Credit, Collections & Insolvency News
Peer to Peer lender, The House Crowd has entered administration.
On 24th February, the Directors of The House Crowd, a regulated Peer-to Peer firm, placed the company into administration and appointed Frank Ofonagoro, Jeremy Woodside and Frank Wessely of Quantuma Advisory as joint administrators.
The House Crowd, formed in 2012, operated a Peer to Peer lending platform through its website facilitating investments, offering SME bridging loans secured against land or property.
Investors are offered a range of products including Innovative Finance ISAs (IFISA), a 30-day ‘Fusion’ account and SIPP investments.
The firm has approximately 3,700 active investors on the platform and has, to date, funded more than 400 developments worth £123.9 million.
The joint administrators will continue the orderly wind down of the loan portfolio and the return of monies to lenders. It is not yet clear how many of the firm’s eight employees and five consultants will be affected by the administration, as well as the fifteen developments being funded through the platform.
Frank Ofonagoro, Director at Quantuma said “Due to ongoing financial issues facing the company, the directors resolved that it would be in the best interests of The House Crowd and its creditors and its loan investors, to appoint administrators.”
“Our priority will now be on securing the best possible outcome for all parties.”
“Wherever possible, that includes the repatriation of client monies, completion of existing development builds, orderly wind down of loan books, and, ultimately, protecting the interest of investors and creditors.”