June 29th, 2017

Assetz Capital announces profitability as it reaches 20k investor milestone

Assetz Capital announces profitability in 2016/17 financial year as it reaches 20k investor milestone

Today, Assetz Capital, one of the UK’s largest and fastest growing peer-to-peer finance platforms, revealed that it turned a seven figure pre-tax profit in the 2016/17 financial year. This makes it one of very few P2P platforms worldwide to achieve profitability in a financial year and its revenues are now well over £10m pa.

From April 2016 to March 2017, a total of £126 million was lent through Assetz Capital to credit worthy UK SMEs with £38m of that in the last quarter of that financial year. In the following quarter of April to June this financial year Assetz Capital will lend over £60m continuing what is around a 300% growth rate for the business and with this year’s lending expected to be around £300m.

Alongside this news, Assetz Capital also announced that 20,000 investors had now signed up to the platform. In the past four years, nearly £300 million worth of loans have been issued through the platform to date, with investors earning total gross interest of more than £23 million.

Stuart Law, CEO of Assetz Capital, commented: “Nowadays there’s the assumption that any fintech business won’t make a profit for many years, if at all. The mark of success for the P2P market has been lending totals , but like all businesses, lending platforms should be judged on the sustainability of their business model and ability to fund their own growth through profits. We are proud to say that Assetz Capital is one of the very few platforms making a noteworthy profit at the moment. It’s testament to our experienced team that we had such a successful past year.

“It’s an exciting time for Assetz Capital as we establish ourselves as one of the world’s most successful peer to peer business lenders.”

As with most forms of investment, peer-to-peer lending carries a degree of risk to your capital; in this case, if borrowers were unable to repay their loans. At Assetz Capital, we seek to reduce this risk to our investors by taking asset security on every loan, with the added benefit of a discretionary Provision Fund for some of our investment accounts.