Businesses To Offer Financial Products Directly As P2P Moves Into New Phase

CROWDSTACKER announces the UK’s first ‘white label’ IFISA eligible loan product deal today heralding a new era in P2P business funding and retail investor products.

The new service offered by Crowdstacker will potentially enable qualifying businesses to raise funds via their own website, directly from retail investors.

This is made possible by Crowdstacker because it is one of only a handful of P2P platforms operating with full FCA authorisation, and one of only a few platforms able to offer an IFISA.

The move, which is believed to mark a turning point in the P2P industry, will provide unbranded use of its operational capabilities, its technology, its payment processing services, and its investor liaison channels.

And the first announced client to explore the possibilities of this offers is The Route Club, an invite-only wealth investment and management service. Members of this club will have the opportunity to invest in an Innovative Finance ISA managed by Crowdstacker.

“This marks the start of some very real, new opportunities for the right kind of businesses to offer loan products directly to retail investors” explains Mark Bristow, co-founder of Crowdstacker.

“We have all the technical, legal and regulatory capabilities in place to do this, meaning we can facilitate loans for brands in exactly the same way we do with loans on our own platform. Businesses will be able to offer ISA eligible investments directly to consumers as a means of raising funding for growth and development.

“Our first client, The Route Club, for example, will be offering their membership base the opportunity to hold investments in the Crowdstacker Innovative Finance ISA – so up to 15,240 GBP per person invested this year tax free, and that doesn't include transfers from prior year ISAs.

Businesses interested in utilising this white label approach will need to prove their
financial credentials and pass a due diligence process just like businesses raising money directly on the Crowdstacker platform.

“This white label approach is also about increasing the number of sound investment opportunities for investors so we need to know the businesses using it are solid” Mark continues.

“This is something the industry has started talking about in vague terms over the past few months, but whilst they’ve been talking we’ve actually been making it happen.”

Technology entrepreneur David Murray Hundley, who already sits on the advisory board for Crowdstacker, has recently been appointed Chief Technology Officer, and part of his role will be to oversee the further development of the white label technology.

David explains: “We don’t see this detracting from our main business of being a P2P platform for businesses looking to raise significant funding. But we can certainly see the potential for this to be of real interest to a wide number of businesses who want to leverage their own brands to raise finance in a way that is attractive to investors, and which satisfies all the regulatory criteria.”

Crowdstacker is an FCA regulated peer-to-peer lending platform specialising in offering carefully selected lending opportunities to businesses that have successfully satisfied a rigorous due diligence process. More information can be found at www.crowdstacker.com/investment.

Risk warning
Your capital is at risk if you lend to businesses. Lending through Crowdstacker is not covered by the Financial Services Compensation Scheme. Tax treatment is dependent on an indivdual’s circumstances and may be subject to change in the future. For more information please see our full risk warning https://crowdstacker.com/risk-warning.

Crowdstacker Ltd. is authorised and regulated by the Financial Conduct Authority (frn. 648742).

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For more press info, contact Rebecca Stiasny on 07771 813 761 or rebecca.stiasny@crowdstacker.com


About Crowdstacker

Crowdstacker is an FCA regulated peer to peer lending platform that makes available lending opportunities to great British businesses in the UK.

We aim to make peer-to-peer lending accessible and rewarding for investors, and for the companies who come to us. Our focus is on quality and reliability. So we only consider applications from well established companies who have a compelling proposition and are in good financial health.

The company’s founders have worked together for more than a decade and combine a wealth of knowledge of the finance industry. Their considerable experience includes raising finance for companies, projects and funds in many sectors.