IW Capital has launched a new debt fund that aims to provide retail investor with an alternative option to savings accounts.
The entry point of GBP10,000 makes the fund accessible for many individuals who previously may have felt investment in small business was out of reach financially.
According to research from The UK Business Angel Association, 81 per cent of people have over GBP10,000 in investible assets outside of their residential property or workplace pension.
IW Capital’s debt fund offers potential returns of 7-9 per cnet compared to 1.09 per cent on a two year average fixed deposit rate. This comes at a time where inflation is currently out-stripping most savings account interest rates.
CEO and Founder of IW Capital, Luke Davis, says: “We are beginning to see a change in the perceptions of investors in the UK, previously the view has been that investing is reserved for the very wealthiest of society but debt funds have opened it up to retail investors. These individuals are financially empowered and are looking to use their capital to support British business instead of leaving it in the bank, taking pride in this share of the future-proofing of our economy driving private sector.
“Our offering not only allows businesses to secure funding at rates that would otherwise be unavailable from most traditional banks or lenders, but also gives investors the opportunity to make the most of their capital in a time of historically low interest rates.”
