What claims to be the UK’s first independent research service for the P2P and crowdfunding markets has just been launched by Racefields Research.
A UK based FCA authorised corporate finance start-up, Racefields specialises in raising funds via crowdfunding and peer-to-peer platforms.
The service says it will investigate businesses looking to raise money and assess financial stability, ownership of contracts and patents, and the history of the company directors. It hopes to provide over one hundred in-depth reports on individual UK businesses every year, which subscribers can access via email.
Manchester-based Racefields does not take a fee from those companies on which it writers research. Subscribers will however have to pay a fee of £299 a year to access the service.
Racefields point out that the growth of P2P and crowdfunding platforms such as Funding Circle and Crowdcube have attracted investors looking for higher returns, but sometimes with limited information on the featured businesses. This means that investors cannot always be sure that they are making the right investment decisions.
CEO of Racefields David Gammond said: “P2P and crowdfunding platforms are revolutionising the finance industry by enabling businesses to overcome their reliance on banks, while enabling private investors to increase their returns. However, without having the right insight, investors cannot be certain of what they are getting themselves into. By providing comprehensive research on businesses looking to raise funds, Racefields will provide a much needed layer of transparency to the P2P and crowdfunding market, enabling investors to be more confident of their decisions.
“Recent moves by the FCA to regulate the P2P market are a positive sign that the industry is beginning to mature, which is great news for both the investors and businesses involved. Racefields will enhance this further by providing a level of information that the platforms themselves don’t always achieve alone.”