Alternative finance market raises GBP 1bn in 2013-report

Tuesday 17 December 2013 10:30 CET | News

Individuals and companies secured almost GBP 1 billion through alternative sources of finance such as crowd funding, peer-to-peer lending and invoice trading in 2013 in the UK, a recent study has revealed.

According to a survey published by the charity Nesta, University of Cambridge and University of California, Berkeley, alternative finance is an increasingly attractive option for those looking for new ways to secure finance rather than via traditional banks.

The survey found that the UK alternative finance market provided GBP 463 million worth of early-stage, growth and working capital to over 5,000 start-ups and SMEs in the UK between 2011-2013.

Equity-based crowd funding in the UK grew by 618% from 2012-2013, while peer-to-business lending grew by 211% from 2012-2013.

Finally, the survey predicted that in 2014 the UK alternative finance market will grow to GBP 1.6 billion and provide GBP 840 million worth of business finance for start-ups and small and medium businesses.

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Keywords: Alternative finance, alternative market, 2013, report, peer to peer lending, crowdfunding, Nesta, UK, working capital
Categories: Banking & Fintech
Countries: World
This article is part of category

Banking & Fintech