SMB lending platform Funding Circle raises $100 million from Accel and several investors

Lending platform Funding Circle has raised $100 million (£82 million) in a fresh funding round led by Accel along with several other investors.

Investors in the round include Baillie Gifford, DST Global, Index Ventures, Ribbit Capital, Rocket Internet, Sands Capital Ventures, Temasek, and Union Square Ventures – all previous investors.

Funding Circle, based in London, is focused on peer-to-peer lending to small businesses where investors can lend directly to SMBs. According to the company, it saw £1.1 billion in loans in 2016.

The new funds will be invested in growth in several markets as well as in technology and talent.

“Over the next 12 months, lending through the Funding Circle platform will create a further 50,000 new jobs, supporting economic growth in the UK, US and continental Europe,” said Funding Circle CEO Sami Desai.

To date, Funding Circle has raised £300 million in funding and just last week received £40 million from the UK government’s British Business Bank to lend on the platform.

“ has achieved significant growth across multiple international markets by delivering an appealing lending option to SMEs and attractive risk-adjusted returns to investors on the platform,” added Accel partner Harry Nelis. “This investment makes Funding Circle the largest and best capitalised SME lending platform in the world, and we’re thrilled to continue to support its journey.”