Lloyds Bank’s Bishop shares views of working with Alternative Finance platforms to support SMEs

Speaking on the latest edition of ArchOver’s ‘The Crowdfunders Show’ broadcast in partnership with Share Radio this week, Angus Dent, CEO of crowdlending platform ArchOver, said that crowdlenders were “not the nemesis of the traditional banks, nor vice versa.”

“Banks are no more homogenised than crowdlending platforms – each organisation has different characteristics. The important thing is that SMEs are supported and that the right type of funding reaches SME businesses, at the right time.”

Earlier in the show, Andy Bishop, Head of Business Development for SME Lending at Lloyds Bank, told listeners: “The banks and the crowdlenders are not deadly enemies and there are definitely ways in which we can work together. I can foresee circumstances in which we might actually recommend alternative finance.”

“Ultimately the platforms and banks have the same common goal, which is to ensure that SMEs are supported and that they receive the right type of finance in the company’s cycle. They have to be clear about longevity – the finance has to work for the company not just on day one, but throughout the term of the loan.”

Angus Dent welcomed Andy Bishop’s comments, adding: “Our finance doesn’t interfere with other types of bank finance because we take our security from Accounts Receivable. We don’t want, and couldn’t provide, current accounts or a treasury function for companies. The two sources of finance are therefore highly complementary.”