Folk2Folk sees profits boosted by Covid-19 for another year
The alternative lender is also on track to hit £500m lent out to SMEs.
In a year when a lot of businesses have needed a helping hand, alternative lenders have thrived and Folk2Folk’s story is no different.
The regional alternative lender looks to be on track to double its profits this year, posting a pre-tax profit of £943,000 in the first half of this year, nearly the same amount it made throughout the whole of last year.
In 2020, Folk2Folk saw its profits soar to £1.1m, after first hitting profitability back in 2019, posting a profit of £198,000.
Folk2Folk revealed its bumper profits in its unaudited accounts for the period February to July 2021.
“We’ve had a tremendous year so far, with the first half delivering a profit not far off that for the full year last year. A big contributor to these results has been a strong summer,” Roy Warren,Folk2Folk Managing Director, said.
“Traditionally summer is notoriously low performing, but we’ve had a terrific few months helping lots of businesses get the funds they need, and August is set to be our second biggest month of 2021 with about £12m in loans.”
To date, the regional lender has dished out more than £460m to local SMEs and is rapidly approaching the half a billion milestone.