Author Topic: Panel Interview with Funding Circle, Auxmoney, and Lending Club  (Read 2434 times)

edward

  • Full Member
  • ***
  • Posts: 195
    • View Profile
http://www.avc.com/a_vc/2013/06/video-of-the-week-crowd-lending-at-lebweb.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+AVc+(A+VC)

Panel discussion where all the entrepreneurs on the panel are Union Square Ventures (venture capitalist) portfolio companies that happened last week at LeWeb (London). The discussion concerned crowd (P2P) lending and the portfolio companies on the panel were Lending Club (US), Funding Circle (UK), and Auxmoney (Germany). It's 33 mins long.

* Differences between the platforms as to what purposes they lend for and size of loans
* The idea of transparancy by posting all historical loan information
* Regulation in each of the countries that currently exist and that Funding Circle is actively seeking regulation in the UK
* The ease for the borrower by applying online as a key component of growth
* The fact that banks are leveraged in their capital, whereas these platforms are 1:1 lender:borrower
* All three platforms have tripled their growth over the last year and expect to do so again over the next year
* Very roughly equal returns and amounts of defaults across the platforms
* The great potential for continuing growth in the P2P marketing, especially as loans marketed specifically to business increase, along with potential for collateralized loans
* I found the comment that the British government is actually financially involved in Funding Circle very interesting (I leave it to others with far more knowledge on this subject than I to comment on how that might work/benefit in the US, but some thoughts did come to mind.)

Disclaimer: A bit of British slang at the very start, using a word perhaps made most known in the US by Chef Gordon Ramsay. I hope not too risque for this forum.