HNW Lending achieved a record profit in 2021 as a result of a “rebound from Covid”.
Chief executive Ben Shaw said the peer-to-peer lending platform has made a profit every year since inception by keeping a small lean business without huge staff numbers, but achieved a record profit last year, partly due to a combination of repeat and new borrowers.
“It looks like we had our best year ever in terms of costs,” he said.
“It looks something like it was 50 per cent higher than the previous year and a good rebound from Covid. It will be our best year on record by a long stretch.
“I think it was just the bounce back after Covid and people needing to borrow money and the fact that people know we can act quickly and flexibly.”
Shaw added that so far this year business has still been “very good” but he expects a smaller profit for 2022 due to slimmer margins and pricing being more competitive.
“People still want to borrow from us, which is good,” he said.
“We had loans on our platform snatched up quite quickly.
“Maybe there’s quite a few people on the market, but the pricing has become a bit more competitive.
“I don’t think this year will be as profitable as last year, the margins are slimmer.”