Exceptional Returns, Low Risk And No Fees To Pay
We are always looking for more funders because we have been extremely successful in finding demand for our short term, flexible and bespoke lending from our own funds. This funding is backed by an ever increasing number of individuals who are split into two types.
Individuals who receive a fixed annual interest rate of 8% or 10% on their funds.
We have a number of private individuals, Limited Companies and SSAS/SIPP pension funds who have lent between £10,000 and £1.5m to One Stop Business Finance in return for a guaranteed return of 8% or 10% per annum. These monies are placed in a portfolio of transactions through our managed fund. No single transaction has a loan to value of more than 65% and the current average across the whole portfolio stands at below 40%. This together with a history of zero bad debt, gives our funders maximum confidence in our fully secured lending model. For convenience to the funder and ease of administration for One Stop Business Finance, the managed fund lenders are not involved in the lenders decision. Our typical funders are frustrated by the low interest rates received on his/her savings, increasing bad debt experience with peer to peer lenders and an increasingly volatile stock market. In all cases the loans are fully secured and backed by both company debenture and personal guarantees as a minimum. In simple terms, this means that you will get a better return compared with peer to peer lenders and our transactions are more robustly secured. Unlike the wealth management sector, we do not charge our individual funders any fees for lending or withdrawing their funds. For funders with more than £250,000 to lend, we pay an increased interest rate of 10% per annum. To arrange a face to face meeting or a personal phone call, so that you can understand the funding process in detail, please contact us at firstname.lastname@example.org.
High Net Worth Individuals who receive an interest rate of at least 12% on their funds loaned.
We have a number of high net worth individuals who have significant available funds in excess of £1.5m who are approached when larger transactions are undertaken. These individuals will operate individually or collectively to fund seven figure deals and will already have at least £250,000 in the managed fund. In all cases the loans are backed by both company debenture and personal guarantees as a minimum and the individuals are fully and directly involved in the lending decision. There may also be the opportunity on occasion to take an equity stake, particularly in respect of our residential development lending proposition.
To be entirely clear, whilst we have a zero bad debt history, there is a capital risk with this type of lending.