Corporate membership is now complementary for Funders with an Informed Funding microsite.
AFN Membership provides you with the following benefits:
- Free attendance at 6 seminars during the year, chaired by Andy Davis and always featuring leading figures in the industry
- Receipt of Andy’s weekly Blog, exclusive to subscribers to the AFN
- Free receipt of our industry insight reports, built from the intelligence sharing at our seminar series
- A personal listing on our AFN membership network, where members are able to contact each other (if agreed to) on a secure, one-to-one basis
- Free attendance at the bi-annual Informed Funding “Finance Fairs”
- Access to the AFN catalogue of specialist market research and video interviews with industry leaders
If you do not own a microsite, Membership Costs are as follows:
- Corporate Membership is an annual £595+VAT for up to 5 members of your team
- Individual Membership is an annual £295+VAT
