Press release: 21 July 2015
Joule brings peer-to-peer funding to the smaller sustainable market
Joule Funding has become a registered broker for Funding Circle, the innovative and market leading peer-to-peer lending platform.
Joule, renowned for developing innovative energy efficiency and utility management projects, aims to bring peer-to-peer funding into the sustainability sector, enabling SME businesses to fund energy efficiency upgrades, water management services or on-site generation.
"Peer-to-peer funding platforms are a real success of the FinTech sector, we are bringing this together with the best of EnTech to offer fully funded, best-in-class, cost saving technology and services," explained Charles Ogilvie, Director of Joule Funding.
"It has already been used to fund small distributed generation projects, but hasn't yet got a foothold in the energy efficiency sector. Our appointment as a Funding Circle registered broker will bring this accessible finance route into our core sustainability market, installing LED, building management systems and other cutting edge technologies," said Charles.
Peer-to-peer funding or lending has grown in popularity with smaller businesses around the world. Both investor and the borrower can achieve better financial returns by negotiating directly through the web platform, reducing third party costs.
Funding Circle currently has 40,000 UK investors which have ploughed more than £650 million into British companies. It is currently said to be the investment route of choice for 20% of UK SMEs.
Investors and borrowers are matched to ensure that the funding process delivers for each party, without the complex and lengthy process associated with a bank loan. Businesses can borrow sums of between £5,000 and £1 million, with lending periods of up to five years. Loans can be used for almost all business purposes including working capital, asset purchases, and expansion. Unsecured loans are available from £5,000 to £250,000. Secured loans are available from £100,000 to £1 million. Decisions, dependent on individual circumstances, can be given within a week.
LED lighting has rapidly improved in performance and cost with many schemes now paying for themselves in less than two years. Even with the cost of the loan, customers can often take home substantial net savings from day one.
By extending its offer to include a peer-to-peer option, Joule Funding can now offer funding through a variety of routes from as low £5k through P2P, to multi million pound programmes delivered using existing scale funding partners.
"Some smaller companies really ‘get' sustainability, but simply don't have the funds to put in place measures that cut running costs and save carbon, even where there is a great return for them by installing these technologies," said Charles. "Peer-to-peer funding has the potential to become the key that unlocks meaningful savings from day one.
"We believe that as soon as SMEs understand that peer-to-peer funding can be used for energy savings, with the repayments made from energy consumption savings, it will become a popular option."
For more information visitwww.joulefunding.co.uk
ENDS
Contact details
For more information, contact Adrienne Robins at Green Tiger Communications on 07855 643094 or email Adrienne@greentigercommunications.co.uk.