The Business Magazine - B2B Business News - Site Logo
The Business Magazine January 2024
Read now

Peer to Peer lender Folk2Folk on course to surpass £1 million profit target

31 March 2021
The Business Magazine article image for: Peer to Peer lender Folk2Folk on course to surpass £1 million profit target

FOLK2FOLK, the national Marketplace lender for SMEs in regional Britain, has announced it expects to turn a seven-figure profit for its 2020 financial year, surpassing the company’s pre-pandemic profit target for 2020.

The anticipated profit of around £1M is a significant increase from FOLK2FOLK’s pre-tax profit of £198k for the previous year, and marks two consecutive years of profit for the company.

This latest announcement builds on a strong start to the year for FOLK2FOLK, why has announced new additions to its Broker team, a lending milestone of £400M and strong uptake of its Innovative Finance ISA (IFISA). This month, the company celebrates its biggest month to date, during which it facilitated £15M of borrowing and investing.

Roy Warren, FOLK2FOLK Managing Director, said: “Platform profitability is of increasing importance to all stakeholders, with investors in particular seeking stable investment vehicles and returns.

“Despite the headwinds presented by COVID-19, we have gone beyond our 2020 profit target which was set well before the outbreak of the pandemic, making it an even more meaningful achievement for us.

“We believe this resulted from keeping our doors open and remaining supportive, for all our borrowers and investors alike. We helped other business stay afloat, and made a profit ourselves by doing so.  We take a very human approach and I think that shone through particularly brightly last year and stood us in very good stead.”

“We’re excited by the buzz and momentum we’re feeling within our business. Our consistent performance enables us to stand tall, and our strong cashflow position enables us to invest in our own future growth.”

FOLK2FOLK injected around £60M into SMEs during 2020, enabling hundreds of small businesses across a variety of sectors to grow, diversify or adapt to the new Covid-19 environment. The company delivered around £12M in gross interest payments to its investors, who typically earn a 6.5% p.a. interest rate.  The audit of the accounts is expected to be complete at the end of April, with full audited accounts available via Companies House.

Nicky Godding is editor of The Business Magazine. Before her journalism career, she worked mainly in public relations moving into writing when she was invited to launch Retail Watch, a publication covering retail and real estate across Europe.

After some years of constant travelling, she tucked away her passport and concentrated on business writing, co-founding a successful regional business magazine. She has interviewed some of the UK’s most successful entrepreneurs who have built multi-million-pound businesses and reported on many science and technology firsts.

She reports on the region’s thriving business economy from start-ups, family businesses and multi-million-pound corporations, to the professionals that support their growth and the institutions that educate the next generation of business leaders.

Related topics

Related articles

Upcoming events

view more

Solent SME Growth 100 dinner and Awards

The Halo Lounge, St Mary's Stadium, Southampton

More info

Business ownership and planning for the future - Employee Ownership - Roundtable

Harbour Hotel,
Southampton SO14 3QT
More info

Networking Drinks - Thames Valley Tech Sector

Malmaison Hotel
Reading, RG1 1JX
More info

Leadership Roundtable: Developing strategies for financial returns over the next decade

Herrington Carmichael, Farnborough Aerospace Centre, GU14 6XR

More info

Solent Deals Awards 2024

Hilton Southampton
Utilita Bowl
More info

South Coast Property Awards 2024

Hilton at the Ageas Bowl
More info

Thames Valley Tech & Innovation Awards 2024

Reading FC Conference & Events
Select Car Leasing Stadium, Reading
More info

Related articles