SANCUS Finance is offering funders an enhanced protection product to cover losses from invested funds.
The peer-to-peer platform, which provides invoice financing and supply chain finance, currently takes the first 10 per cent of a loss on funding and separately provides cover for 90 per cent of the capital exposure.
Now s funder will be able to get insurance for the entirety of the funding and can determine their own level of exposure depending on their appetite.
The more cover taken out, the lower the own rate of return will be.
Sancus said that the move was in response to feedback from funders.
“The enhanced protection option provides funders with greater choice, underlines the confidence that we have in our underwriting processes and demonstrates a strong alignment of interests with our funders,” Dan Walker, managing director of Sancus Finance, said on Tuesday.
“We are committed to ensuring that small- and medium-sized enterprises and their owners have access to funding to support their businesses.
“To ensure this funding is available, we must also offer our funders a range of options to support their own risk/return profiles and their growing expectations in an ever-changing market. Increasing the menu of options available to funders in this way will in turn help us to improve access to flexible funding to businesses, allowing them to realise their growth plans.”