The AABF was launched on 1 February this year with the major ambition of championing and promoting the best standards of industry practice.
The seven founding members, Capify UK, Catalyst Finance, Credit4, Fleximize, Liberis, The Just Loans Group and YesGrowth established four clearly defined operating principles that members will be required to adhere to:
At launch the Chairman of the Association, The Just Loans Group’s, John Davies said, “A vibrant and diverse alternative lending sector has successfully established itself in the UK and we feel the time is right to give it a voice and promote best standards of industry practice. Not surprisingly our operating principles lean heavily on the well established British Bankers Association Lending Code.”
John adds, “We are delighted to welcome three new members that clearly support the AABF’s ambitions. We have received a lot of interest from a host of other potential members particularly about one of our first initiatives – the creation of a members’ centralised database for Personal Guarantees that will prevent borrowers over committing themselves and help identify potential fraudulent activity.”
Invoice Cycle’s UK Managing Director, David Cockle says, “Invoice Cycle is delighted to join the AABF, which we feel empowers our shared goals of Transparency, Responsibility, Fairness and Security. As the alternative finance sector develops, it is important that the leading providers work together to develop industry standards, and ensure our clients receive the highest levels of service. The AABF is at the forefront of developing this industry standard and we are very happy to become early members and offer our support.”
Merchant Money’s Director, Danny Girnun says, “Since launching the business, our focus has been to responsibly provide SMEs with the funds and confidence that they need in order to grow their businesses. By employing industry best practices and aligning ourselves with the AABF, we can successfully uphold our values of being transparent, fair and responsible when dealing with our clients.”
Reward Finance Group’s, Group Sales and Marketing Director, Nick Smith adds, “The lending marketplace is changing for SMEs with so many choices available. Here at Reward we are keen to ensure that the alternative finance space gets the profile it deserves so that ultimately the SMEs in the economy get the product they need to support and grow their businesses. Joining the trade association will give us a larger collective voice, help to promote alternative lending and ensure that standards and disciplines are maintained.”