Your capital is at risk and investments are not covered by the Financial Services Compensation Scheme (FSCS).
Read our full Risk WarningYour capital is at risk and investments are not covered by the Financial Services Compensation Scheme (FSCS).
Cubefunder No2 - issue 2
Term
2 Year Bond
Projected return
6% p.a.
- IFISA Eligible
- £500 Min investment
- Interest Paid Monthly
Welcome to the Cubefunder 2 Year 6% Bond
Cubefunder (No 1) Ltd is the issuer of the bond and will be carrying on the business of lending to businesses. Cubefunder is also the trading name of Tallaght Financial Ltd. Tallaght is authorised and regulated by the Financial Conduct Authority under Firm Reference Number (FRN) 786297. We are fully UK based, in the historic town of Windsor, directly on the banks of the River Thames. Our Company has identified a significant gap in the small business lending marketplace and is seeking to build further on its successful experience in this industry.
Repayment Example
| Cubefunder 2 Year 6% Bond | Not held in IFISA | Held in IFISA | |
|---|---|---|---|
| Higher rate tax payer | Basic rate tax payer | Basic rate tax payer | |
| Investment amount | £10,000 | £10,000 | £10,000 |
| Interest rate | 6% p.a. | 6% p.a. | 6% p.a. |
| Tax rate payable on interest | 40% | 20% | N/A |
| Gross interest earned | £600 | £600 | £600 |
| Tax payable | £240 | £130 | £0 |
| Net interest earned | £360 | £480 | £600 |
| Total capital and interest received by the end of term | £10,720 | £10,960 | £11,200 |
Sources: Investors should note that payments of interest are made after deduction of income tax at the basic rate (currently 20%), unless the bond is held in an IFISA. You should note that your capital is at risk and returns are not guaranteed.
The global financial crisis has had a severe impact on SME lending, leading to a
reduction in the risk taking capacity of banks. Since then there has developed a
substantial gap between SME requirements for finance and the main banks’ ability
and willingness to provide the finance.
It is clear that there is a comprehensive and significant inability / unwillingness
of the major banks to provide short and medium term financial support for small
businesses, due predominantly to banks reduced risk profiles. This has led to growth
in online platforms providing business finance. The value of finance originated
through online platforms has grown exponentially over recent years, as supported by
data from Nesta and the University of Cambridge.
Alternative financing for SMEs issued by “non-banks” is worth £3.2bn in the UK and it is forecast to rise to rise steadily over the next 2 years (Statista.com).
• Easier compared to traditional sources.
• Transparency.
• Speed.
• Previous difficulty in obtaining required finance.
SME’s who are fed up with the incumbents’ slow response and confusing criteria are starting to realise that alternative sources of finance are out there. Companies want tailor made services, not just a box ticking exercise.
The information below does not purport to be an exhaustive list or summary of the risks, which the Company may encounter and is not set out in any particular order of priority.
Potential Investors should seek advice from a stockbroker, accountant, fund manager or other independent financial adviser authorised under FSMA before making any decision to invest.
Berkeley Rutherford (BR) is a crowdfunding platform which offers fixed rate bonds to investors to earn a return. It is a “debt” crowdfunding platform as opposed to an
“equity” crowdfunding platform.
BR 2 Year does not promote one bond over the other. It is up to the investor to decide which (if any) bonds they may wish to invest in.
In some cases BR 2 Year may hold an economic interest in the issuer. Where this is the case BR 2 Year will declare this in the bond offer.