01 October 2016
Find out more

Zopa raises $15m for US launch

28 March 2006  |  8538 views  |  0 cash

Zopa, a UK-based online person-to-person lending and borrowing exchange, has secured $15 million in series b funding which it will use to support a US-based start-up.

Zopa was established in the UK in February 2005 by several members of the original management team behind the launch of UK Internet bank Egg.

The online service enables people to borrow money from other individuals, rather than financial institutions. Since its UK launch in March 2005, Zopa says it has gained more than 55,000 members and overseen several hundred loans worth millions of pounds with no bad debt.

The move into the US market comes a month after the launch of a copycat service called Prosper headed by Chris Larsen, co-founder and former chief executive of E-Loan.

Zopa says the new capital was secured from Bessemer Venture Partners as well as existing investors Benchmark Capital (who also fund Prosper) and Wellington Partners. The additional funding will support a California launch, which is planned for later this year.

Richard Duvall, CEO, Zopa, says: "As well as getting a better financial deal, Zopa's lenders and borrowers are enjoying the experience of dealing directly with other people, in a controlled and risk-managed environment."

Following this round of funding, Bessemer Venture Partners' Rob Stavis, who led the financing of Skype, will join the Zopa board of directors.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Former E-Loan exec Larsen launches Zopa-style Prosper lending network in US

Former E-Loan exec Larsen launches Zopa-style Prosper lending network in US

08 February 2006  |  6864 views  |  0 comments
Former Egg execs launch online loan exchange

Former Egg execs launch online loan exchange

07 March 2005  |  6198 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit dh.comVisit VocaLink.comFind out more

Top topics

Most viewed Most shared
Ripple rudely gatecrashes Sibos partyRipple rudely gatecrashes Sibos party
11302 views comments | 35 tweets | 33 linkedin
BNP Paribas is working with clients on blockchain deploymentBNP Paribas is working with clients on blo...
8344 views comments | 15 tweets | 31 linkedin
Banks ready for real-world blockchainBanks ready for real-world blockchain
7202 views comments | 22 tweets | 29 linkedin
PayPal and Lenovo team on biometric authentication for laptopsPayPal and Lenovo team on biometric authen...
6841 views comments | 13 tweets | 16 linkedin
hands typing furiouslyCan Blockchain Prevent Money Laundering?
6403 views 0 | 24 tweets | 9 linkedin

Featured job

Find your next job