Sometimes it's good to see the view from the outside as better way of seeing how we really are.
Today, we run an extended excerpt from a thoughtful blog in Bob's Guide. The argument runs that the UK government has made Britain a great place for FinTech in general – but that this favourable environment could be compromised by a "leave" vote in the forthcoming European referendum.
"There's no doubt that the swelling success of London's fintech ecosystem has helped put the capital's tech scene on the global map. From early outriders like Zopa, which was the first peer-to-peer lending platform in the world and the billion-dollar businesses like TransferWise and Funding Circle that came after the financial crash in 2008 to challenger banks like Atom, Mondo and Tandem: London is the European capital of fintech.
"The sector has benefitted, massively, from the government's support of tech startups and especially financial tech startups. Both the chancellor, George Osborne, and former mayor Boris Johnson personally spearheaded initiatives to boost access to funding, regulatory support and raise the profile of UK tech businesses abroad. While this might sound logical, the UK government's progressive approach to technology and innovation, especially in financial services, has set the country apart in not just Europe but the wider world. This has all been crucial in helping drive growth in UK fintech, with many businesses from Europe choosing to have an office or their headquarters in the city as they look to grow.
"But unless the city's new mayor Sadiq Khan addresses a number of key hurdles facing companies it will stunt the city's tech community and make it harder to launch, execute and scale the next TransferWise, Funding Circle or Nutmeg. Of course, the potential of the UK leaving the European Union is probably the biggest threat facing the UK startup scene and not just in fintech right now."
Lending & Risk
Money&Co. has a number of loans in the pipeline. Loans are only offered to lenders if our borrowers are free of all other debt, and have a track record of sustained profit. Moreover, Money&Co. takes a charge on the assets of the company, which is exercisable if a borrower defaults. The relevant assets could then be sold and used to reimburse lenders. As yet, after two years' trading, no borrowers are in default. See our recent article on Money&Co.'s conservative attitude to vetting deals.
That said, remember that when lending, capital is at risk. Please see risk warnings on our Home, Lend and FAQ pages and elsewhere on this site.