How do we use your investment?

From the beginning, the simple idea behind Fluid was to ultimately offer bridging loan facilities at a competitive rate in the unregulated market of business-to-business lending.

Funds will be lent internally from Fluid ISA Bond 2 Limited (The bond issuer) to the LendCo (Fluid Lending Limited), and the interest rate on that loan will be the same as that offered to the ISA bondholders (fixed at 6% per annum, due to be paid quarterly).

Fluid Lending will aim for a minimum lending interest rate on the loans makes of 0.9% per month to break even, hoping to achieve an average closer to 1.25%. All loans are asset-backed and will be short term, typically lasting from 6 to 18 months.

The fact that the bond is asset-backed would not guarantee that all capital would be repaid. This also means that there is a liquidity risk and there is likely to be a delay in repaying your capital should you request it.

Where do Fluid Lending Invest?

Fluid Lending Limited will lend in the unregulated market of business-to-business bridging loans. The Directors experience in the commercial finance, property development and consultancy industries has given them a broad base of contacts with which to gain clients. The bridging facilities will be offered over 6 to 18 months, all backed by assets, usually in the form of real-estate or company assets, in order to fund exciting projects throughout the UK.

Please note that assets used as security may be insufficient to repay loans made by Fluid Lending Limited and do not guarantee a return for bondholders. Despite any previous experience, past performance is not a reliable indicator of future results.

Why we think you should trust Fluid

We are of the belief that within the current lending arena there is room for a highly professional, industry experienced, quality driven player. With the perception that many of the high street banks and other traditional lenders are slowing down the rate at which they are willing to lend, and reducing their appetite for lending to a portion of their current larger client base only, the need for bridging providers is likely to increase further.

Bridging Finance Market Growth

In Q1 of 2018 £154.02m was lent in bridging loans, an increase of £31.53m on the previous quarter. The average term was 11 months and the average interest rate was 0.83% per month. Average LTV (loan to Value) within Q1 of 2018 was 49.1% and processing of applications was on average 48 days.

Purpose % Share of bridging market
Auction Purchase 20
Business Purposes 16
Refurb 18
Re-bridge 14
Mortgage Delays 24
Other 8

(Bridging Trends, M-T Finance)

Fluid and its partner Fluid Lending are committed to prudent lending and will keep a varied and diverse portfolio of clients in order to spread the risk to investors. However, this does not guarantee a return on capital and interest and Your Capital is at Risk.