Bridging lender Somo has been ranked primary for finest monetary well being by peer-to-peer lending scores and analysis agency 4th Approach.
Whereas Somo shouldn’t be technically a P2P lender as it’s not regulated underneath article 36h, 4th Approach contains it in its evaluation because it argues that it buildings itself and its loans to supply the identical degree of safety as direct lending.
It put Somo above P2P platforms Folk2Folk and Kuflink in its high three rankings for monetary well being.
Neil Faulkner, managing director of 4th Approach, stated he outlined ‘finest monetary well being’ as “the very best pound quantities made in spite of everything prices and taxes which have been stably achieved for years in a row”.
4th Approach analysed the lenders’ dangers and returns by means of interviews, knowledge analysis and submitted proof.
“[Somo’s] belongings outweigh its money owed by £7,210,000 and it has over £5m in money,” Faulkner stated. “Now that’s true monetary well being.”
Somo was just lately rated ‘distinctive’ by 4th Approach, receiving its highest 3/3 Plus ranking.
“What a technique to finish the 12 months,” stated Somo’s founder and chief govt Louis Alexander (pictured).
“The group works extraordinarily arduous to make sure traders trust that we are able to ship by way of excessive rates of interest, service ranges and danger mitigation. Nevertheless, it’s additionally vital for traders to have certainty within the agency’s future. It’s incredible {that a} famend company like 4th Approach has recognised that it’s not nearly profitability, however ongoing steady profitability. We intend to maintain it this fashion.”
Learn extra: SoMo posts rise in earnings and turnover because it expands enterprise
Somo has lent over £300m throughout 1,500 loans since launching in 2014. It has a report of zero capital losses so far.
It says it has traded profitably because it was based in 2014.
Learn extra: Somo turns into a patron lender of the NACFB
