It is estimated that over 15 million people in the UK currently struggle to borrow for unexpected costs, with many with poor credit scores having to accept unacceptably high or unrealistic interest rates. ![]() For the round, Abound was advised by leading international law firm Osborne Clarke LLP. Equity investors included K3 Ventures, GSR Ventures, and Hambro Perks – who led the previous equity round for Abound. Debt financing came from Citi, the American multinational investment bank, and clients of Waterfall Asset Management, a global alternative investment manager. The new funding round comprises both debt and equity financing. Abound is on track to have £1 billion on its balance sheet by 2025. Funding will also be used to develop its business-to-business offer, allowing other banks and lenders to take advantage of its technology. The new funding will be used to expand the number of customers it lends to, as well as significantly grow Abound’s headcount. This latest investment brings the total raised to date by Abound up to £570m. To date, Abound has been growing 30% month-on-month and served over 150,000 customers through its service. By doing so, Abound is also able to confidently lend to many borrowers who have been ignored by traditional banks while reducing the risk of doing so. In 2021, lending through Funding Circle's UK platform is estimated to have contributed £7.2bn to GDP and supported 100,000 jobs.Abound, a personal lending fintech that uses artificial intelligence and Open Banking to provide more accurate and affordable loans, has raised over £500 million in funding to turbocharge its growth in the UK market.įounded in 2020 by two senior credit experts, Abound has created a way to offer borrowers better interest rates by looking at their complete financial picture, through Open Banking and artificial intelligence, rather than relying on just a credit score. This is providing small businesses with the fast and simple access finance they need to grow and power the economy. £14 billion to approximately 120,000 businesses globally. A wide range of investors are utilising this technology and distribution platform to lend c. Founded in 2010, its market-leading and unparalleled instant decision lending technology enables small businesses to apply for finance in an average of six minutes, with lending decisions in as little as nine seconds. ![]() These public capital market transactions are further recognition of the platform’s ability to open up deep and diverse pools of capital to small businesses, creating more choice and competition in the small business lending market.įunding Circle is the UK’s largest loan platform for SMEs. Waterfall’s initial £1bn investment in 2018 included multiple securitisations. Waterfall will lend through the platform alongside a wide range of investors, including banks, asset management companies, insurance companies, government-backed entities, individuals and funds. This seamless functionality is helping provide small businesses with fast and simple access to finance, allowing them to grow and power the economy. ![]() These provide Waterfall with a highly efficient and cost-effective mechanism to deploy capital to the real economy.įunding Circle’s market-leading and unparalleled instant decision capabilities enable small businesses to apply for finance in an average of six minutes, with lending decisions in as little as nine seconds. More than a decade of investment and innovation in Funding Circle’s technology and data capabilities has created powerful machine learning models. The partnership leverages Funding Circle’s technology and distribution platform to deploy new funding to UK small businesses, continuing Waterfall’s support for UK SMEs. The partnership will leverage the platform's machine learning capabilities to deploy new funding to UK small businesses over a two-year period.įunding Circle, the UK’s largest small business loan platform, and Waterfall, a leading institutional asset manager, today announce a lending partnership that will provide £1bn of new funding to small businesses.
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