Clarity In Crowdfunding: Back To Basics

Crystal Ball

We welcome clarity. A simple idea, clearly expressed, is a beautiful thing.

So we thought we’d revisit the basics, and clarify what it is that Money&Co. does. We bring people looking for a good return on their cash together with carefully vetted businesses seeking funds to grow. This is a sub-sector of what’s commonly termed crowdfunding.

See below and extract from our Knowledge Hub:


“Crowdfunding is a general term for the process of raising money. Back in the early days of email, people who raised money for charity by emailing all their friends in a big group email were doing a primitive form of charity crowdfunding. Other common purposes for crowdfunding are to raise share capital investment (the person in the crowd takes a direct stake, or shareholding, in the company seeking funds). Many commentators say this process is rather risky, and that a high percentage of the typically young companies seeking funds fail. It is known as equity crowdfunding.

The purpose of the fund raising on Money& to lend money to much more mature, developed businesses with a strong profit record. The process does not involve investing, but lending money. Its technical name is credfund lending, or peer-to-peer (P2P) business lending (a person, human or corporate, lends to a business).

Money&Co. is in the P2P business-lending sub-sector of crowdfunding and is part of the fast-growing trend in crowdfunding loans, quick, fast, and at rates that work for borrower and lender alike.


Current IFISA-Ready Offerings

All loans on the Money&Co. site can be held in an Innovative Finance Individual Savings Account (IFISA or Innovative Finance ISA). The ISA allowance for 2017/18 is increased from last tax year to £20,000, allowing a married couple to put £40,000 into a tax-free environment. Over three years, an investment of this scale in two Money&Co. Innovative Finance ISAs would generate £8,400 of income completely free of tax. To get that return, a pair of higher-rate tax payers would have to find a gross yield of well over 12 per cent.

P2P & Risk

If you haven’t made a loan via Money&Co. before, please read the risk warnings and the FAQ section. You may also wish to consult a financial adviser before making an investment.


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Disclaimer: Money&Co.™ is the trading name of Denmark Square Limited, Company Number 08561817, registered in England & Wales, authorised and regulated by the Financial Conduct Authority (FCA). The company is identified on the Financial Services Register under Reference Number 727325. The registered office is 58 Glentham Road, Barnes, London, SW13 9JJ where the register of Directors may be inspected. Denmark Square Limited (ISA manager reference number Z1932) manages the Money&Co. Innovative Finance ISA.