LendInvest: The first property P2P lender to launch anywhere in the world
2 min read
03 March 2016
Alternative lenders in the UK mortgage market have now risen up in many guises, from challenger banks such as OneSavings Bank, through to peer-to-peer lenders like LendInvest – the latter of which has seen some impressive growth and is part of our Everline Future 50 2016.
Industry/sector: Alternative finance
Date founded: 2013
Founders: Christian Faes, Ian Thomas
Given the success of the sharing economy in Britain, with research from JustPark suggesting that London is the sharing capital of Europe – and that money lending is the largest sector within that – it’s not too far-fetched to think a peer-to-peer system could start a housing revolution.
Among the businesses involved in this transformation is LendInvest, a company holding the title of Britain’s first property peer-to-peer lender. LendInvest has been profitable since its launch, and while it was originally incubated out of Montello Bridging Finance as a separate business, today the online lender is leading the charge.
The company has already been expanding at a breathless pace. At the end of 2014, AltFi Data predicted that LendInvest would originate £195m in loan volume in 2015. That estimate was soon revised to nearly £400m, which would have taken the platform’s cumulative lending volume to around £600m.
Being head of the pack means it has also landed its fair share of headlines. In June 2015, the platform secured a £22m equity investment from asian firm Beijing Kunlun, followed by LendInvest announcing its second consecutive year of profitability in October.
Its success has further seen it double its staff count to over 60 since January 2015, with expectations to reach 100 full-time employees later in 2016.
In the first few days of 2016 the platform also topped £500m in commercial property lending, with the company suggesting that approximately ten per cent of all peer-to-peer loans are facilitated by LendInvest – it lends between £20 to £25m each month.
Its next port of call, according to LendInvest co-founder and director Ian Thomas, is to extend the company’s share of the mortgage market for 2016.