ArchOver, the peer-to-peer (P2P) business lending platform, has revealed that it has nearly doubled its overall lending in the first nine months of this year. Since January 2017, total lending over the platform has reached £21.39 million, bringing the cumulative total that ArchOver has lent to date to over £48 million. Proving that the appetite for P2P services from investors and borrowers is continuing to grow, ArchOver is set for a record year as it rapidly approaches the £50 million lending mark.

“Looking back over the last three years, we have seen a huge spike in demand for P2P. On one hand, investors and savers are recognising that they need to make their money work harder. This means taking their funds out of low-interest environments to gain greater returns,” explained Angus Dent, CEO of ArchOver. “On the other hand, we’ve also seen a growing awareness among borrowers that there are alternatives to traditional lending and P2P can provide the funds to take businesses forward and support growth.”

Alongside stocks, bonds and property, P2P is increasingly being incorporated into investors and savers portfolios. In less than 10 months, ArchOver has more than doubled its number of investors. There are now 624 investors using the platform, up from 304 at the end of December 2016. On average, lenders are receiving a rate of return of 7.3 per cent per annum. Highlighting how investor confidence is growing, lenders will typically make up to eight pledges on the platform.

Borrowers’ appetite for P2P has also grown as the number of loans funded using the business lending platform has reached over 200. In addition, borrowers are increasingly seeking more significant sums of money. All loans are for a fixed term, fixed rate and fixed amount to give businesses the security they need to plan ahead. ArchOver has begun facilitating loans of higher value with UK SMEs including Prospect Business Centres Limited (“PBC”) and Duradiamond Healthcare Ltd (“Duradiamond”), each borrowing over £3 million.

Both companies have benefited significantly from borrowing using ArchOver’s two main lending models, its flagship ‘Secured & Insured’ model and the ‘Secured & Assigned’ model, which launched earlier this year. PBC has already grown their London property portfolio off the back of securing £3.1m in a series of loans from July to September 2017. While, Duradiamond, who borrowed £3.3m in a series of loans over nine months (March to November 2016), received the boost it needed to grow its business and become successful enough to repay the loan early, and with no penalty. The final payment was made in August 2017, four months before the repayment was due.

“Our business model allows us to provide lenders and borrowers with a personal and transparent approach that offers them reassurance,” concluded Dent. “Ultimately, we want to become an important partner in their growth so we can advance business borrowing for the better. At the same time, we want to ensure that lender security is a priority so we can offer a rate of return that’s higher than expected

given the level of security. We are confident that this approach will allow us to continue growing successfully and support us in our move towards achieving profitability.”

For a comprehensive review of ArchOver, Orca Money has produced an independent Investment Report that provides an in-depth analysis on ArchOver. The report can be found by visiting Orca Money and entering the Coupon Code “ArchOver.”