Actionable insights straight to your inbox

logo_equities.svg

CrowdCast: Sam Hodges of Funding Circle Discusses Peer-to-Peer Lending

Devin Thorpe of CrowdCast speaks to Sam Hodges, CEO of Funding Circle. Hodges was the founder of Endurance Lending and Managing Director of Funding Circle. In this interview, Hodges discusses the
As co-founder and CEO of two crowdfunding entities – fundraising platform peerbackers.com and Crowdfunding Academy – Sally has helped thousands of entrepreneurs reach their crowdfunding goals. She is a seasoned entrepreneur having run her own businesses for the last twenty five years. Her media and business ventures took her across the globe – including ten years of conducting business in Russia. Sally is a speaker on the topic of small business financing at various universities, business incubators, and entrepreneurial events and has been a repeated source on the topic of crowd funding for national media outlets including Entrepreneur Magazine. Her book, “Cash from the Crowd” on how to successfully crowdfund, was published this fall by Entrepreneur Press.
As co-founder and CEO of two crowdfunding entities – fundraising platform peerbackers.com and Crowdfunding Academy – Sally has helped thousands of entrepreneurs reach their crowdfunding goals. She is a seasoned entrepreneur having run her own businesses for the last twenty five years. Her media and business ventures took her across the globe – including ten years of conducting business in Russia. Sally is a speaker on the topic of small business financing at various universities, business incubators, and entrepreneurial events and has been a repeated source on the topic of crowd funding for national media outlets including Entrepreneur Magazine. Her book, “Cash from the Crowd” on how to successfully crowdfund, was published this fall by Entrepreneur Press.

Devin Thorpe of CrowdCast speaks to Sam Hodges, CEO of Funding Circle. Hodges was the founder of Endurance Lending and Managing Director of Funding Circle. In this interview, Hodges discusses the merger of Endurance and Funding Circle, as well as the key differences between the U.S. and U.K. debt markets for peer-to-peer.

The discussion also discusses the crowdfunding for equity in the U.S. versus that of the crowdfunding for debt. While most of the excitement in the startup and financial industry surrounds the equity-based capital raises, Hodges feels that the market for debt has more potential. 

"Equity, by nature, is a longer-term investment product than debt–in most cases," Hodges said in the interview. "Most of the equity crowdfunding platforms out there are about an investor putting an equity check into a company and then hoping over its lifetime that investment does really well. That's challenging because it means you have a lot of time between when someone needs to write a check and if and when that investment is actually monetized. Debt is a completely different game."

 

 

Funding Circle USA is an online loan marketplace that connects small businesses looking for up to $500K with accredited and institutional investors, according to the company's website. Endurance merged with Funding Circle in October 2013 to form Funding Circle USA, a robust marketplace for small businesses to secure funding from accredited investors.

 

Many of us economy-watchers have been expecting recession, though with significant differences on odds and timing. Regardless, recent banking developments just made recession more likely and may have accelerated its onset.
Many people think of position size in terms of how many shares they own of a particular stock. But it’s much smarter to think of it in terms of what percentage of your total capital is in a particular stock.