P2P Lending Platform Proplend Granted Full FCA Authorisation

Proplend, a peer to peer lending platform that directly connects creditworthy borrowers to investors, has been granted full authorisation from the Financial Conduct Authority (FCA).

The company is now a fully authorised FCA platform that specialises in sub £5m, secured commercial property loans; all of which are secured by income producing commercial property located in England and Wales.

The Proplend platform is beneficial for both parties involved in the peer to peer lending scheme. Whilst providing creditworthy borrowers with financial assistance as they are able to gain access to funding which is otherwise unavailable, the investors also receive attractive returns on their investment.

Founder and CEO Brian Bartaby, said:

“After a comprehensive approval process, we are delighted to have reached this significant milestone. The granting of full authorisation demonstrates to current and future investors that Proplend’s regulatory and operational infrastructure has met with the highest standards demanded by the FCA.”

Their main customers are corporate borrowers and owners of LLPs and limited companies, who have an income-producing investment property to borrow based on an interest-only basis.

Their investing customers are individuals who are lending personally, as well as institutional investors. The rates of risk adjusted returns are between 5%-12% and the minimum investment is £1,000.

The P2P tranche model is separated into three models, based on three loan to value (LTV) tranches:

• Tranche A – 0-50% LTV
• Tranche B – 51-65% LTV
• Tranche C – 66-75% LTV

These tranches offer investors with varying risks and requirements to select the investment type that suits their own needs.

Proplend will now submit an application to HMRC to become an ISA manager. This comes as the authorisation is said to pave the way for the launch of the company’s Innovative Finance ISA scheme; an exciting addition to their current list of P2P lending services.