Peer Funding to close its doors

PEER Funding is closing down at the start of September, after failing to attract external investment into the business.

The peer-to-peer business lender, which has not been trading for some time, emailed investors on Thursday to let them know that any money held in accounts with Peer Funding would be returned on 21 August ahead of the platform’s closure on, or shortly after, 1 September.

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“Peer Funding has been seeking external investment to secure the future growth of the company for some time and has not traded whilst searching for the right investors for the business, on the right terms,” it said in the update.

“It is with regret that I have to advise you that after a long and fruitless search, we have been unsuccessful in securing the investment required. The directors have therefore made the difficult decision to close the platform.”

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Peer Funding calls itself a “multi-product P2P platform”, offering a range of business finance solutions for borrowers.

It has a full wind-down plan and living will agreement in place with Resolution Compliance, according to its website.

Peer Funding is the second P2P lender to close down in four months, following the high-profile collapse of Lendy.