The startup offers a loan platform that provides investment-backed lending secured against liquid financial assets, utilizing cross-custody methods to enhance transaction efficiency. This service enables wealth managers and investment advisers to offer their clients access to loans while adhering to conservative lending principles.
Funding
$950K raised to dateRaised to date based on public sources. This may differ from the amount the company actually raised and is based only on what is publicly available on the internet.
Founders
Product
Problem
Mass affluent and high-net-worth individuals often lack access to flexible liquidity solutions without disrupting their long-term investment strategies. Traditional Lombard loans are typically only available to clients with substantial assets, and non-bank wealth managers often require clients to move custody of assets to private banks, resulting in loss of assets under management (AUM) and revenue. Existing processes for obtaining these loans can also be lengthy and complex, failing to meet clients' immediate liquidity needs.
Solution
Firenze provides investment-backed lending solutions, enabling wealth managers, advisors, and investment platforms to offer Lombard loans to a broader range of clients, starting from £65k. The company's cross-custody approach allows clients to access liquidity without moving their assets, helping wealth managers retain control, AUM, and revenue. Firenze streamlines the lending process, offering lending decisions within 24 hours and funding within 72 hours in most cases. The offering is designed to be seamlessly integrated into existing investment platforms and wealth management systems under the partner's brand.
Target Audience
The primary target audience includes wealth managers, investment advisors, and investment platforms seeking to offer flexible liquidity solutions to their mass affluent and high-net-worth clients.
Features
- Annual revolving credit facility secured against investment portfolios
- Loan-to-value (LTV) ratio up to 50%, assessed based on asset liquidity, volatility, currency, and diversification
- Rapid funding access with decisions in under 24 hours and funds disbursed within 72 hours
- Interest rates ranging from the base rate plus 1.95% to 3.25%
- Application fees ranging from 0.35% to 0.50% and renewal fees from 0.20% to 0.35%
- Loans currently offered from £65k to £5 million
- White-labeled solution for seamless integration with wealth manager and investment platform branding
- Dedicated account management team and specialist compliance and regulatory support