SS overstretching itself?

Small organisations who lend money (and small builders who want to borrow it) are always at risk of a key person or two falling under a bus.

Loans related to football clubs might experience a loss of 'confidence' if just one key person somehow departed.

What contingency plans are in place for SS? Or for MT for that matter?

FC and Z certainly have plans and are large enough that loss of one or two key people would not matter so much.

If any small platform begins to have a feel of no-confidence about it,  it is last one out turn off the lights?

Don't forget that SS is not "just" what we see as SS.

SS is just a route-to-market, with a dedicated brand, for Lendy.
www.lendyfinance.com/

Sure, they're not about to challenge the top-end established finance houses in terms of size. But that means they're flexible enough to offer interesting returns, which is why we're here. Equally, they're not one man and his dog (woof!) out to mow working from their shed.

Also, whilst many here are not exactly cheer-leaders for the FCA, I'd have thought that contingency planning was fairly high in the list of questions for the approval the players are all desperately spending a lot of time and effort on chasing. Not getting that has to be the biggest threat to ongoing business in the short to medium term.

Supply and demand should balance each other. At the moment, there is more supply of money than they can meet with demand from borrowers. The supply is not going away. So meet it with more demand = more business = more profit. But there are not enough putative borrowers looking for money at the price we're used to wanting, unless they lower their due diligence barriers. But there ARE, apparently, plenty of borrowers who will pay a lower price - but that's balanced by a safer loan.

Remember, defaults are to be expected - 7% return after defaults is often given as a sensible, sustainable long-term target - and we're WAY ahead of the curve at the moment.



Or is it a prudent way of growing their business in a sensible, sustainable way?

0.4%/mo - ~5%/yr - is not going to get much supply of money from their current investor base, is it? So not much point in getting that business in. Or is that business going to be met by Lendy's other sources of money? Is it a marketing come-on headline designed to get business in at twice that rate?

We are very happy thank you and are looking forward to continued and sustainable growth for the long term. Our staff are bedding in well into the offices (we have been here a year and bought it with cash so we don't have rent to pay).  We are very lean and don't need deals to fund the business so your comments about panic etc seem to be somewhat misplaced. 

The market is very competitive and we want to offer a whole market product rather than just limit ourselves to certain niche segments.  We see it as a maturing process and is a natural progression for a 4 year old company in this fast paced market. Given the reaction which we are seeing on pre-funding behind the scenes, there are plenty of investors who will continue to trust and support us and appreciate what we are doing. 

As you can see from our recently audited accounts (we didn't need to audit, we just thought you would all appreciate it), we are very financially viable even accounting for loan provisioning. This year has been at least twice as successful as last and our cash reserves are very reassuring. 

Yes there are things we could do to improve, we actively seek opinion on that and number one on our priority list is customer support. We now have a dedicated support department so investors should see a gradual improvement in that arena in the short term. 

Thank you savingstream always good to hear from you, business looks to be growing nicely. Keep up the good work. Any chance of more weekly updates on all the loans?

IMO the best thing that SS could do to restore confidence in those that have lost some is to sort out overdue loans. Looking at a long list of negative days does not give a good impression. If the borrower has paid interest for an extension change the end date and put days positive. If he has not, but SS have decided that it is in the best interest of all, including lenders, to give him more time then give the reasons. If he has defaulted and administrators have been appointed move his loan into the defaulted tab. These are all things that SS could easily do. Even better, but much harder, get more loans paid on time.

wow did i do that, now i need a lay down. i can dream of having a £110k portfolio in P2P. or do we have a different nush