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Proplend

Proplend

Proplend is an online marketplace offering investors rates of risk-adjusted returns. All loans are supported by a 1st charge on commercial properties in the UK.

The platform services loans from 250K to 5m with a maximum LTV of 75%. Loans are split up to three Tranches; Tranche A (0-50% LTV) had an average annualised return of 7.40% for the last 12 months (after fees, before bad debt and taxes). Tranche B (51-65% LTV) had an average return of 9.94% pa and Tranche C (66-75% LTV) had an average return of 12.35% pa over the same period.

The lender has the option to auto lend or invest directly into an opportunity.  The auto setting aims to invest the available cash at the earliest opportunity in multiples of £1000 (or one loan part) Loan interest is paid from the borrowers to the lender on a monthly basis.

Fees

Proplend charges an arrangement fee to the borrower which is a percentage of the value of th loan.  The platform also charges the lender a fee equal to 10% of the interest they receive.  For lenders using the secondary market, there is a ”Novation Fee” of 0.5% of the value of the loan part being sold.

What happens if Proplend dissolves?

Arrangements have made with a third party Resolution Compliance Limited who will take over the administration of the outstanding loan contracts and ensure that the borrowers continue to make interest and capital payments.  They will also distribute the appropriate amounts to the Lenders.

 

 

 


Proplend Products and Investment

    Earn interest from 5% to 12% per annum after fees and before bad debts and taxes. Invest from £1,000 with no maximum limit. Customers can choose which loans they want to invest in, or let Proplend automatically invest their funds in the various tranches available.

    Lenders will receive monthly interest payments from the borrower before Proplend deduct their 10% fee. There is also a 0.5% fee when selling a loan on the secondary market. 

    There have been no investor losses since this product launched.

    term: 12 - 60 months min. investment: £1,000 return: up to 12.00%*
    * provided on 16/01/2020

Investor Overview

  • Minimum investment is £1,000
  • Manually invest or 'Auto-Lend'
  • Classic, ISA and (SIPP/SSAS) pension accounts available
  • All loans are backed by UK commercial property (1st charge)
  • Comprehensive due diligence is completed on all Borrowers and properties
  • Choice of up to three risk-adjusted 'Tranche' investments per loan
  • All interest from the Borrower is passed onto Lenders - before a 10% Lender Fee is deducted
  • 3+ months' interest (varying by loan) is 'reserved' from the principal drawn down for all loans
  • Interest is paid monthly
  • IFISA is flexible - withdrawals can be 'replaced' during the same tax year (i.e. withdrawals can be temporary)
  • Loan terms from 6-60 months
  • Loans in good standing can be sold during term via Proplend's secondary market - liquidity cannot be guaranteed and sales are subject to 0.5% seller fee
  • No investor losses since launch (2014)
  • * correct as of 23/01/2020
Invest

08315922
company number

03/12/2012
incorporated 7 years ago




  • Internet Business Awards Category Award Winner 2015
  • Hertfordshire Business Awards Finalist 2014

As seen in:

  • The Guardian
  • Financial Times
  • Yahoo! Finance
  • The Times
  • The Daily Telegraph