Peer to peer lending auctions go live at FundingKnight

By Bridging Loan Directory -


Back in August, we wrote about peer to business lending and its role in providing alternative funding streams to the mainstream banks.

One of the new breed of peer to peer lenders we included in that article was FundingKnight, a peer to business lender who prefer the word crowdlending to describe the way in which they help crowds of everyday savers invest directly in British small businesses.

Since August, they’ve been busy developing the peer to peer lending platform and last week launched their first live loan auctions.  You can get the full lowdown on FundingKnight auctions via the FundingKnight blog but here are the key facts:


  • A business applies to borrow between £10k and £100k (although they’re looking to increase the upper limit in future)
  • All the usual credit checks, ID checks etc. etc. are carried out
  • Successful applications are given a credit rating – one from FundingKnight called their shield rating system and an external rating from Dunn & Bradstreet
  • Once all the paperwork is complete, the loan gets loaded onto FundingKnight’s live auction site
  • This means that anyone who has registered as a lender (and it’s free to register) can bid to take part in the loan.
  • Unlike some other peer to peer lenders, there are no fees for lenders at FundingKnight and you can start investing from £25 up so the hope is that plenty of lenders will get involved, meaning good, competitive rates for the businesses seeking funding


Right now, there’s a live auction offering the opportunity to invest in LeisureBench, a specialist furniture supplier and garden furniture retailer.

This will be the third loan that LeisureBench complete with FundingKnight, the first of which is fully repaid.

LeisureBench is a fast growing company with a good market for its products but as direct importers from China, Indonesia, Vietnam and Bulgaria, they needed an innovative loan product that could help them purchase stock via competitive, short term loans.

The current loan of £50,000, for example, is for just 9 months but a crucial 4 month repayment holiday at the beginning gives LeisureBench the flexibility they need to buy the raw materials required to complete sales orders.

With that sort of flexibility, it’s easy to see the appeal of alternative routes of small business finance!

If you fancy getting involved in the action, all you need to do is head over to and sign up as a lender.  There’s nothing to pay, just a simple online form and some ID checks to complete.

Then, it’s time get bidding, safe in the knowledge that you’ll also be helping to give a small boost to the British economy.

Perhaps FundingKnight are onto something when they claim they’ve found a better way to lend and borrow… time will tell.