This is the first time the Cornish company has turned a profit in its seven-year history.
Image source: Roy Warren (center) / Folk2Folk
Cornwall-based peer to peer loan Folk2Folk reached profitability in 2019, according to its annual reports that were just released.
The platform closed the year of 2019/2020 with a profit of £ 198,000, compared to a £ 535,000 loss in the previous year.
Folk2Folk says the change in its fortune came primarily from "rigorous savings exercises" introduced by its executive director Roy Warren, which & # 39; s governments just took disgrace from a year ago following the departure of former CEO Giles Cross, that & # 39; t only in & # 39; role for 16 months.
Warren, who was the head of the platform's Risk & Loan Portfolio, implemented a regime of "greater fiscal strength and discipline for the platform's operations and management."
Warren said: & # 39; Platform profitability has become increasingly important, not just for the FCA, but for decision-making for retail and institutional investors. Many see it as an indicator or a peer-to-peer platform being viable and having a sustainable future. "
"Achieving profitability despite Brexit's market-imperative forces, the election and now coronavirus is a major breakthrough for the company and testament to our team's commitment and the loyalty of our customers," he added /
Since the beginning of the & # 39; coronavirus crisis, Folk2Folk has facilitated £ 8 million in loans and investments, bringing the total loan volume to over £ 350 million.
The money launderer also revealed that it has applied to the British Business Bank to become an accredited lender of CBILS and is currently waiting to hear the outcome.