The Company test
Cubefunder No 3 Ltd is a special purpose vehicle (SPV) set up to issue 3 year bonds for investors to receive a 7.00% return. The SPV is a subsidiary of Tallaght Financial Ltd which trades as Cubefunder.
How funds are used
Cubefunder offers short term loans for up to 3 years to help business customers to secure important orders, fund expansion, or bridge a short term cashflow requirement.
Security is by way of a debenture over the loan assets of the company in favour of the security trustee.
Although the bond is transferable, there is currently no secondary market, so investors should only plan to invest over the full 3 year term.
The funds raised by the bond will be loaned to UK SME’s across various business sectors. Depending on the amount raised from the bonds will depend on how diverse the loan portfolio of the company is but it would be expected that the company would make at least 10 loans to different companies over the term of the bond.
The bond pays a fixed annual interest of 7% per annum over a 3-year term, with interest payable monthly, and the capital repaid as a lump sum upon maturity. The term commences when your investment is completed