Peer-to-peer lending platform Growth Street has repaid 100 per cent of investor funds, and will shortly enter liquidation.
The platform entered a solvent wind-down in July 2020, after the Covid-19 pandemic made it harder to secure the funding needed to sustain the business.
Growth Street has confirmed that it is now nearing the completion of this wind-down period with no capital losses incurred by its retail investors.
“Entering liquidation marks the final chapter for Growth Street,” said Kim Goetzke, chief operating officer of Growth Street.
“Whilst this is certainly not the ending that was envisaged when the business was launched in 2015, nonetheless, the team and I are proud of its legacy, and how we have treated our investors and customers.
“I am confident that Growth Street in its lifetime made a significant contribution to the mission to address the funding gap for UK SMEs, and that like-minded organisations will continue to champion these vital businesses for years to come, providing them with the tools they need to grow.”
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Goetzke added that the business had been on the right track before the pandemic struck. Once wider market conditions became clear, the platform’s focus shifted and it chose to ensure that all of its investors “were made whole”, while continuing to support borrowers.
“The businesses which Growth Street supported have fared well during the pandemic, and we have been able to recover funds in a manner that was supportive and sensitive to all of our stakeholders,” Goetzke continued.
“Our business and the model which underpinned it was robust, however, like many others over the past twelve months, circumstances beyond our control meant that the business was forced into a solvent wind down.
“The Board and I remain certain that this was the right decision.”