Access Commercial Finance is the parent holding company for Huddle Capital, and is already an established and successful player within the UK business lending market with a proven ability to originate high-quality business lending at attractive rates of interest.
Borrowers find us through our website and are able to directly apply for financing. We also originate loans through a close association with third party introducers such as accountants and lawyers who have a close relationship with their business clients and are able to advise them on the best financing option available. Because of this partnership, we hope to attract high quality borrowers.
We only want to offer our investors highly curated lending opportunities, with this in mind we have a stringent assessment process in place for our loans.
In addition, Huddle Capital co-invests in every opportunity so clients can be assured that by retaining a proportion of the loan exposure we are highly incentivised to minimise the risk involved in every investment opportunity.
When we assess a new borrower we take in account a number of factors:
You can cancel your registration at any time until you start investing. Once your investment has began you are unable to cancel any loans in progress, however, you are permitted to sell on your loans on the secondary market. There is no fee for the secondary market
Once a loan is in progress you are unable to access your funds, however, you are permitted to sell on your loans on the secondary market. This is a free service. Purchases are subject to demand from lenders.
If you wish to become an investor at Huddle Capital you will first need to register on our platform. You will then need to be verified by our system – once this is complete you will be able to deposit funds securely by a bank transfer.
Once your funds are deposited you can then review our borrowing requests and choose your investments. Once you have selected which lending opportunity you would like to invest in, just click the ‘invest’ button and select what amount you would like to lend the borrower.
The minimum loan that an investor can invest is as little as £100 but there is no maximum with Huddle Capital. In order to comply with anti-money laundering regulations larger amounts in excess of £20,000 may be subject to additional security checks.
Investors do not pay any fees to invest through Huddle Capital. Our fees are paid by the borrower.
Depending on the type of investment you are making, and the level of risk associated we currently offer loans with a return from 6% – 14%*, depending on the strength of the loan. Bear in mind that your actual return may be lower, taking into account default rates and your own personal tax situation.
If a borrower discontinues their loan repayments then Huddle Capital will commence default procedures after the second missed repayment.
Customers of Huddle Capital can raise a complaint by email, phone or by post. We take any complaint very seriously, and in addition to responding and resolving any complaints, we also seek to identify any underlying weaknesses in our procedures and resolve them accordingly.
For our detailed complaints procedure, click here.
Huddle is an Appointed Representative of rebuildingsociety.com, who is authorised and regulated by the Financial Conduct Authority. We therefore operate under their regulated license.
To qualify as an investor, private investors, ISA investors and their directors will be required to undergo an identify and anti-money laundering checks. You must also be prepared to invest at least £100 for every investment you make on the platform.
Any uninvested funds can be withdrawn at any time. However, once your funds are invested in a loan, they will only be repaid over the life of the loan. Of course, you can always sell your loan on the secondary market.
We do have an autobid feature on our platform that allows your funds to be automatically invested based on the criteria you choose. Please bear in mind that this does not in any way constitute us providing you with investment advice or services similar to a discretionary fund. The autobid feature will invest in exactly the way you ask it to invest
Firstly, we always lend on the back of security. As a minimum, we ask for a Director’s guarantee. Collateral shall be held in a Trust Company for your benefit. We will monitor the loan and collect payments or manage any defaults. Where a default has occurred, we will use the collateral that the trust company holds to recover as much of the loan as is possible.
We provide you with access to a tax statement which shows your interest income for each tax period. You can use this on your self assessment or give it to your accountant.
Yes, before applying for a loan through Huddle Capital, borrowers will need to meet minimum eligibility criteria:
We use a matrix to determine pricing for every loan. There are several factors that determine the pricing of a loan, including the following:
Different P2P lending platform provide different roles. We will:
We will not:
No. Investments made on Huddle are not eligible for the Financial Services Compensation Scheme.
Huddle is constantly looking to progress with plans to scale our business and bring quality loan opportunities to our lenders.
Circumstances may arise where our strategy is no longer viable. This could be changes in market or economic conditions or regulation.
To prepare for this eventuality, and to comply with regulation, we have created a ‘Wind Down Plan’. The aim of this strategy is to act as a comprehensive plan for winding down the business to ensure minimal impact on everyone we do business with, including investors with loans through Huddle.It should be noted that this wind-down plan is intended to be enacted by the firm prior to any need for insolvency action. In the event of an unforeseen insolvency action against the firm, the firm will endeavour to word to this plan in collaboration with the insolvency or administrative partners as far as possible.
Wind Down Plan explained
The Wind Down Plan is aimed at ensuring an efficient wind down of the business and/or the loan book.
Situations where the Wind Down Plan would come into effect could include:
In the event that the Wind Down Plan comes into effect, we envisage there being sufficient capital for Huddle to remain solvent while running down the loan book. If the wind down plan needed to be enacted, Huddle Capital has a wind-down in place with both our principal rebuildingsociety.com and our technology partner Aviation and Tech Capital Limited.
Together, Huddle Capital, rebuildingsociety.com and Aviation and Tech Capital (ATC) would ensure that the loan book is efficiently wound down.
Under this plan, rebuildingsociety.com Ltd would continue to manage and oversee client money, as they currently do as our regulatory principal. Client money (lender funds) would continue to be held in a segregated client account at Barclays Bank PLC.
The Huddle Capital platform technology is currently supplied and maintained by Aviation and Tech Capital Limited. During a wind-down phase, ATC will continue to host and maintain the Huddle Capital Platform and ensure that it remains accessible to existing lenders.
An operational wind-down team will remain in place at Huddle Capital, supported financially by Access Commercial Capital Limited, a parent company to Huddle Capital. This team in conjunction with rebuildingsociety.com and ATC will ensure the smooth wind-down of the loan book and distribution of lender funds.
Operative clauses in contracts
The loans we arrange and monitor on behalf of lenders are not affected by our Wind Down Plan, as all loan agreements completed on Huddle Capital are between individual lenders and the borrowers, borrowers are still required to comply with the terms of the loans and the security arrangements we have in place.
Our Terms and Conditions with lenders specify that we are able to appoint a third party to manage loans if we are required to do so.
Where the Wind Down Plan calls for the loan book to be wound down over the natural term of the loans, we would take the following steps:
The core team would intend to carry out the following actions:
The core team would continue to attempt to refinance some loans on the platform to other commercial lenders. This is intended to accelerate the return of funds to investors ahead of the standard terms of loans on the loan book.
Funds held in the client money account and funds paid into the client money account by borrowers over the course of the wind down would continue to be held in a segregated client money account operated under the existing CASS permissions of rebuildingsociety.com Ltd by its core team until withdrawn by investors via the normal process.
Risks – Wind Down Plan
We have engaged experts to advise on the adequacy of our Wind Down Plan and believe that they are fit for purpose.
There are always risks that assumptions made during the planning process prove to be incorrect in practice. Here are the risks we’ve considered and how we will address them:
Past performance is not indicative of future performance.
*During 2019 an Interest Only Loan of 150K was written off to bad debt. This was a loan secured by motor vehicles. Following this bad debt Huddle no longer offer this type of facility without having a property charge.
**Calculations for expected loss does not include the 150K loan secured by motor vehicles as the product is no longer available.
Last update: 18/02/2020