Horlick first announced her intention to launch Money&Co. last year. The platform aims to improve access to finance for UK SMEs by allowing them to bypass high street banks and borrow from the public for loans between £50,000 to £3Million for between 1 – 5 years.
Money&Co. will enable a speedy turnaround for borrowers. All businesses looking to borrow can expect to see the lending auctions go online 72 hours after they first submit their application, after which the auction will be active for a maximum of 14 days. Companies will be able to borrow for up to five years for one arrangement fee, with no costly annual renewals.
Investment will be open to all lenders able to commit to a minimum of £100, who will then be able to invest a minimum of only £10 into a business of their choosing. Lenders will be able to select the kind of business they want to invest in, based on a number of factors such as geographic location, industry, risk assessment and credit rating.
Credit ratings determined by Money&Co.’s experienced team of credit analysts will be assigned to each approved business, and will help inexperienced investors select which business to lend to. Loan agreements will be kept to two pages and are written in straight-forward English.
Nicola Horlick, CEO of Money&Co, said: “Crowdfunding is growing very quickly and Money&Co. provides a great opportunity to offer both businesses and investors something they aren’t getting right now: accessible finance at attractive interest rates.
“Access to finance continues to stifle growth. Small and medium-sized businesses, in particular, struggle to get their hands on much-needed funding. Our banks have taken too tight a hold of the country’s purse strings, so much so that the economic recovery isn’t happening as quickly as it could. Businesses like Money&Co. have the potential to change that.
“With Money&Co. I want to open up the alternative finance sector so that more people and businesses can bypass the banks.”